trading strategy
Definition
A pre-defined set of rules and parameters that an investor uses when making securities transactions. By following a specific trading strategy, the investor seeks to remove the emotional component of investing. Trading strategies can be automated through the use of computers.
 Cite this definition
email to a friend
Related terms:
investment strategy, back testing, coattail investing, gather in the stops, swing trade, index arbitrage, tomorrow next trade, directional trading
'trading strategy' appears in the definitions of these other terms on BusinessDictionary.com:
convertible arbitrage, dividend rollover, spread trading, zero cost option, scalping
Related Research Articles from the InvestorGuide.com University
Technical AnalysisUnlike fundamental analysis, technical analysis ignores the company underlying the stock and instead tries to predict price changes by studying the market itself. We examine technical analysis concepts like moving averages, support and resistance, advance/decline lines, relative strength, momentum, and volume. 
Stock StrategiesLearn about various strategies for investing in stocks, including the “buy and hold approach,” analyzing market timing, and estimating a company’s potential for growth.
Short SellingWhat is short selling? Learn how it works and why it happens. Find out about the pitfalls and the potential risk involved with this practice.
Featured Sponsor
|
