Position Trading Strategies
In This Chapter
• Position traders compared to investors
• Fundamental research drives stock selection
• Important business, market, and economic cycles
• Holding a position until the trend reverses
Position trading anchors the other end of the holding spectrum from short-term trading. Instead of a holding period of no more than one day and sometimes no more than a minute, characteristic of the short-term trader, the position trader is in for the long haul. The long haul in this case is as long as the stock is doing well and the price is moving up, even gradually. Position trading, also known by some as trend trading, looks to ride an upward (or downward) trend for as long as it runs, which could be months. ...