A swing trade is a trading strategy that involves holding an asset for a short period, typically ranging from a few days to several weeks. The goal of this type of trading is to profit from small price movements in a particular stock or security by buying and selling it within the same day or overnight. Swing traders often use technical analysis tools such as moving averages, relative strength index (RSI), and other indicators to identify short-term trends and make informed decisions about when to buy and sell an asset. The term "swing" refers to the idea that a trade may move in one direction for a while before reversing course, providing opportunities for both long and short positions within the same time frame.