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Swing Trading

Ever heard of swingers? And I’m not talking about swing dancing. And not about that other kind, either (get your head out of the gutter!).

Swing trading is like day trading in that it’s short-term trading. Short-term trading requires investors to pay attention to trends and news, and to research a lot about the businesses they’re investing in. They try to buy low and sell high, capturing the gains.

Unlike day traders, swing traders wait longer than a day before selling off what they bought, from around a day to a week. Swing traders are like leisurely day traders, waiting trends out by the days rather than by the hours.

Find other enlightening terms in Shmoop Finance Genius Bar(f)