Swing trading
Holding positions for days, between day trading and investing.
Swing trading operates on a timescale of roughly two to ten days. It aims to capture a single move (a bounce, a breakout, a reversion) rather than intraday noise or multi-year growth. The timescale has practical advantages: decisions can be made once a day on daily data, execution costs stay small relative to the moves captured, and the strategy can be fully automated without low-latency infrastructure.
A common swing pattern is mean reversion: quality stocks that fall sharply over a few days tend to bounce over the following few. Harvesting that pattern systematically, with strict exits and stops, has decades of academic and practical support, though every edge decays if crowded.
The flagship strategy here is a swing strategy of exactly this type: it buys short-term panic in liquid large-cap stocks and exits within days, by rule.