The Modern Economic SystemImportance of Policymakers, Investors, and Traders
The global economic and financial system functions like a living organism, driven by decision-makers operating at different levels. Among the most influential actors are policymakers, investors, and traders. Each plays a distinct yet interconnected role in shaping economic growth, financial stability, market efficiency, and capital allocation. Understanding their importance is essential to grasp how economies expand, markets fluctuate, and wealth is created or destroyed.
1. Role and Importance of Policymakers
Who Are Policymakers?
Policymakers include governments, central banks, finance ministries, regulatory authorities, and international institutions such as the IMF, World Bank, and BIS. Their primary responsibility is to set the rules of the game for economic activity.
Economic Stability and Growth
Policymakers influence macroeconomic stability through:
Monetary policy (interest rates, liquidity, inflation control)
Fiscal policy (taxation, government spending, subsidies)
Regulatory frameworks (banking rules, market oversight)
By managing inflation, employment, and economic cycles, policymakers aim to create a stable environment where businesses can plan, investors can deploy capital confidently, and consumers can spend without fear of sudden economic collapse.
Crisis Management
During financial crises, pandemics, or geopolitical shocks, policymakers become the first line of defense. Actions such as:
Emergency rate cuts
Liquidity injections
Stimulus packages
Regulatory forbearance
can prevent systemic collapse. The 2008 global financial crisis and the COVID-19 stimulus programs demonstrated how decisive policy action can stabilize markets and restore confidence.
Market Confidence and Expectations
Markets do not respond only to policy actions but also to policy signals. Forward guidance, policy statements, and legislative intent shape expectations. A credible policymaker can calm markets with words alone, while inconsistent or unpredictable policies can trigger volatility.
In short: Policymakers provide the foundation—without stability, trust, and rules, markets cannot function efficiently.
2. Role and Importance of Investors
Who Are Investors?
Investors include institutions (mutual funds, pension funds, insurance companies, sovereign wealth funds) and individuals who allocate capital with a medium- to long-term perspective.
Capital Allocation and Economic Development
Investors play a crucial role in directing capital to:
Productive companies
Infrastructure projects
Innovation and technology
Emerging markets
Their decisions determine which businesses grow, which industries thrive, and which ideas receive funding. This capital allocation drives productivity, employment, and long-term economic growth.
Market Valuation and Price Discovery
Through investment decisions based on fundamentals—earnings, growth potential, governance—investors help determine fair value in markets. Over time, their capital flows reward efficient companies and penalize poorly managed ones.
Risk Absorption and Stability
Long-term investors act as shock absorbers during market volatility. Pension funds and value investors often buy during panic selling, providing liquidity and reducing extreme price distortions.
Corporate Governance and Discipline
Large investors influence corporate behavior through:
Voting rights
Board representation
ESG engagement
This pressure improves transparency, accountability, and long-term sustainability, aligning companies with shareholder and societal interests.
In essence: Investors are the architects of long-term growth, transforming savings into productive capital.
3. Role and Importance of Traders
Who Are Traders?
Traders operate with a short-term to medium-term horizon, focusing on price movements, liquidity, and market inefficiencies. They include retail traders, proprietary desks, hedge funds, and high-frequency firms.
Liquidity Creation
Traders are essential liquidity providers. Their constant buying and selling:
Reduces bid-ask spreads
Enables smooth entry and exit
Keeps markets active and functional
Without traders, investors would struggle to transact efficiently, especially during volatile periods.
Price Discovery and Market Efficiency
Traders process real-time information—news, data releases, sentiment, order flow—and quickly incorporate it into prices. This rapid adjustment ensures that markets reflect current realities rather than outdated information.
Volatility Management
While traders are often blamed for volatility, they also manage it:
Arbitrage traders reduce mispricing
Options traders absorb risk
Market makers stabilize order flow
Healthy trading activity prevents markets from becoming stagnant or inefficient.
Risk Transfer Mechanism
Traders facilitate the transfer of risk through derivatives and short selling. Hedgers rely on traders to offset exposures in currencies, commodities, interest rates, and equities.
Simply put: Traders are the engine that keeps markets moving every second.
4. Interdependence Between Policymakers, Investors, and Traders
Policymakers and Markets
Policy decisions influence:
Interest rates → asset valuations
Regulation → risk appetite
Currency policy → capital flows
Markets, in turn, influence policymakers through:
Bond yields signaling stress
Currency depreciation indicating capital flight
Equity crashes affecting economic confidence
Investors and Traders
Investors rely on traders for liquidity and execution
Traders rely on investors for directional trends and volume
Long-term capital creates trends; short-term trading refines prices within those trends.
