trading1

When we start trading we all select what is best for us. We are looking for the best broker, the best strategy, the best trading signals and the best information resource. We also need to select whether we are going to go short or long.

And this decision is pretty important.

We need to settle our primary goal and figure out whether we have a lot of patience for long trades or have a lot of energy for executing several short ones.

So. What are the perks of short and long trading?

And now we are talking about long trades.

 

1. It gives you perspective.

2. You understand the marker and know all the trends.

3. You are not going to spend a lot of time in the market.

4. Risk-reward ratio is way better.

5. You have the possibility to earn more with less attention.

 

1. It gives you perspective.

Those who are trading long tend to look at the longer-time charts. Which is pretty beneficial. We can see growth on the 1-hour chart. But zooming out to 1-month chart can show us a bigger picture with failing assets. Example of this can be seen here.

So, longing gives you more understanding of the current situation as well as gives you a better perspective on the performance of the market.

 

2. You understand the marker and know all the trends.

Just because you are looking at a long and wide chart you can get so much benefits. You are going to get more understanding of the markets as well as know trends in which the assets are going. Of course even with long trades you are going to have to look out for daily news, but in the end general trends and outlook into the future of the assets are going to be more pivotal for you.

 

3. You are not going to spend a lot of time in the market.

With long trades you do not need to go into you trading accounts quite as often as with shorting. You have more time to pay attention to your regular job if you have one, your family and your general hobbies. Long trades do not have a short-lived market momentum, like short trades do. On the contrary. The longer you go, the longer momentum you are going to be able to enjoy.

So, more time for yourself all the while trading. Isn’t that cool?

 

4. Risk-reward ratio is way better.

With long trades your risk-reward ratio is waaay better than with short trades. Why? Because of that very long momentum that we already talked about. You are risking less and have the possibility to gain more.

 

5. You have the possibility to earn more with less attention.

You are not going to have to pay attention to every second of the trade as you are playing for longer terms. Plus, the fact that the price of the assets tends to change greatly over longer periods of times you have all the chances to see greater profits.

 

 

And so, these are the perks of long and short trades. And you are going to have to figure out which one of these you prefer more as every one of them has their own perks and their own disadvantages.