Momentum-Based Trading Strategies

I found coverage on momentum trading strategies in the previous issue to be highly informative for retail investors like me. I would like to know what is the typical timeframe for trade if one uses momentum-based strategies? - Gagan Valimbe

Editor Responds: Thank you for writing to us. Momentum trading strategies are usually focused on short-term market movements, but the duration of the trade can depend on how long the trend maintains its strength. Typically, the more volatile the market, the more advantage a momentum trader can take of short-term rises and falls in an asset’s value. Momentum trading can be suitable for traders who employ longer-term styles such as position trading, as well as those who prefer short-term styles, such as day trading and scalping. We hope this helps! Do keep writing to us with your queries.