Depending on the trading time line, there are three different types of stock players.
A) Day traders make money by taking advantage of daily small flaturation in the stock market and making small gains for each trade.
1) TA analysis is critcal for day traders. 15min chart, hour chart, daily chart.
2) Large working capital is required.
3) A good brokerage firm which offers execution.
4) Clear all accounts at the end of the day. Never leave an open position overnight.
5) One needs to watch the stock price during the day.
B) Swing Traders makes money by taking advantage of short term and intermiate term stock swings. These swings last from a few days to a few months.
1) Both MA and TA analysis are needed. Hour chart, daily chart, weekly chart, monthly chart.
trend line, support line and resisitance line, top formation and bottom formation, MACD.
2) Ablility to spot top and bottom and trend line of the stock movement is critical.
3) One needs to watch the stock market daily.
4) Entry into and exit from the stock market are important for swing traders.
C) Long Term Investor invest money for the long term (several months to several years). Daily, Weekly and monthly charts. MACD
1) MA analysis is more critical in this type of investing.
2) Trend line and top and bottom formation.
3) One needs to watch headline news and watch the stock market weekly or monthly.