Wednesday, June 27, 2012

Swing Trading .. 3

  1. Swing Trading combines the best of two worlds -- the slower pace of investing and the increased potential gains of day trading.
  2. Swing Trading works well for part-time traders — especially those doing it while at work. While day traders typically have to stay glued to their computers for hours at a time, feverishly watching minute-to-minute changes in quotes, swing trading doesn't require that type of focus and dedication.
  3. While Day Traders gamble on stocks popping or falling by fractions of points, Swing Traders try to ride "swings" in the market. Swing Traders buy fewer stocks and aim for bigger gains, they pay lower brokerage and, theoretically, have a better chance of earning larger gains.
  4. With day trading, the only person getting rich is the broker. "Swing traders go for the meat of the move while a day trader just gets scraps." Furthermore, to swing trade, you don't need sophisticated computer hook-ups or lightning quick execution services and you don't have to play extremely volatile stocks.

Tuesday, June 19, 2012

Swing Trading ... 2

  • The basic strategy of Swing Trading is to jump into a strongly trending stock after its period of consolidation or correction is complete.
  • Strongly trending stocks often make a quick move after completing its correction which one can profit from.
  • One then sells the stock after 2 to 7 days for a 5-25% move. This process can be repeated over and over again. One can also play the short side by shorting stocks that fall through support levels.
  • In brief a Swing Trader's goal is to make money by capturing the quick moves that stocks make in their life span, and at the same time controlling their risk by proper money management techniques. 

Saturday, June 9, 2012

Swing Trading

What is swing Trading? To be honest, I was baffled too when I first heard the term. Swing Trading takes advantage of brief price swings in strongly trending stocks to ride the momentum in the direction of the trend. Swing trading combines the best of two worlds - the slower pace of investing and the increased potential gains of day trading. Swing traders hold stocks for days or weeks playing the general upward or downward trends.

Swing Trading is not high-speed day trading. Some people call it momentum investing, because you only hold positions that are making major moves. By rolling your money over rapidly through short term gains you can quickly build up your equity.

Saturday, June 2, 2012

Fixed Deposit Account

A fixed deposit account allows you to deposit your money for a set period of time, thereby earning you a higher rate of interest in return than a savings bank account. Any individuals and organizations with the intention of retaining their savings for a fixed period for some future use can have this account.

You can withdraw the deposit at any time before maturity without any difficulty. You can avail loans upto 85% of the principal. There are variable deposit periods ranging from 6 months to 120 months available.

The minimum deposit amount is Rs. 1,000/- and deposits can be made in multiples of Rs. 100/-.