The rise of the internet, along with online trading houses and brokers, has paved the way for average individuals to try their hands on trading.
The allure of trading is undeniable, and often the new traders are in a dilemma to choose the type of trade and which one to focus on.
Based on their interest, some traders prefer day trading while others want to kick start the trading experience with swing trading.
Let’s discuss further and know the difference between these two types of trading.
Intraday Trading versus Swing Trading
Intraday trading, as the name suggests, is the practice of buying and selling stocks in a short time frame to earn short term profits. In short, it is the purchase and sale of a security within a single trading day.
Swing trading uses short term trading tactics; that is, it is suitable for traders who can see profit soon. Swing traders aim to hold a position only long enough to seize a significant advantage.
The real difference between intraday trading and swing trading is the time. Rest of the difference between the two is discussed below:
Each type of trading has its pros and cons. The main deciding factor lies on you, how much time and effort you’re willing to commit to monitor the market and decide your trades.