Swing Trading: Advantages

Swing trading, according to some Online Broker Reviews, tries to mix up the best of two worlds. It combines the slow pace of investing and the quick potential gains of day trading. You may want to try it out if you want to make a weekly or monthly living. We’ll tell you why it’s popular, and you’ll see the advantages of swing trading.

First Advantage: Concentrated

This approach in trading using an HQBroker Trading Platform is very technical and is based mostly on looking for short term trends. Swing traders ride out the trends and get out of it before a market correction.

With that being said, swing trading enables you to focus on the core market movement and identify trend momentum easily through its time frames. You’ll save yourself from having to pore over a variety of data, like balance sheets and other similar stuff.

The narrow focus can help you concentrate in areas where you can be very good at. Plus, because you got a very narrow area to focus on, you’ll be less stressed.

Second Advantage: Quick Results

As mentioned, swing trading only involves trades within just a few days, or a month. You don’t have to wait long to find out if your strategy has been successful or not.

This advantage gives you more chances of tweaking your strategy until you reach the most ideal level you want. Most of the time, swing traders aim to reach the point where their strategy constantly generates some money for them.

Third Advantage: Monthly Income

Because you don’t have to wait and watch time tick by, like in long-term trading, you will quickly see how much money you have made so far in your trades. You’ll also find how much of that can be considered as your income.

Try to maximize your earnings by doing a minimum of three to five trades per week. These are usually realized and finished in less than ten days.

Fourth Advantage: Time Efficient

If you’re swing trading, you don’t have to constantly monitor your trades. If you’re a busy body and you dash around often, swing trading might just suit you perfectly well.

Additionally, once you have already familiarized yourself with technical analysis, in line with the concentrated focus of things about a stock, you may efficiently save your time by quickly identifying trends.

Fifth Advantage: Risk Management

Risk management is arguably the most important advantage of swing trading for those who do it.

In swing trading, you can put smaller stop losses than those you put on longer term trades. That means you can place a position with a larger size, rather than extremely low leveraged ones through longer term trends.

Additionally, you further minimize your risk because you’re only making three to five trades in a week. That means you don’t have to look at a very broad range of investments to check. You can keep a very close tab on your trades in a very short time.


Swing trading is very ideal for traders for various reasons. Life is fast paced nowadays, and sometimes waiting for a long term investment is out of the question. With swing trading, you can trade without sacrificing your time for other stuff you enjoy. It is also a very good source of income if done right.