Swing trading is gaining massive popularity among part-time traders and beginners who want to build wealth while keeping their 9–5 jobs. Unlike day trading, swing trading doesn’t require constant screen time. With the right strategy, you can capture big moves in the market using just a few simple tools.
In this post, I’ll walk you through a tested swing trading strategy using the SuperTrend indicator and price action. I’ve personally tested this on multiple stocks, and you’ll see the Excel sheet results and chart analysis images below. This isn’t just theory—this is data-driven, real-world trading that works.
Table of Contents
What is Swing Trading?
Swing trading is a medium-term trading method where traders aim to capture short-to-intermediate price movements in a stock, crypto, or any financial asset. Unlike day trading, swing trades can last from a few days to several weeks, making it perfect for people with busy lifestyles or limited screen time.
Why Use Swing Trading Strategies?
Time-Efficient – No need to sit in front of screens all day.
Lower Stress – Fewer trades, less emotional fatigue.
Globally Applicable – Works across all major markets: NYSE, NASDAQ, LSE, NSE, Crypto exchanges, and more.
Scalable – You can start small and scale as you gain confidence.
Introducing the SuperTrend Swing Trading Strategy
This strategy uses a popular indicator called SuperTrend, which follows price trends and helps you identify clear entry and exit points. I’ve added simple price action filters to improve signal accuracy and avoid false breakouts.
Key Indicators Used:
SuperTrend (10,2)
Daily Time Frame
Strategy Rules – Step-by-Step
This strategy is so simple that even a beginner can follow it without confusion. Here’s how it works:
1. Wait for a Buy Signal:
A buy signal is generated when the price closes above the SuperTrend line.
2. Enter Trade at Next Candle Open:
Once a buy signal appears, enter the trade at the opening of the next day.
3. Exit the Trade:
Exit when the price closes below the SuperTrend line.
4. Use Price Action Filters (Optional but Powerful):
Avoid buying directly into resistance levels.
Prefer buying when the breakout happens after a consolidation or retest.
5. Position Sizing and Capital Management:
Start with your base capital.
Reinvest profits (compounding) to increase gains over time.
No leverage, no overtrading — only follow signals.
Real Test Results from NEPSE Stocks
This strategy has been tested on multiple stocks over different global markets and consistently generated impressive returns. Below are real examples from NEPSE stocks (Nepal Stock Exchange):
Stock 1: FMDBL (Forward Microfinance Bittiya Sanstha)
Starting Capital: 500,000
Backtest Period: 34 months
Ending Capital: 17,94,035
Total Gain: +258.81%
This result shows how a simple rule-based strategy with no leverage can grow your capital almost 3.5 times in less than 3 years.
Stock 2: AHPC (Arun Hydropower)
Starting Capital: 500,000
Backtest Period: 31 months
Ending Capital: 12,66,859
Total Gain: +153.37%
Again, consistent growth without needing complex tools or 24/7 screen time. Just disciplined execution.
Stock 3: SHINE ( Shine resunga development bank )
Initial Capital: 500,000
Test Duration: 34 months
Final Capital: 9,91,769
Total Gain: +98.35%
These results came from just following clear, simple rules without using any leverage.
Why This Swing Trading Strategy Works Globally?
Whether you’re trading U.S. tech stocks, Asian financials, or European energy, the logic of trend-following remains the same. SuperTrend adapts to volatility and filters out noise, making it effective across all markets and time zones.
This strategy has also been tested on various international stocks, and it works seamlessly, regardless of where you are located.
Conclusion
Swing trading doesn’t have to be overwhelming. With a tested, rule-based system like the SuperTrend strategy, you can make consistent profits with minimal time investment. Whether you’re just starting out or looking to level up your approach, this swing-trading strategy for beginners is your key to global trading success.
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