Position Trading

Position trading focuses on long-term market trends, with trades lasting several months to years. The goal is to capture major price movements rather than short-term fluctuations.

Key Points:

• Similar to long-term investing but involves active monitoring and adjustments.
• Relies on fundamental analysis, economic indicators, and macro trends.
• Best suited for stocks, ETFs, commodities, and long-term forex trends.
• Requires patience and large capital since price movements take longer to play out.

Time Frames Used:

• Entry & Execution: Weekly (W1), Monthly (MN)
• Confirmation & Trend Analysis: Quarterly & Yearly market cycles

Example: A trader buys Amazon stock at $1,000 and holds it for 3 years, selling at $3,000, making a 200% return.