What is Positional Trading and what are its benefits?

Posted by Saurabh Chaurasia on

Positional Stock Trading Strategies

What is Positional Trading ? 

If you are not a fan of day trading and you're looking for a long-term strategy, position trading is right for you! Positional trading is preferred by those who don't like to sit in front of screens all day.

Importance of Positional Trading

If you want to invest in the stock market without taking too much stress, positional stock trading is the ultimate option. This moving average allows more time between trade decisions as compared to day trading or swing trading. The best thing about position trading or convergence divergence is, when stocks make huge moves over weeks and months, you can ride them if you are prepared.

Benefits of Positional Trading 

Position trading strategy is becoming popular in the Forex Markets. As Forex markets are highly volatile, investors are finding this strategy to be perfect. Mostly, the novice traders trade the short time frame in the market with high lot size and blow their entire trading account. They simply think that they will earn quick money by trading in live assets. So, position traders are saved from this stress. If you are trading CFD with a position trading system then you don't have to worry all the time or watch the market. These trades can open for many days and also weeks and months. Even when the movement is getting in the other direction, position trades do not take their money out. Some expert traders in the Australian trading community use the position trading system can make a decent profit every month


While learning positional trading, you will be familiar with different trade setups like Stochastics, RSI, Bollinger Bands and ADX. As the nature of the financial sector, business strategy comes with a fluctuation. The responsibility of choosing an optimal trading method lies with each interested investor.