Whats the difference?
Its confusing to me because investors make trades, just more longer term such as a position trader, but people describe each as being "different". Im a position trader, but im not sure if im an investor.
A trader's "style" refers to the timeframe or holding period in which stocks, commodities or other trading instruments are bought and sold. Traders generally fall into one of four categories:
Position Trader – positions are held from months to years
Swing Trader – positions are held from days to weeks
Day Trader – positions are held throughout the day only with no overnight positions
Scalp Trader – positions are held for seconds to minutes with no overnight positions
So is an investor more longer term than a position trader? Maybe.
Maybe investing should be called long term position trader to prevent confusion. I think psychology of older people with money affects the term used. They think it sounds more safe and responsible to be an investor, rather a trader.
im a position trader, i make bets. Investors make bets but they might be longer than a few years. If i happened to hold onto a position trader for a few extra years, would i then be an investor? This is confusing.