Beginner's Guide to Understanding Trading Styles
A beginner-friendly breakdown of trading styles — from intraday and swing trading to position and long-term investing — including hold times, risk levels, and methods.
Every trader and investor approaches the market differently. The time you hold a position, the tools you use, and the level of skill and capital required define your trading style. Choosing the right one is essential to your success — and it must fit your goals, risk tolerance and available time.
TechniTrader teaches the distinct rules for each of these styles exclusively through our Methodology Essentials™ program.
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Hold Time: Minutes to hours — in and out of the same stocks several times a day, always flat (no positions) by the market close.
Focus: Purely technical patterns, order flow, and market momentum.
Intraday trading is the fastest and highest-risk approach, typically reserved for professionals and high-frequency traders (HFTs). Beginners should master slower styles first.
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Hold Time: One trade per stock per day — all positions closed by session end.
Focus: Technical patterns and price volatility during the trading day.
Day trading remains demanding and risky but slightly less intense than intraday. It’s not suited for beginners or casual traders.
Those new to the market usually think of only day trading when they think of short-term trading of stocks or options. Here at TechniTrader, you'll learn that there are many ways to approach the market which have much higher success rates for retail traders.
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Hold Time: 1 day to 1 week
Focus: Technical chart signals showing rapid price acceleration or strong volume surges.
Momentum trading looks for short bursts of price movement — quick in, quick out — and is ideal for traders ready to move beyond simulation into active trading.
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Hold Time: Overnight to a few weeks
Focus: Technical patterns that play out over several days as momentum builds or reverses.
Swing trading is one of the most approachable short-term styles, ideal for part-time traders seeking steady monthly profits with lower stress than intraday trading. 👉 See the trading process used for swing trading in action.
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Hold Time: Several weeks to a few months
Focus: Combination of technical strength and basic fundamental factors.
Position trading is the lowest-risk short-term style and well-suited to beginners or those with limited time. It allows you to participate in strong market moves without needing to trade daily.
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Hold Time: A few months to about a year
Focus: Blend of technical and fundamental strength, often following business or product cycles.
Intermediate-term trading is an excellent bridge between investing and trading. It helps new investors learn how to apply short-term timing to longer-term opportunities.
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Hold Time: More than one year — often several years
Focus: Strong fundamentals, growth potential, and long-term trends.
Long-term investing carries the lowest risk when done properly. It’s ideal for retirement portfolios or stocks in industries with disruptive new technologies poised for multi-year expansion.
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Your trading style should fit you — not what’s trendy. Consider your:
Most traders focus on generating monthly income, but everyone also needs a long-term plan for building wealth and retirement. Learning both the short- and long-term approaches will give you the versatility professionals rely on.
TechniTrader is the only trading school that teaches all trading styles so you can choose those that work best for your situation, your goals and the current market condition.
👉 Tip: Learn the distinct rules and techniques for each style through TechniTrader’s Methodology Essentials™ program — the foundation for every trader we train.