Policymakers and Investors
Stable policies attract foreign and domestic investment
Poor governance drives capital outflows
Investor confidence acts as a referendum on policy credibility.
5. Importance in Emerging and Global Markets
In emerging economies like India:
Policymakers shape reform narratives and capital openness
Investors fund infrastructure, startups, and growth stories
Traders ensure market depth and price efficiency
Globally, capital flows respond instantly to policy changes, making coordination between these actors even more critical in an interconnected world.
6. Consequences of Imbalance
When one group dominates excessively:
Overregulation stifles innovation
Speculative excess causes bubbles
Capital withdrawal leads to stagnation
A healthy financial ecosystem requires balance—clear rules, patient capital, and active trading.
Conclusion
Policymakers, investors, and traders form the three pillars of the global financial system. Policymakers provide stability and direction, investors allocate capital for long-term growth, and traders ensure liquidity and efficiency in daily market functioning. None can succeed in isolation. Their continuous interaction shapes economic cycles, market behavior, and wealth creation.
In a world of rapid technological change, geopolitical uncertainty, and financial innovation, the importance of these three groups has only increased. Together, they determine not just market outcomes, but the trajectory of economies and societies themselves.
Traders
Option Trading 1. Introduction to Options Trading
Options trading is one of the most powerful tools in the financial markets. Unlike traditional stock trading, where you buy or sell shares directly, options allow you to control an asset without owning it outright. This gives traders flexibility, leverage, and a wide range of strategies for both profits and risk management.
At its core, an option is a contract that gives the buyer the right, but not the obligation, to buy or sell an underlying asset at a specific price (called the strike price) on or before a certain date (the expiration date).
The beauty of options lies in choice: you can profit whether markets are rising, falling, or even staying flat—if you know how to use them.
2. What is an Option?
An option is a derivative instrument, meaning its value is derived from the price of another asset (the “underlying”), such as:
Stocks (e.g., Reliance, Apple)
Indexes (e.g., Nifty, S&P 500)
Commodities (e.g., Gold, Oil)
Currencies
Two Main Types of Options:
Call Option – Gives the right to buy the underlying asset.
Put Option – Gives the right to sell the underlying asset.
Example:
A call option on Reliance with a strike price of ₹2500 expiring in one month gives you the right (not the obligation) to buy Reliance shares at ₹2500, regardless of the market price.
A put option with a strike of ₹2500 gives you the right to sell at ₹2500.
Part 6 Learn Institutional TradingPopular Option Strategies
Options can be combined to design strategies:
Beginner Strategies:
Covered Call: Hold stock + sell call option.
Protective Put: Hold stock + buy put to protect downside.
Intermediate:
Straddle: Buy call + buy put (same strike) → profit in big moves.
Strangle: Buy OTM call + OTM put → cheaper than straddle.
Spread: Buy one option, sell another to reduce cost (Bull Call Spread, Bear Put Spread).
Advanced:
Iron Condor: Sell OTM call + put, buy further OTM call + put → profit in sideways market.
Butterfly: Buy 1 ITM, sell 2 ATM, buy 1 OTM → limited risk, limited reward.
Calendar Spread: Sell near-term option, buy long-term option.
Options Trading in India
Options are traded mainly on NSE.
Index Options (Nifty, Bank Nifty, FinNifty, Sensex) dominate volume.
Weekly expiry (Thursday) has made option trading highly popular.
SEBI Rules: Margin requirements apply for writers, buyers only pay premium.
Retail boom: 90%+ of daily market volume comes from options now.
High-Quality Dip Buying1. Introduction – The Essence of Dip Buying
The phrase “Buy the dip” is one of the most common in financial markets — from Wall Street veterans to retail traders on social media. The core idea is simple:
When an asset’s price temporarily falls within an overall uptrend, smart traders buy at that lower price, expecting it to recover and make new highs.
But here’s the reality — not all dips are worth buying. Many traders rush in too soon, only to see the price fall further.
This is why High-Quality Dip Buying is different — it’s about buying dips with probability, timing, and market structure on your side, not just reacting to a red candle.
The goal here is strategic patience, technical confirmation, and risk-controlled execution.
2. Why Dip Buying Works (When Done Right)
Dip buying works because:
Trend Continuation – In a strong uptrend, pullbacks are natural pauses before the next leg higher.
Liquidity Pockets – Price often dips into zones where big players add positions.
