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Swing Trading Simplified

By May 26, 2020 how to

If you’re not sure what trading style best compliments your trading abilities, make sure to take a test from the What Type Of Trader Are You – Quiz series. Once you’re certain that Swing trading is the right style for you, continue reading this article. We’re going to delve into some pretty important questions, such as “Is Swing trading profitable?”, “What are the realistic Swing trading returns?”, “What is the best Swing trading service” and some others. Add this page to your bookmarks for quick and easy access, should you wish to revisit this article in the future. 

Swing Trading Basics

Swing Trading, as a trading style, allows traders to hold open positions overnight. Because of this principle, swing traders may be subject to overnight risk. The two major risks that may occur are gaps and down against the position. Swing traders typically work with smaller position sizes, compared to Day Trading. However, traderXlab makes it possible for Swing traders to utilise up to 1:1000 leverage if a trader’s capital isn’t sufficient to carry out the necessary trading operations. 

Is Swing Trading Profitable?

Let’s not beat about the bush – yes, Swing trading is profitable under one condition: if your market movement predictions are correct and implemented in a timely manner. Sounds simple, right? In reality, Swing traders put in a lot of work in order to meet this one but critical condition. Don’t worry, we’re going to show you ways traderXlab can make your way to success a fair bit easier. Keep calm and carry on reading, as they say.

Realistic Swing Trading Returns 

According to our research, the most realistic Swing Trading returns are anywhere between 10%-40% a year. Your success rate will be affected by a number of factors, like your previous experience, ability to spot opportunities, discipline, position sizing, etc.

Swing Trading VS Day Trading

The main difference between Swing Trading vs Day Trading is the holding time. Day traders close their position before the end of market hours, whereas Swing traders hold their positions open overnight. Typically, Swing traders hold for days or even weeks. 

Most Successful Swing Traders

Dan Zanger

There are a few prominent swing traders, but hardly anyone can compare with Dan Zanger’s performance and the ultimate WOW factor. 

This American swing trader is so unique that Fortune magazine wrote an article about him. What’s so special about him you may ask? Dan Zanger is a swing trading prodigy that was able to turn $10,775 into $18 million in just under two years!

Dan Zanger uses CANSLIM as his trading style and a number of popular patterns including bull flags, wedges, head and shoulders etc.

Peter Brandt

Peter L. Brandt is a commodity futures trader, who has been trading for over 40 years and making millions along the way. Peter primarily focuses on longer term chart patterns.

When choosing who to follow and learn from, Peter’s experience, wisdom and success in Swing trading are the reflection of his genius mind. His trading approach would be more suitable for those traders who prefer a more passive or part-time trading style.

Brandt wrote a book, which we couldn’t recommend enough to the traders that are just starting out. 

Mark Minervini

Mark Minervini is another prominent swing trader, known for making a 33,554% return over 5 years using a simple stock-trading strategy. In other words, if you had handed Mr. Minervini $100,000, he would have turned it into more than $30 million. 

Mark is a stock trading legend and is among the best-selling authors. His book “Mindset Secrets for Winning” is a practical guide in which he shares his empowerment principles to becoming a successful trader. 

Mark’s persistence got him where he is today. For years, he implemented the same style and strategy and became incredibly good at it. Namely, “… looking for stocks that are in strong uptrends that are coming out of consolidations.” 

Best Swing Trading Service

TraderXlab provides, without a doubt, the best Swing trading service on the market. We have positioned ourselves as a trading platform and a broker, whose vision is to provide the best Swing trading education and beyond to traders that are keen to learn Swing trading step by step. 

Traders that sign up with traderxlab have an incomparable advantage among their peers. At traderXlab, we put enormous efforts to keep the number of losing trades at minimum. Understanding that Swing Trading may be somewhat riskier than some other trading styles due to overnight exposure, proper education and finding the right trading strategy is key. Not only do our traders learn how to find and Swing trade stocks, but they are provided with the best sources and Swing trading books to draw knowledge and inspiration from. 

In order to be successful in Swing trading, theoretical knowledge is not always sufficient. Before engaging in Swing trading Forex and Stocks, traderXlab traders can request assistance from their Financial Advisors regarding their Swing trading strategy. 

From the technical point of view, the traderXlab platform is equipped with various Swing trading indicators and signals that makes it easier for traders to understand when to sell or when to take profits while Swing trading.

Summary

In “Swing Trading Simplified” we have compiled and answered all the necessary questions about Swing trading. By getting familiar with this article, you will learn how profitable Swing trading can be and what kind of realistic annual returns you may expect. We hope that our list of the most successful Swing traders will inspire traders to learn more about Swing trading and the edge this trading style can give to their portfolio.