Long-term Trading Vs. Short-term Trading

There are several ways to operate in the currency market. One of the choices you can make in this regard is to opt for long-term trading or short-term trading. What are the differences between these two trading styles and what is right for you?

If you choose to trade in the long-term period you can spend less time at the computer. In fact you can open only 1 or 2 transactions a week, sometimes even less. The timeframe to trade based on the long term is to 4 hours. This means that you can watch the graph only once every 4 hours.

So you can open a position, set a stop loss and a take profit; then you walk away from your computer easily. After four hours you can go back to see if you need to make changes or if the position has been closed. Depending on how you moved, you may also have already received a fair return.

If you have never done long-term trading, you might try openin a demo account to be used for this purpose. All forex brokers should also give us the opportunity to open a demo account. It is important to learn to trade. For starters it is important to begin to practice, and for those already experienced can be equally important to test new trading strategies. It helps giving us the opportunity to test strategies without running the risk of losing real money. Choosing a good forex broker is crucial to success in this world. Better take a few more days to choose calmly and with knowledge of the facts, not doing things in a hasty fashion and regret later.

Remember that when you do trading, the important thing to succeed in the long run is to have the patience to wait for the right occasion. Do not be hasty and try to open positions even if the market indicates that there is not a good time, otherwise you can lose money.

But in the short-term trading, following graphs such as every 5 or 15 minutes, then you must necessarily have the time to stand in front of the computer to watch the charts steadily trying to find the right time to enter. The opportunities come and go, do not last long and have a low income level, so you have to open more positions to make a good monthly income.

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