Psychological Discounts – Market participants love “getting in at a better price,” creating buying pressure after a drop.
Mean Reversion – Markets often revert to an average after short-term overreactions.
But — without confirming the quality of the dip, traders risk catching a falling knife (a price that keeps dropping without support).
3. What Makes a “High-Quality” Dip?
A dip becomes high quality when:
It occurs in a strong underlying trend (measured with moving averages, higher highs/higher lows, or macro fundamentals).
The pullback is controlled, not panic-driven.
Volume behavior confirms accumulation — volume dries up during the dip and increases on recovery.
It tests a well-defined support zone (key levels, VWAP, 50-day MA, Fibonacci retracement, etc.).
Market sentiment remains bullish despite short-term weakness.
Macro or fundamental story stays intact — no major negative catalyst.
Think of it this way:
A low-quality dip is like buying a “discounted” product that’s broken.
A high-quality dip is like buying a brand-new iPhone during a holiday sale — same product, better price.
4. The Psychology Behind Dip Buying
Understanding trader psychology is critical.
Fear – When prices drop, many panic-sell. This creates opportunities for disciplined traders.
Greed – Some traders jump in too early without confirmation, leading to losses.
Patience – High-quality dip buyers wait for confirmation instead of guessing the bottom.
Confidence – They trust the trend and their plan, avoiding emotional exits.
In other words, dip buying rewards those who stay calm when others are reacting impulsively.
5. Market Conditions Where Dip Buying Thrives
High-quality dip buying works best in:
Strong Bull Markets – Indices and leading sectors are making higher highs.
Post-Correction Recoveries – Markets regain bullish momentum after a healthy pullback.
High-Liquidity Stocks/Assets – Blue chips, large caps, index ETFs, or top cryptos.
Clear Sector Leadership – Strong sectors (tech, healthcare, renewable energy) attract consistent dip buyers.
It’s risky in:
Bear markets (dips often turn into bigger drops)
Illiquid assets (wild volatility without strong support)
News-driven selloffs (fundamental damage)
6. Technical Tools for Identifying High-Quality Dips
A good dip buyer uses price action + indicators + volume.
a) Moving Averages
20 EMA / 50 EMA – Short to medium-term trend guides.
200 SMA – Long-term institutional trend.
High-quality dips often bounce near the 20 EMA in strong trends or the 50 EMA in moderate ones.
b) Support and Resistance Zones
Look for price retracing to:
Previous breakout levels
Trendline support
Volume profile high-volume nodes
c) Fibonacci Retracements
Common dip zones:
38.2% retracement – Healthy shallow pullback.
50% retracement – Neutral zone.
61.8% retracement – Deeper but often still bullish.
d) RSI (Relative Strength Index)
Strong trends often dip to RSI 40–50 before bouncing.
Avoid dips where RSI breaks below 30 and stays weak.
e) Volume Profile
Healthy dips = declining volume during pullback, rising volume on recovery.
7. Step-by-Step: Executing a High-Quality Dip Buy
Here’s a simple process:
Step 1 – Identify the Trend
Use moving averages and price structure (higher highs & higher lows).
Step 2 – Wait for the Pullback
Let price retrace to a strong support area.
Avoid chasing — patience is key.
Step 3 – Look for Confirmation
Reversal candlestick patterns (hammer, bullish engulfing).
Positive divergence in RSI/MACD.
Bounce on increased volume.
Step 4 – Plan Your Entry
Scale in: Start with partial size at the support, add on confirmation.
Use limit orders at planned levels.
Step 5 – Set Stop Loss
Place below recent swing low or key support.
Step 6 – Manage the Trade
Trail stop as price moves in your favor.
Take partial profits at predefined levels.
8. Risk Management in Dip Buying
Even high-quality dips can fail. Protect yourself by:
Never going all-in — scale in.
Using stop losses — don’t hold if structure breaks.
Sizing based on volatility — smaller size for volatile assets.
Limiting trades — avoid overtrading every dip.
9. Real Market Examples
Example 1 – Stock Market
Apple (AAPL) in a bull market often pulls back to the 20 EMA before continuing higher. Traders buying these dips with confirmation have historically seen strong returns.
Example 2 – Cryptocurrency
Bitcoin in a strong uptrend (2020–2021) had multiple 15–20% dips to the 50-day MA — each becoming an opportunity before making new highs.
Example 3 – Index ETFs
SPY ETF during 2019–2021 often dipped to the 50 EMA before strong rallies.
10. Common Mistakes in Dip Buying
Catching a falling knife — Buying without confirmation.
