In present time, there are many platforms that provide online trading opportunities for traders. In spite of all that, not everyone can earn because they don’t have capabilities and often they choose mismatched business.
There are a lot of traders who earns really healthy profits daily and also those who even loose what they have after investing. Because they invest in a business that doesn’t suits them.
Let’s find out with type of trader which genre of trade suits you:
How To Know Which Genre Suits You As A Trader?
For knowing the answer of this question you should consider the following aspects for becoming a good type of trader:
- Time you can give to your trading.
- Think carefully whether you are risk lover or risk averse.
- Consider your state of mind either you’re cool minded or impulsive.
- Take in account your mathematics & statistical approach, etc.
Different Genre of Traders:-
There are many classified traders as described by Traders Union.
Fundamental Traders is best for the type of traders that don’t dedicate enough time for trading due to their other jobs. Besides that if you’ve risk averse personality, this type of trade is best for you. Also it doesn’t demand much understanding of mathematics and programming. But have low profit margin.
As it seems from the name that this type of traders relies on news. This type of traders keeps them update with latest economic and political news that help out them to make rapid steps precisely for their trading.
Its profit is higher as compared to fundamental. But it requires strong foresightedness and correct forecasting.
Scalper Traders is a type of traders who are professionals and dedicate much time in trading. They are most active ones and carry out large amount of transactions in a day.
They can earn a great profit but the work is also stressful. They choose a narrow spread markets such as: Forex pairs (EUR & USD), Apple (AAPL), Bank of America.
Day Traders and Swing Traders:-
These types of traders have to dedicate almost their whole day for trading. Day and swing traders both use technical or volume analysis they only differ in position and timeframe.
Day traders use 5minutes to 30minutes for all position a day. However, Swing traders can hold positions for several days to weeks with a timeframe of 1hour to 1day.
Arbitrage Trader is a type of traders who buy certain products from low price market and sell these products at high prices where the supply of these products is limited.
For this type of traders, understanding of mathematics and statistics is very necessary. The competition is also tough.
Algorithmic Traders is an automated type of trade, in which traders earns by computer trading programs. It doesn’t need mental fatigue like stress, emotional decisions, etc. As all program is automated so there are less chances of error in it.
Traders can create a bot simply with a slight knowledge of technical analysis indicator. Special trade software can be used for testing of ideas. For this purpose R trader portal from RoboForex is used.
As all can access so competition in this is very high with leading companies.
Choosing A Correct Type of Trader With Traders Union:-
By using Traders Union platform you can access the information about your type if you want to trade and you’re uncertain about profit and loss. So using the information in this platform will lead you to a great future.
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