How well do trading skills transfer between markets?

[tomhunter]

Hello

Just a quick question

How well do the skills you may develop learning to trade forex for example transfer to trading the other markets like bonds, futures, stocks etc?

Are they all very similar, like looking for the same things in the graphs when using technical analysis?


Thanks
Best Regards
All help greatly appreciated

ps. What are the different styles of trading like day trading and swing and positon trading?

PPS. Is day trading and swing and positon trading the same sort of thing as people who buy x amount of shares in a company.(investments) or are they under a different part of investing.

 

[Rhody Trader]

Hello

Just a quick question

How well do the skills you may develop learning to trade forex for example transfer to trading the other markets like bonds, futures, stocks etc?

Are they all very similar, like looking for the same things in the graphs when using technical analysis?.

The basics of trading are the same across markets. Some of the methods can be the same as well. That said, markets have different nuances in the way they trade because of their different structures. As a result, you probably can't jump striaght from one to the other without making some adjustments.

ps. What are the different styles of trading like day trading and swing and positon trading?

PPS. Is day trading and swing and positon trading the same sort of thing as people who buy x amount of shares in a company.(investments) or are they under a different part of investing.

Day trading is when you carry no positions over from one trading day to the next. Swing trading normally means position holding periods measured in days to weeks. Positions trades are normally weeks and longer.

 

[tomhunter]

The basics of trading are the same across markets. Some of the methods can be the same as well. That said, markets have different nuances in the way they trade because of their different structures. As a result, you probably can't jump striaght from one to the other without making some adjustments.



Day trading is when you carry no positions over from one trading day to the next. Swing trading normally means position holding periods measured in days to weeks. Positions trades are normally weeks and longer.

Thanks alot, rep'd

I other thing are the investments that people make through a nomral stock broker like buying shares in a company or govormnet bonds, but not in this day trading way i mean where you actaully get them.

Is that a totally different thing to this day trading, swing and position trading and if so what "titles" or groups if you like do they both come under.

Thanks

 

[peto]

Perhaps you are referring to "Long Term Buy and Hold" or perhaps "investing". This is usually based on a liking for the fundamental qualities of a company and might involve holding for a year or several years. It is likely you would own the actual shares rather than cfd's , spreadbets or single stock futures, which would normally imply long positions only.

 

[tomhunter]

Perhaps you are referring to "Long Term Buy and Hold" or perhaps "investing". This is usually based on a liking for the fundamental qualities of a company and might involve holding for a year or several years. It is likely you would own the actual shares rather than cfd's , spreadbets or single stock futures, which would normally imply long positions only.

Yeah thats it thanks alot, so day trading isn't classed as investing?

Do you mean long term buy and hold and investing are the same thing?

Cheers

 

[Rhody Trader]

There are a lot of ways people differentiate trading vs. investing, but I think I can be pretty safe in saying that nobody would ever classify day trading as investing. Long-term buy and hold definitely is the favored approach for investing.

 

[tomhunter]

There are a lot of ways people differentiate trading vs. investing, but I think I can be pretty safe in saying that nobody would ever classify day trading as investing. Long-term buy and hold definitely is the favored approach for investing.

Thanks, are there physical differences between them like day trading your broker keeps your ownership or whatever and investing you actually become a part owner?

Cheers

 

[andycan]

Thanks, are there physical differences between them like day trading your broker keeps your ownership or whatever and investing you actually become a part owner?

Cheers

day trading is a completely different discipline to investing
its like flying a single engine plane to flying a jumbo jet
the similarities is the flying

 

[Rhody Trader]

Thanks, are there physical differences between them like day trading your broker keeps your ownership or whatever and investing you actually become a part owner?

Cheers

In all cases when you buy stock your broker holds the shares on your behalf. There are no transactional differences.