Videos

Different Ways to Trade or Invest in the Stock Market

In this week’s lesson what I’d like to do is share with you the different ways or the methods that you can actually trade. I’m not going to go into every little concept or detail of how to execute these and how to be profitable in them.

I just want to show you the different varieties that you can actually put on for your trades or investments.

Trading based on Direction
The first way that you can trade is trade based on direction, when you’re trading based on direction there are two directions that you can trade. You can trade stocks to the upside or you can trade them to the downside.

If you trade stocks to the upside, you’re looking for a long or a bullish position, the reason they call it bullish is that bulls attack to the upside or long is you’re going to the upside and if you’re trading to the downside it’s a bearish position or typically a short position.

Because what you need to do is if you’re going to the long side maybe people understand the long direction because you buy a stock lower and you sell it at a higher price.

However, not everybody understands a bearish position or a short position, and the way that this works is you sell something at a higher price, let’s say 50 dollars per share and then you buy back at a lower price of let’s say 20 dollars per share.

So you borrowed these shares from a friend or your broker in this case and then you buy them back from market price, allowing you to make money on the difference of $30 per share.

The first way to trade is based on the direction and you can trade it either to the long or bullish side or to the downside or the bearish side which is the short position.

Trading based on time
The second way that you can do a trade is trade based on time and trading based on time allows you to define how big of an outlook you have and trading based on time, you can have a day trader or you have a swing trader.

Now you also have a long term investor there as well but these are the main two that in the trading community people define them as.

In the day trading world, you basically buy and sell a stock within 24 hours, it’s within a day, technically it’s 6 and a half hours because a trading day lasts 6 and a half hours.

A swing trader can hold a stock for multiple days, it could be 1 to 14 days, it could even be multiple months when you’re holding a stock for multiple months.

#trading #investing #stockmarket #waystotrade #tradingdifferent #howtotrade

Posted at: https://tradersfly.com/blog/different-ways-to-trade-or-invest-in-the-stock-market/

???? GET MY FREEBIES

Freebies

???? SUBMIT A VOICE QUESTION

Question – Hungry for Returns

???? START HERE: FOR NEW TRADERS

Start Here – for New Traders

???? START HERE: OPTION TRADERS

Start Here – Option Traders

???? MY CHARTING TOOLS + BROKERS

tools

???? MY COMPUTER EQUIPMENT

Resources: Computer Gear

???? GET THE NEWSLETTER

YouTube Newsletter Signup

???? SEE OUR MEMBERSHIP PLANS
https://tradersfly.com/go/members/

???? STOCK TRADING COURSES

See All Our Trading Courses

???? STOCK TRADING BOOKS:

Our Stock Trading Books

⚽ GET PRIVATE COACHING

Coaching for Stock Traders

???? WEBSITES:

Home Version 2.0

Home Page

Homepage 2.0

Home

Home

???? SOCIAL MEDIA:
https://tradersfly.com/go/twitter/
https://tradersfly.com/go/facebook/

⚡ SUBSCRIBE TO OUR YOUTUBE CHANNEL
https://tradersfly.com/go/sub/

???? MY YOUTUBE CHANNELS:
TradersFly: https://backstageincome.com/go/youtube-tradersfly/
BackstageIncome: https://backstageincome.com/go/youtube-bsi/
MyLittleNestEgg: https://mylittlenestegg.com/go/youtube/

???? ABOUT TRADERSFLY
TradersFly is a place where I enjoy sharing my knowledge and experience about the stock market, trading, and investing.

Stock trading can be a brutal industry, especially if you are new. Watch my free educational training videos to avoid making big mistakes and just to continue to get better.

Stock trading and investing is a long journey – it doesn’t happen overnight. If you are interested to share some insight or contribute to the community we’d love to have you subscribe and join us!

Articles You May Like

Russia detains 11 suspects after deadly attack on Moscow theatre
US and Japan plan biggest upgrade to security pact in more than 60 years
Russia declares invasion of Ukraine a ‘war’
Top Wall Street analysts like these dividend stocks for portfolio income
Balancing Act: Lander says $12B hike in NYC’s debt limit is reasonable