Positional trading and its indicators

1
(No Transcript)
2
(No Transcript)
3
Positional trading is a sort of investment where
people hold their stock positions for long-term
(for weeks or months or a few years) with the
belief that they will return great profits. This
makes position trading more suitable for trading
any sort of market. It doesnt indicate you
dont have any selling chance here. The
positional trading consists of selling
opportunities based on indicators of positional
trading. They are determined on the basis of
fundamental analysis.
4
Positional trading is not suitable for casual
investors as it needs comprehensive knowledge to
study trends. If you think, youve understood the
topic, and then you should not ignore positional
trading, as you can make huge profits. The
majority of the strategies used in position
trading ensure a precise amount of profits.
Though, keeping the level of risk is much more
important than making profits. As you trade with
a huge amount of money, making a little bit of
return is also very significant.
5

• Benefits of Positional Trading
• A positional trader is winning even with a low
  rate of success (30-35).
• A limit to the number of transaction reduces the
  brokerage, shipping and transaction taxes.
• Profits of positional trader are into short term
  capital earnings and are taxed.
• A positional trader keeps his positions small to
  cut the overnight market risk and loss.
• A positional trader has to sustain very low data
  costs.
• A positional trader uses trading systems to trade
  to have little or no pressure.

6
What Are Technical Indicators for Positional
Trading?

• Exponential Moving Average (EMA)
• Relative Strength Index (RSI)

7
Exponential Moving Average (EMA)
 The long-term positional trading strategy uses
200-Day EMA, 50-Day EMA to decide the fortune of
the stock holding. These exponential moving
averages are recognized as the best averages to
evaluate a positional holding. Just by
calculating the moving average crossover, you can
be aware of the market trend for that stock.
8
Relative Strength Index (RSI)
The RSI indicator is used to determine the
appropriate time for profit booking. Buying when
the stock price closes over the 200-Day EMA would
be the correct approach. Since 200-Day EMA is
considered the most effective positional trading
indicator, it finds out the direction of the
trend.
9
IT IS ESSENTIAL TO HAVE A DETAILED UNDERSTANDING
OF THE TRENDS BEFORE YOU MOVE FURTHER.
To be a successful positional trader, trading
requires a lot of patience and control and not
gets panicked by short-term risky market moves.
So, if youre super-patient and calm, and if you
use the right positional trading indicator at the
right time you can consider yourself blessed
because you have all you need to trade long-term.
Nothing on this planet can make wealth like
holding a long-term trend and use the power of
compounding.
footer
10
To wrap up the above discussion, positional
trading is the easiest form of stock market
trading. While several traders find it difficult
as it seems. The few things positional traders
should always keep in mind is to search the right
stock, analyze trends through study, find the
entry and exit point, and last is to keep a
regular track on stock price activities.If you
are looking for the best intraday trading tips
Bullish India will help you to gain maximum
profit with minimum risk by providing genuine
intraday tips, multibagger stocks, and NIFTY
calls. You can also download the Bullish India
mobile app from the Google Play Store and can get
free market alerts.
11
Contact us
info_at_bullishindia.com
9988137985
1540 , SECTOR 22-B, CHANDIGARH.
www.bullishindia.com