How I Set Up Swing Trades

Understanding how to find stocks to swing trade is an important step to being a successful swing trader. Although swing trading allows a full time worker the opportunity to participate in the stock market, this doesn’t mean that it doesn’t come with overnight risks one should be aware of.
Typically stocks that have consistent patterns, will usually continue to move in those same patterns. It is common that most swing traders will tend to buy stocks that move in that same pattern. This strategy is great for mid and large caps, but when it comes to penny stocks, anything can happen. I primarily trade stocks under $20 because I love the volatility and I have extremely high risk tolerance.

My Strategy

By purchasing and accumulating stocks that have bottomed out, has extremely low volume, or dropped due to offerings; this allows me to have greater upside potential. I research thoroughly before I enter positions I plan on swinging longer than a week.

My Due Diligence Process:

1. Browse company websites
2. Read through Public Releases
3. Subscribe to Investor Relation emails
4. Follow companies on LinkedIn
5. Review sec-filings
6. Look at historical prices
7. Monitor chart patterns and volume
8. Liquidity
9. Performance compared to others in the same sector
10. Not overextended on the daily chart
This is a strategy that has worked for me, but it may not work for everyone else.

Questions to Ask Yourself

1. What’s my risk tolerance?
2. What’s my patience level?
3. Do I enjoy quick scalps, or do I enjoy setting up longer swing positions?
4. Do I want to actively trade or am I more passive?
5. Am I willing to do proper due diligence before entering a trade?

Low Risk Investment Options

Those willing to put in the work will succeed as a trader. Those who want to be more passive with lower risk tolerance are more likely to do better diversifying their portfolio and investing long term into other investment vehicles:
1. High yield savings account
2. Money market account
3. Cash management account
4. Certificates of deposit (CD)
5. Dividend paying stocks
6. Corporate Bonds
7. Treasury bills, notes and bonds
8. Fixed annuities
9. Stable value funds
10. Real Estate
I’ll go more in depth about these at a later time. This will wrap up my first blog post about Trading! Stay tuned for more.
Disclaimer : This should not be considered investment advice, and should not be used to make investment decisions. Do not buy or sell any stock without conducting your own due diligence. Information on is opinionated and should be considered for information purposes only. No stock exchange anywhere has approved or disapproved the information contained herein. There is no express or implied solicitation to buy or sell securities. The charts and data provided here are not meant for investment purposes and only serve as examples. We are not liable for any losses you may endure from the buying and selling of stocks or securities within your accounts.

Eye Love Gains

Anna is the face behind Eye Love Gains. Her passion for helping Entrepreneurs, Small Business Owners, Traders, and those struggling to rebuild their lives is the key motivation behind Everything on is created by Anna. She beta tests various softwares and applications and conducts thorough research prior to publishing tutorials and articles. Anna is passionate about Investing and Trading as a means to fund her business ventures. Anna is also a caretaker for her mom and brother. Anna has a passion for web design, writing, laws and regulations. Anna is recognized in the Optometry and Optical Industry as paving educational pathways for the future workforce. She works with community colleges to write their academic curriculum for her industry. Anna is an ECP at her Optical, where she takes care of patients. She has previous experience working within the Government, Legal, Financial, Insurance, and Banking Industry. She also worked within Hospitals, Medical Facilities, Rehabilitation and Homeless Shelters, and as a Restaurant Manager. Her experience allows her to think outside the box when identifying issues and solving everyday problems.

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