Position Trading

Position trading is a long-duration trading approach where an investor holds a position for weeks, months, or even years, based on a strong view on the underlying asset's fundamental or macroeconomic trajectory. Position traders are less concerned with short-term price fluctuations and focus on capturing large directional moves—whether in equities, commodities, or currencies. They combine fundamental analysis (earnings outlook, sectoral tailwinds) with technical analysis (long-term chart patterns, major support-resistance levels) to time entries and exits. Position trading requires patience, conviction, and robust risk management through wide stop-losses or options-based hedges to absorb drawdowns before the thesis plays out.