What Are Different Types of Forex Traders? - Different Types of Forex Trading Styles
Types of Forex Traders: Scalper Traders, Day Traders and Swing Traders
There are different types of Forex traders depending on the amount of time that they hold their open forex trades.
These forex traders also use different chart time frames to place their trades.
The different types of forex traders are:
- Scalpers
- Day forex traders
- Swing forex traders
- Position forex traders
Forex Scalpers - Scalper Traders
Forex scalpers are the traders that hold on to their open forex trades for only a few minutes. With objective of making small amounts of pips as profit, 10 to 20 pips.
Forex scalpers make many trades in one day, trading forex during the busiest times of the day.
Scalpers are forex traders that can make quick forex trading decisions.
Forex Scalpers use 1 minute charts and 5 minutes charts to place their trades. They use 5 min chart to determine the trend, if it going up or down, then use 1 min chart to decide their entry and exit points.
Day Traders
Forex Day Traders are the traders who hold on to their open trades for a few hours but not more than a day. With the aim of making quite a number of pips profit, 30 to 70 pips
Day forex traders make 1 or 3 trades in one day, trading forex during the busiest times of the day and they do not hold their open forex trades overnight.
Day forex traders use 15 minute charts and 1 hour forex charts to lace their forex trades. They use 1 hour forex chart to determine the trend, if it going up or down, then use 15 min chart to decide their entry and exit points.
Swing Traders
These are the traders that hold on to their open forex trades for few days to a week. With main objective of making a big amount of pips, 100 to 300 pips
Swing forex traders make an average of 2 to 5 trades in one week, holding onto their open forex trades overnight. Forex swing trading requires forex traders who are patient.
Swing forex traders use 1 hour forex charts and 4 hour forex charts to place their forex trades. They use 4 hour forex charts to determine the trend, if it going up or down, then use 1 hour chart to decide their entry and exit.
Position forex traders
These are the traders who hold onto their trades for weeks or months. With the aim of making a large amount of pips, 300 to 800 pips.
Position forex traders make an average of 2 to 5 trades in a year, Position trading requires forex traders who are patient, experienced and have huge account balances that can withstand huge drawdowns.
Position forex traders use 1 day and weekly forex charts to put their trades. They use weekly forex charts to determine the forex trend, if it going up or down, then use 1 day forex chart to decide their entry and exit.
What type of Forex trader is the best?
The most popular type of Forex trader is the forex day trader and forex swing trader. When starting its best to try forex day trading & with some experience try forex swing trading. These forex trading methods are most suitable for new traders.
Scalping forex trading is also popular among forex traders.
Position forex trading isn't very popular because this type of trading requires a huge forex account balance and sometime it can result to huge forex draw downs.
What Are Different Types of Forex Traders? - What are the Different Types of Forex Trading? - Types of Forex Trade Styles - How Many Types of Forex Trading are There?
