How to become a profitable trader Part 3

Stocks exhibit reversals multiple times in a year. Some of these reversals can lead to big swing start.

Some swing last only few days. But the biggest advantage of reversal swings is it gives you very low risk entry and instant confirmation.

This kind of reversal is caused by either major or minor seller exhaustion. When selling exhausts stocks bounce back.

For swing traders this is a very good setup. It happens all the time on large capitalisation stocks and the risk reward is great.

You can find 1000 plus trades like these in a year.

If you want to be a profitable trader in 2020 build your trading around some of these kind of enduring and structural edges in market.