So what is the biggest difference between a day trade and a swing trade? What's going on, Guys, It's Ricky here with Tackpot Solutions Hope that you guys are all having an amazing day! I Really hope that you can sit back, relax, learn something new, and if you do, please consider dropping a thumbs up and subscribing if you have any questions after watching this video. I Hope that you can feel free to send me a direct message either via Discord or via Instagram and that's the first or third link in the description of this video linked down below. Let me go ahead and start sharing my screen. So let me explain to you this, uh, today when it comes down to my day trade, right? I made 11 401.14 on T QQQ I'm preparing for a swing trade and this was a question that I got earlier today.

Well, why not just swing trade it and then I can just make more money right? Once it begins to recover, it's because of the If and it's if it begins to recover. That is the risk when it comes down to swing training, right? Day trading is the buying and selling of the same stock within the same date. Swing trading is buying and selling the same stock over a longer period of time. Therefore, if I carry a position overnight, then I take on a risk that is unmanageable in the sense that I cannot control where the Market opens the next morning.

So therefore, I need to make sure that I have specific criteria that is met before entering. In my opinion, a higher form of risk when holding a position overnight, right? And that's the main difference between my day trade, right? my day trade. One of the first things that I talk about is when it comes down to day trading. my main focus is I'm on the one minute and on the five minute time frame, right? Those are my two favorite time frames when day trading.

I Like to look at shorter time frames because again, I'm making intraday plays that are within the given day. Now it's not. You know there's nothing wrong with looking at larger time frames one day trading as it can give you different perspectives. They're just not as relevant or as important when it comes down to that intraday play, right? So enter exit, enter exit I Can look at support resistance levels.

Whatever the case might be right. We talk about it all in Lpp of the three stages of a reversal login and profits at overbought levels based off of specific indicators RSI no signs of progress Beyond a specific point close it out completely and then I walked away with eleven thousand four hundred. Right when it comes down to my swing trade, I'm looking more at the you know, 30 minute time frame maybe the one hour time frame and that's exactly what I'm looking at for Tqq for Tqq because we're at previous support levels. Uh, I'm entertaining the idea of hey, I possibly want to buy the dip on this, but what do I need it to mean, right? This is my criteria.

This is based off of my opinion, not yours. So please make sure you understand the difference now again, I'm going to also look at the four hour time frame. Okay, Tqq has been bullish for 2023. Tqq for those that are unaware, is a triple leveraged NASDAQ ETF meaning that it does three times or whatever the NASDAQ Market does now stack.

Market hasn't been having an amazing 2023. NASDAQ Market tends to be more bullish than it is bearish, but it is one of the most volatile indexes out of the main three, right: S P 500 and DOW Jones. From overall lows uh, to the overall highs, we've experienced a pretty decent return for 2023 and as you can see right on over here, it's been over 100 percent right. We could see here this is early January to overall highs that we made for 2023 that is 192 percent ROI In a perfect world, but guess what? I'm not a perfect Trader so that's why it doesn't work out that way.

It's not just about buying the dip and selling the highs and that it's always going to go according to plan. It's because of the If and this is the main difference. So the first thing is I look at larger time frames 30 minute, one hour, four hour, and even the day chart. Something to give me a bigger perspective or bigger picture.

a bit better understanding of what's going on with this. Um, you know, ETF or overall stock. Then I start to really kind of like hone down on these these time frames. The 30 minute and the one hour as of right now the one hour is the one that I find to be the most accurate.

It's very easy to see the support that we're testing based off of previous support levels, but the biggest difference is you might be like, well, Ricky why not just buy it here? It bounced here before. It's because patterns tend to repeat themselves, but they don't always have to and it's just because of that. But that that is why we wait for confirmation. What's confirmation, you might ask? Well, what is what did it do before that it's not doing just yet? Well, as of right now, it's been getting rejected by this EMA Meaning that it tries to push up, it gets rejected, and then it sells back off.

right? It tries to push up. but again, as of right now, there's signs of a resistance at that. EMA And if it continues to get rejected at that EMA then there's no reason to go long on a swing trade. If the actual pattern itself is still selling off, right? this is where confirmation comes in.

I Want to see this do what it did last time where it breaks above VMA and it begins to show signs of progress above the EMA And even during this pullback, right? because this happened over a period of time, It's not just that it pushes up and it's going to continue to Rally like it does in the movie, right? It takes time, there's pullbacks along the way, and this is where you manage your position right, making sure that you can tolerate these pullbacks. but ultimately I want to make sure that direction is favorable that it's making me money or showing signs of making me money before I hope that it does. So that is where I say wait for confirmation. There's a thing that I break down in LBP that are called the three stages of reversal, the rejection which is the active sell-off the consolidation where it's establishing a support, and then the confirmation where we break that consolidation phase and actually begin to indicate uh and enter an active uptrend.

And that's when we begin to form higher highs and higher lows. and even then it's not guaranteed that it has to make a full recovery. It's just again entering when conditions are more favorable, right? And that's exactly what I would be waiting for. This, and you know you might be asking.

Well, how does that differentiate from day trading? Well, with day trading. I Also, wait work for reversals, but reversals with day trading take only a few minutes, right? Like today. On the one minute time frame, it's very easy. We sold off we Consolidated and then we confirmed right.

This took only a few minutes and then we popped off and that was favorable. This is different. I'm now looking at the one hour time frame where every candle represents one hour of time. This means that it might take days.

it might take weeks to get that confirmation. and that is the main difference with swing trading is that because I get an extra layer of Risk by having to carry a position overnight I Take it upon myself to make sure that I add extra layers of criteria that must be met to make sure that I mitigate that risk by having conditions to be more favorable, waiting for that confirmation, waiting for direction to be in my favor, and then looking at these larger time frames that will take more time for that direction or for that confirmation to set in. And and to me, that is the biggest difference, right? Giving something enough time to prove itself to you that it's something that actually meets your criteria and not just doing it on a whim because you can or because you feel like it because at the end of the day, when it comes down to those bad quality trades, those will be the reason that you fail in this market, right? Learn to be selective, Learn to build your criteria based off of your past experiences and what you can do better next time. Your trades will never be perfect, even moving forward.

But it's not about being perfect, that's about implementing showing signs of progress over a long period of time that will benefit that end result right? Building those healthy habits and in my experience that has been waiting for proper confirmation, waiting for direction to be favorable, and making sure that I only enter a position with a position size in which that I can tolerate. Some people like to take larger positions in which they really can't tolerate and they're biting more than they can chew. And when things begin to go south because they always eventually will, they hesitate to manage and mitigate risk and that's the last thing you want when you are taking a larger position size. Do not over complicate your trading.

Keep it simple and make sure that you hold yourself accountable And this is why again. I Focus on trying to journal all of my trades, making sure that again I Focus not on being perfect, but simply working on showing progress over a period of time I Hope that you learned something new and I hope this answer your question of what's the biggest difference between day trading and swing trading when it comes down to the stock market. I Hope that weren't a thumbs up. Please consider subscribing.

I Do trade live every morning And yes, that means that you actually get to see me enter and exit. and the thought process behind every trade. I Take during those live sessions and that is the second link in the description down below if you want to learn more about it. I Appreciate your time like always.

Let's make sure that we end the year on a green note. Thank you to the team.