What is Your Trading Style

What Is Your Style

If you are a beginner your style has not yet been developed but it will over time.

Everybody has a different style some are long-term traders, also known as position traders? They will hold a position for weeks or months. Perhaps you like short-term trading these are people who hold a position for a few days? Some are real short-term traders they are known as day traders. They watch the markets throughout the day and always enter and exit their positions on the same day. Some times two are three times a day.
Each of type of trader uses a different strategy to achieve his goals. Here are a few of the different styles of trading used in the futures market.

Scalpers

A scalper trades in and out of the market many times during the day, hoping to make a small profit on a heavy volume of trades. Scalpers attempt to buy at the bid price and sell at the ask price, offsetting their trades within seconds of making the original trade. Scalpers rarely hold a position overnight and often don't trade or make predictions on the future direction of the market. Locals and market makers often employ a scalping strategy, which is the most common source of market liquidity.

Day Traders

A day trader is similar to a scalper in that he or she also typically does not hold positions overnight and is an active trader during the trading day. A day trader makes fewer trades than a scalper, generally holds his positions for a longer period of time than a scalper, and trades based on a prediction on the future direction of the market.

Short-term or Swing Traders

A short-term or swing trader can hold his or her position for a few hours or up to a few days or maybe even a few weeks. The swing trader tries to catch the short-term trends of the market.

Position Traders

A position trader might make one trading decision and then hold that position for days, weeks or months. Position traders are less concerned with minor fluctuations and are more focused on long-term trends and market forces.
Many traders have difficulty holding a position trade long enough to make it profitable. They find it psychologically easier to keep the timeframe short. While it may be easier to hold your position over the short run, many successful traders will say the best results come from longer-term trading.