What is Swing Trading?

Swing trading is a trading method that is ideally suited to someone who doesn't wish to be in front of a computer all day, but would still like profit by trading. It is ideally suited to someone who may still have a job or other responsibilities or interests that require their attention. Trades using this system are meant to be slower in nature than that of a day-trader, typically lasting from one day to a month.


Our software constantly monitors both historical performance and technical indicators to identify when an opportunity presents itself to provide what we believe has a strong probability of generating a minimum 8% option profit on that particular trade. We consider a minimum profit on options to be 8% or stocks to be 3% and not all indicators are suitable for option purchases. It is recommended that you enroll in the Technical Trading Training course to gain a better understanding of why one would be more suitable than the other.

Stocks or Options?

Not all trades are ideally suited for options. If you prefer to trade options, be advised that there is a time component (theta) that will reduce the options' value over time and if not actively managed, could become worthless, although the profit potential is considerably greater. Since these are meant to be held for a longer time period, if buying options, ensure that the spreads (difference between bid and ask) are reasonable (less than $0.05) and that there is adequate time before expiration. Otherwise, consider purchasing the stocks rather than the options. As you will be paying for the time component with options, understand that they will be more expensive than those expiring soon.

When buying stocks, there is no time component, so their life is meant, by design, to provide the adequate time to successfully achieve the minimum targeted profit. Some stocks can pay dividends too, which will result in a lower acquisition cost.