Trading types

For example, QUIK and MetaTrader5 platforms are popular among traders.

  • QUIK is a reliable and secure platform for trading on the Russian and foreign stock markets due to data encryption. It provides a wide range of tools for analysis and trading, as well as a unique data update rate. In order for a trader to be able to monitor transactions and make transactions anywhere and at any time, there are browser and mobile versions.
  • MetaTrader5 is a program for trading derivatives, currency and stock market instruments with its own development capabilities. The platform, as follows from the description, is distinguished by the ability to create trading algorithms and reports in the MQL5 programming language.
    There are other platforms, but their principle of operation is approximately the same: providing the most up-to-date analytics and the ability to make transactions from any working terminals. Everything else is implementation details.

What are the types of trading?

There are several types of trading, among which seven can be found most often.

  1. Scalping is trading in which the trader makes a small profit from each price movement. It requires constant and painstaking work of the investor, since it is necessary to work on the shortest timeframes (for example, one minute).
  2. Trading in the medium term is the best option for beginner traders, calm and less risky than scalping. Profit/loss is formed from the movement of prices on periods equal to an hour, several hours, days. During this time, you can soberly analyze the data and choose a strategy.
  3. Trading on long-term timeframes (week, month) is based on the analysis of economic processes, external factors, market movements. As a rule, it is chosen by large capitals – corporations, banks, other financial institutions.
  4. Instant trading is a rare type when an investor combines trading on different timeframes.
  5. Technical trading – a trader trades on any timeframes based on technical analysis, that is, predicting the likely price change based on how they have changed in the past under similar circumstances (trend analysis).
  6. Fundamental trading – a trader trades in the medium term using fundamental analysis, that is, an analysis and forecast of the issuer’s market value based on the performance of companies.
  7. High-frequency trading is trading that is carried out not by people, but by complex powerful computers that perform up to several million computational operations per second in order to close a deal with maximum profit. This is a new, developing tool, which is nevertheless subject to attacks and periodically damages global stock markets.

In addition, trading is classified by goals, assets, speed of transactions, etc.
When a novice investor sits down at a computer and opens a trading platform, he often feels like a stock exchange magnate at the control panel for super profits. This is a deceptive and insidious feeling. Trading is not a game or entertainment, it is work with a busy schedule, high nervousness, requiring knowledge, skills, analysis skills and courage in making decisions. Therefore, be sure to decide on goals, time and a professional assistant (broker) who will accompany you on your way to the stock market. In this case, success accompanies the reasonable.