Many traders on stock exchange prefer to trade long term. This is convenient: less time is spent on trades, no need to monitor the chart for hours, the profit can be significant - more than in intraday trading or scalping.
Trading on fluctuations of 2-3 days or "swing trading" - a common tactic and is suitable for those who do not have time to be in front of the screen in the active hours of the trading session, and who nevertheless want to profit from sharp price movements in both directions (as opposed to long-term strategies).  

Swing trading stocks definition and basics

Swing trading is a medium-term style of trading based on the cyclicality of price movements. The main idea of this method is to recognize the beginning of the cycle at an early stage and use its dynamics as efficiently as possible. The success of a trader using this style depends on how finely he feels the points of beginning and end of a separate trend movement. The greater is the volume of directional price movement that a trader has managed to use, the greater is the profit.

It sounds simple and in general similar to most trading strategies and styles. But it is worth to study this topic more thoroughly, and you understand that you are facing a very complex system. There are several advantages of swing trading, which can be an excellent motivation to study this style of trading. For example, emotional tranquility, minimal time spent on trading, excellent trading potential, and a deeper understanding of the processes that take place in the market.

But this style is not without drawbacks as well. Probably the most significant of them is that swing trading does not tolerate superficial study and frivolity in work. Of course, if you treat trading carelessly, even the most perfect trading strategy will not save from failure. But swing trading is an area where there are no minor details and questions. You must form a deep and complete picture of the market and its cycles. 

Swing trading rules:

• To enter the market, it is best to prefer a medium-term trend at the initial stage of growth.

• The correct market entry is characterized by the immediate growth of your position in the direction of profit.

• If you have not yet reached your target and continue to make a profit, the position should be moved to the next day.

• If the position is losing money, it is better to close it as soon as possible to be able to open a more profitable trade.

• If you can make more profit than you expected, take whatever you can.

• Even if the position makes little profit, exit it at the first sign of the stoppage to minimize the risk.

• At the same time - be able to wait, do not close the position prematurely.

• A correctly chosen moment to enter the market will be the one during which the movement will be directed to the profit immediately after opening a trade. If this does not happen, and the price goes to a loss within 2-3 hours, the trade is closed manually at the first opportunity.

• A quick spike of the price towards the profit can be fixed immediately because later it is possible to enter again on a rollback after this sharp movement. Fast and small profit in swing trading can be a step to additional profit.

• All correctly opened trades are closed at Stop Loss or Take Profit.

• It makes sense to carry over to the next trading day only those trades that are in profit. Positions that are in a loss should be closed the same day.

• It is necessary to avoid opening positions at the moment of market opening or significant trading sessions. It is also recommended to close trades before news that can break the current trend, as well as during the explicit trend reversal.

• Swing trading excludes fighting the trend, pulling a losing position, or a strategy of averaging. It is necessary to enter the signal and exit if the situation has changed.

• You should not enter the market if there are doubts about the developments in the medium term.