Ignoring news events — Buying into negative fundamental shifts.
Overleveraging — Increasing risk on a guess.
Buying every dip — Not all dips are equal.
No exit plan — Holding losers too long.
Conclusion
High-quality dip buying isn’t about impulsively buying when prices drop. It’s a disciplined, structured, and patient approach that aligns trend, technical analysis, and psychology.
When executed with precision and risk management, it allows traders to buy strength at a discount and participate in powerful trend continuations.
The golden rule?
Never buy a dip just because it’s lower — buy because the trend, structure, and confirmation all align.
Mastering the Intraday Sutra: An intraday trading strategyMastering the Intraday Sutra: A Professional Guide to Trading Indian Markets with Precision
(Adapting Globex Strategy-Inspired Concepts to India’s Unique Trading Hours)
Introduction
The Intraday Sutra strategy is a systematic approach designed for India’s equity/futures markets, inspired by the principles of identifying key price levels (similar to the Globex "high/low" concept) but tailored to India’s fixed trading hours (9:15 AM – 3:30 PM). This strategy leverages prior-day price action, supply-demand zones, and disciplined risk management to capitalize on intraday opportunities. Below, we break down its components for clarity and repeatability.
Strategy Overview
1. Core Instruments
Indices: All indices
Stocks: Nifty 50 constituents for alignment with index momentum
2. Ideal Time Frames
5-minute charts: For granular entry/exit precision.
15-minute charts: To filter noise and align with broader intraday trends.
Key Levels: Prior-Day High/Low & Supply-Demand Zones
1. Plotting Prior-Day High (PDH) and Prior-Day Low (PDL)
Purpose: These levels act as psychological benchmarks.
Method:
- Manually mark PDH/PDL on your chart.
- Use Trading View indicators (e.g., “Previous Day High-Low”) for automation.
2. Identifying Supply-Demand Zones
-Supply Zone:
- Formation: Rally → Base → Drop (RBD) or Drop → Base → Drop (DBD).
- Action: Potential sell zone; price often reverses downward here.
- Demand Zone:
- Formation: Drop → Base → Rally (DBR) or Rally → Base → Rally (RBR).
- Action: Potential buy zone; price often reverses upward here.
Zone Validation Rules:
1. Structure: The “base” (consolidation) must be ≤6 candles; the breakout must show ≥2 impulsive candles.
2. Freshness: Only trade untested zones (no prior price interaction).
3. Zone Merging: Combine overlapping zones or prioritize the one with the best risk-reward ratio.
Entry & Trade Triggers
1. Breakout Confirmation
Short Entry: Triggered when price breaks above prior-day high (PDH) and retests a fresh supply zone.
Long Entry: Triggered when price breaks below prior-day low (PDL) and retests a fresh demand zone.
2. Order Placement
Buy Limit Orders: Set at the demand zone’s proximal line
Sell Limit Orders: Set at the supply zone’s proximal line
Risk Management Framework
1. Stop Loss Placement
Long Trades: Below the demand zone (mechanical rule) or 5% of the Daily Average True Range (ATR) below the distal line of demand
Short Trades: Above the supply zone (mechanical rule) or 5% of Daily ATR above the distal line of supply
2. Position Sizing
Risk ≤1-2% of capital per trade to preserve longevity.
Trade Management & Profit Targets
1. Initial Target: 2:1 Risk-Reward (2R).
Example: If risking ₹1000, target ₹2000 profit.
2. Trailing Stop : Move stop loss to breakeven at 2R, then trail for 3R+ using price structure (e.g., swing lows/highs).
3. Priority: Focus on “A+ Setups” where zones align with higher timeframes (for example a 5 mins zone within a 15 mins zone or higher)
Critical Success Factors
1. Timing is Everything
Optimal Entry Window: 9:15 AM – 11:00 AM (peak liquidity, institutional participation).
Avoid Late Trades: Post-2:00 PM entries often lack momentum for robust risk-reward outcomes.
2. Confluence with Higher Timeframes
- Strengthen signals by aligning 5/15-minute zones with hourly/daily support/resistance/supply/demand zones
3. Event-Driven Volatility
Capitalize on gaps from overnight global news (e.g., US Fed, crude oil prices) or domestic catalysts (RBI policies, earnings).
Tools & Execution
Charting: Trading View for automated PDH/PDL and zone plotting
Mindset: Discipline to avoid overtrading and stick to fresh zones.
