Swing Trading: Profiting From Momentum Opportunities

This strategy is designed for those investors who would like to take advantage of the opportunities available in the market to make quick gains while keeping a strict stop loss.

Synopsis

Fundamentally strong companies at the right technical ‘buy’ point - hand-picked by StockAxis through its deep research, extensive experience and insights.

Objective

This strategy is designed for those investors who would like to take advantage of the opportunities available in the market to make quick gains while keeping a strict stop loss.

Stock Selection Process

StockAxis follows 4 key stages of screening potential Swing Trading picks:

Step 1: Fundamental strength at the right ‘buy’ point

Our ‘Swing Trading’ research team uses a number of proprietary screening tools to shortlist stocks (from a large universe of companies) that meet the parameters of having fundamental strength while being available at the right ‘buy’ point.

Step 2: In-depth fundamental research

The StockAxis ‘Swing Trading’ research team undertakes rigorous fundamental analysis of the shortlisted potential premium stocks. These potential valuation outliers must meet parameters such as earnings growth, profitability parameters, management experience and competence, return on equity benchmarks, competition analysis, etc.

Step 3: Technical analysis

The stocks that meet fundamental parameters are further filtered through technical parameters in order to ascertain the right ‘buy’ point indicating a good entry price range, which will ensure meeting projected profitability within the given time frame.

Step 4: Stock monitoring and review

Stocks that meet StockAxis Swing Trading criteria are recommended to our clients. These stocks are actively monitored till the positions are open.

Swing Trading - Key Traits

Stocks Recommendation
:
Growth stocks at the right technical buy point.
Fundamental
:
Strong quality.
Disciplined
:
Strict avoidance of losses more than 8% in a single stock.
Diversification
:
An average of 20 – 24 stocks in a year.
Portfolio Churn
:
High.
Value Added Services
:
  • Access to Technical Research Analysts.
  • Recommendations via SMS, email & mobile app notifications at real-time.
  • Research Reports & Regular Updates.
  • A Dedicated Relationship Manager.
  • Access to the Recommended Portfolio via Web Login and Mobile App.

Swing Trading Information

Fact Sheet

FAQs

Swing Trading stocks are fundamentally strong stocks trading at the right technical ‘buy’ points. These stocks are expected to perform ideally over the next few quarters, hence, present an optimum buying opportunity to maximize investment returns.

Swing Trading stocks are ideal for investments over a shorter-term horizon with the expectation of achieving target returns within the next few quarters. These stocks are recommended at the most opportune technical levels with calculated risk-reward consideration in mind.

StockAxis Swing Trading stocks usually carry a holding pattern of 3-6 months.

The expected potential upside in StockAxis Swing Trading stocks is 20%-25%.

Swing Trading stocks are recommended by StockAxis along with a stop-loss of 6-8% in accordance with relevant technical levels. This ensures that the risk-reward ratio is maintained.

Our analysts constantly monitor price moves to find ideal entry levels in quality stocks on a regular basis. Finding the right price levels has a direct impact on expected profitability. Factors such as upcoming quarterly results, industry cycles, expected changes in company policies or management are taken into consideration along with various technical indications.