There are three main types of Forex trading currently in use. There is day trading, that involves buying currency and micromanaging when to sell it (scalping forex). This is generally performed as one currency pair in a single day. No matter what the trade is made by the end of the day.

There is also the buy and hold style of trading. This is the more traditional variation most know of. Buy and hold trading operates on the principle of buying a currency pair and keeping it on hand until it reaches a sales point that is desirable. This method could take weeks, months, even years.

The third type of trade used is known as the swing trade. This method is exists as a middle ground between the two previously mentioned trading styles in that it often takes less than a week, one to a few days, normally to exact a trade.