Example: The example taken here is on the Nifty 15 mins chart. See how the price broke the previous day's low and reacted nicely from a prior higher quality demand zone. These levels can act as trap levels trapping most of the retail traders and investors on the opposite side of the trade. The price gave a nice bounce from the demand zone and went on to rally to the opposing supply zone giving a greater than 3:1 R:R.
Conclusion
The Intraday Sutra strategy combines technical precision with rigorous risk management, offering a structured way to navigate India’s time-bound markets. By focusing on prior-day extremes, fresh supply-demand zones, and strategic timing, traders can systematically exploit intraday inefficiencies. Remember: Consistency beats complexity. Back test rigorously, refine your process, and let discipline drive profitability.
Final Note: Always validate this strategy in a simulated environment before deploying live capital. Use Trading View Bar Replay functionality to test your strategy.
Markets evolve—stay adaptive!
Silver DivergenceDivergence and Gold/Silver Ratio
Gold and silver are thought to move together, and often they do. There are periods where the Gold Trust (GLD) and Silver Trust (SLV) move in opposite directions and periods where one metal outperforms the other.
Gold is currently outperforming silver. Such discrepancies occur and are monitored by the gold/silver ratio. The gold/silver ratio shows how many ounces of silver it takes to buy an ounce of gold. Since 1975, the average is near 60; right now it stands near 80 ($1,187 divided by $14.99).
While gold outperformance, or silver's underperformance relative to gold, was very noticeable in early 2016, this has actually been going on for a long time. The outperformance has become even more pronounced since 2016. To start 2016, gold traded at $1,069 and silver at $13.80 -- the gold/silver ratio of 77.5. As of Oct. 2018, it's at 80. Gold prices have risen relative to silver prices quite steadily for years. This is mainly due to silver price weakness since peaking near $50 in 2011 (when silver outperformed gold).
Beginner to Advanced Trading
Every successful investor has one thing in common, they read as many investment books as they can. Trading in the share market requires a basic knowledge of all the aspects that can influence the prices of shares, and it can be gathered by reading books regularly.
Skills #1 and #2 – Research and Analysis. ...
Skill #3 – Adapting Your Market Analysis to Changing Market Conditions. ...
Skill #4 – Staying in the Game. ...
Skills #5 and #6 – Discipline and Patience. ...
Bonus Skill #7 – Record Keeping. ...
In the End.
What you need to become a successful trader?here we have discussed what are the important things that you will need to become a successful trader.
1. Techinical Analysis Skill: Understanding the chart behaviour;
Price
Volume
Support and resistance
Trendlines
2. Risk Capability
How much money you can afford to lose on a single order, and on a single day.
3. Peace of Mind
Are you having a thought that might disturb your trade making decision. You must
have a calm and peaceful mind for being a successful trader.
4. Trade Managment
Trade management is the skill that gives you the power to make intelligent
decisions based on the analysis of which point is the best point to enter and
exit from the trade.
Why BEAR-TRAP occurs? How to Avoid and Trade a BEAR-TRAP?What is a BEAR-TRAP?
--> BEAR-TRAP is a condition in the market where the Price gives a Breakdown below a Potential Support zone but quickly Reverses back above the Support without giving a follow up bearish candle.
Why a BEAR-TRAP occurs?
--> Big Players who are bullish on a specific stock would be wanting to buy a big quantity of shares at the best price , but there will be no enough sellers . Hence All Buy Orders of Big Players would not get filled. so what's the solution?
--> Big Players know that the Retailers have maximum of their StopLoss order's just below the Support.
--> Big Players will place Contra-Short Trades and will trigger the Stop-Loss Orders of the Retailers turning them into a Seller .Hence All Buy Orders of Big Players will get filled. .
--> New Breakdown Traders place Fresh Short-Sell Orders looking at the Breakdown and if its a F&O stock , Call-Sellers open new positions at ATM (At the money) Strikes. .
--> Now as All Buy Orders of Big Players got filled. . BIg players aggressively start moving the price up and trigger the Stop-Loss Orders of the New Breakdown Traders and Call-Sellers who entered looking at the Breakdown which ,again shoots up the price.
-->Hence All Bears are been Trapped.
How to avoid a BEAR-TRAP ?
--> Look at the Volumes on the Breakdown ! If the Volumes are Low , It is probably a Fake Breakdown! .
--> Wait for a follow up Bearish- Candle after the Breakdown Candle! i.e Take a entry only when the Low of the Breakdown-Candle breaks.
--> Check out if there is a significant Long-Unwinding if its a F&O stock.
How to trade a BEAR-TRAP ?
