Different Types of Forex Trading Strategies & Different Chart Timeframes Explained
The different forex trading strategies that use different chart timeframes are:
- Scalping Strategy
- Day Trading Strategy
- Swing Trading Strategy
- Position Trading Strategy
Scalping Trading Strategy
Scalping trading forex strategy is where a trader will use forex chart timeframes of 5 minutes and below.
Scalpers only open forex trades for a few minutes & open many forex trades during the day.
Scalping strategy requires a trader to have a lot of time to monitor the forex price movements waiting for forex trading opportunities to open forex trades.
Forex scalper traders aim to capture the short term forex price movements that move within a few minutes.
Day Trading Strategy
Day trading forex strategy is where a trader will use forex chart timeframes of 1 hour and below.
Day strategy requires a trader to have a lot of time to monitor the forex price movements waiting for forex trading opportunities to open forex trades.
Forex day traders aim to capture the intraday forex price short term movements.
Swing Trading Strategy
Swing trading forex strategy is where a trader will use forex chart timeframes of between 1 hour forex charts and daily charts.
Swing strategy requires a trader to use less time to monitor the forex price movements waiting for forex trading opportunities to open forex trades.
Forex swing traders will use forex chart timeframes that are long enough to help them identify the intermediate forex market trends.
Forex swing traders objective to capture the medium term forex price movements.
Position Trading Strategy
Position trading forex strategy is where a trader will use forex chart timeframes of between day forex charts and monthly forex trading charts.
Position strategy requires a trader to use less time to monitor the forex price movements waiting for forex trading opportunities to open forex trades.
Position swing traders will use forex chart timeframes that are long enough to help them identify the long term forex market trends.
Forex position traders objective to capture the long term forex price movements.
Different Types of Forex Trading Strategies & Different Chart Timeframes Explained
