Every investor is unique.
And I am not talking about their looks, personalities and pizza topping preferences, but rather the way we like to trade.
And because we all like different things, our personalities will lead us to trade differently from one another.
After all, even identical twins will have different fingerprints.
What I mean by that is that no two investors are the same.
Some may be calm, “type A” personality traders while others may be more aggressive, “type B” personality traders.
Some may like buying and selling securities based on short-term movements and taking small wins all the time, while others don’t mind losing a bit in order to make huge profits in the long run.
The difference between these different types of traders is their trading style.
A trading style is a set of preferences that determine how often one will place a trade and how long they will keep them open.
It is generally be based on the trader’s account size, how much time they can dedicate to trading, their personality and risk tolerance.
Now, even though your trading style will be unique to you and the goals you set in your trading plan, there are four popular styles a trader can choose from.
These are called scalping, day trading, swing trading and position trading.
In the next couple of lessons, we will explore all of these in more detail and help you determine what trading style fits you, your style and your circumstances best. And by the time we are done at this level, you will know exactly what type of trader YOU are.
Are you ready?
Grab yourself a coffee (or a beer) and let’s get to it!
See you in the next lesson.