-->Check out for a Reversal Pattern soon after the Breakdown. Eg: Bullish Engulfing, Bullish Harami, Bullish Piercing .etc
--> This Reversal Candle Stick must close above the support.
-->Enter a Long Position above the high of this reversal candle .
Real Example!
--> NSE:POWERGRID was trading within a Rising Channel .
--> POWERGRID gave a Rising Channel Breakdown below 196 and gave a daily closing at 191. Perfect breakdown right?
-->Breakdown Traders entered here keeping their Stoploss above the POC or just above Psycological level 200. and Call Sellers would have Shorted the POWERGRID 200 CE STRIKE .
--> Check out the volumes on breakdown! Its very very low signifying its a Fake Breakdown.
--> POWERGRID on the following day made a Bullish Above Stomach Candlestick pattern and gave a closing above the support level 196.
-->Perfect Buy would be on 1HR Closing above the support level 196 on the next day.
-->Boom! Price made an Impulsive Movement after it triggered all the StopLoss Orders placed at Psycological level 200 by the Breakdown Traders and also due to the Short Covering at 200 CE STRIKE .
--> Wasn't it a perfect BEAR-TRAP Trade?
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A SYMMETRICAL TRIANGLE TRAP VARIATIONTriangles are one of the best continuation patterns. They are normally seen in the middle of a trend as the price halts and rebuild energy to resume in the direction of prevailing trend.
In this particular variation shown on the chart, the price breaks against the trend. It would look like as if the pattern is about to fail but the breakdown ends up in a trap. It traps most short sellers on the wrong side of the market at 6. The price then shoots up with strong momentum leaving no choice for the short sellers than to cover their positions. So instead of only breakout buyers at 7, the variation will also trigger buy orders of trapped short traders. Due to large number of buy orders at 7 the price shoots up pretty fast without any major pullbacks.
Its always good to keep such a strong weapons in your quiver and strike whenever the opportunity knocks.
It needs to be pointed here that the pattern will lose its worth as the price drifts closer to the Apex. As a rule of thumb, If the price is beyond 3/4th the length of the triangle, as shown on the chart, the pattern should be traded with caution. If the price has drifted up to the Apex, then ignore the pattern and move on to a next one.
The target for the triangle should be the height of the triangle from 1 to 2. This length measured above 7 will give us the target.
Ex. If the distance between 1 to 2 is 50 points and the breakout 7 happens at say 550, then target will be 550+50 = 600 (just an example). This is a conservative approach. Some trades would like to hold it and trail their stop loss until they get stopped out. It all depends upon one's trading style.
I hope the post would catch your interest.
Do like and comment for more educational ideas in future.
Regards
JJSingh
what type of trader🕵️♀️ are you ?✨SCALPING TRADER :>
The main advantage of scalping is the ability to gain profit from small price changes within the shortest time frame possible, which is often amplified by a larger position size. This is an intra-day type of trading which means that positions are closed before the end of the trading day or session
✨DAY TRADER :>
A day trader buys and subsequently sells financial instruments within the same trading day, which means all the positions that he creates are closed on the same trading day. Due to the short-term nature of day trading, there is less risk involved in it as there’s no risk of something happening overnight to cause a big loss.
✨SWING TRADER :>
Swing Trading is a strategy that focuses on taking smaller gains in short term trends and cutting losses quicker. The gains might be smaller, but done consistently over time they can compound into excellent annual returns. Swing Trading positions are usually held a few days to a couple of weeks, but can be held longer.
disclaimer - personal view
4 MOST COMMON TRADING PERSONALITIES 1.The Quick and Silent Sniper-
The sniper is a trader who has a lot of patience, who sits quietly and waits. At their side are the predefined perfect conditions for entry and exit. The sniper waits and waits for specific levels.
*2. The Scalper-
This type of trader is very aggressive.
They find themselves in many intermediate levels in the range of the rally cycle and often try to exploit and take advantage of many trades, expecting to make low profits.
*3. The Artillery* Barrager -
Bust out the big and loud guns for these guys.
These are traders who go with trial and error and just put as much out there as possible. They go on a specific level and then try multiple entries around key levels until it works.
*4. The Hobo ( or Trainhopper )-*
Imagine you’re in the wild west at a train station. A train just began to leave when you see someone run up alongside it with their bags slung over their shoulder.
The train speeds up, but they manage to toss their belongings in an open door. They pick up speed and haul themselves in as well.
disclaimer - shared whats read and learnt












