Does eToro Allow Swing Trading?

Written by Mike Druttman

Reviewed by Nadav Zelver

Yes, swing trading is allowed on eToro and it fits right in with how the platform works.

You can swing trade across multiple markets: stocks, ETFs, forex, commodities, and even crypto. The idea is simple: hold a position for a few days or weeks and take advantage of medium-term price shifts. This strategy aligns well with eToro’s setup.

You can make use of technical indicators like RSI, moving averages, and trendlines built into the platform. You can also set stop-loss and take-profit levels to stay in control if the market moves fast.

What Swing Trading on eToro Looks Like

Built for short-term plays

eToro leans into short- to mid-term strategies. On their official pages, swing trading gets its own spotlight, separate from day trading or scalping. The emphasis is on holding positions for a few days to ride out price moves.

Tools that fit the job

You get the essentials: charting tools, RSI, moving averages, and multiple timeframes (4H, daily, weekly). Perfect setup for spotting breakouts or pullbacks.

Plenty of markets to work with

Swing trading works across forex, stocks, ETFs, and even crypto (where available). Forex gets special attention, with example trades and guidance outlined on eToro’s platform.

Fewer trades, fewer fees

Because swing trades are less frequent, you avoid racking up spreads and overnight charges. eToro even calls this out: mid-range trading, which often means lower cost per position.

Swing Trading Setup Guide

1. Pick your market and timeframe
   Start by locking in your asset class, whether it’s stocks, forex, or something else, and stick to H4 or daily charts. These give you a good read on support and resistance zones without getting lost in the noise.
2. Set your signals
   Line up a couple of indicators. Moving averages help you spot trend direction fast. Add RSI or MACD to fine-tune your entries and exits. You want confirmation, not guesswork.
3. Map your risk
   Place your stop-loss just under the last swing low (or above for shorts). Stick to a risk/reward setup that makes sense (think 1:2 minimum). That way, one win can make up for two duds.
4. Don’t ignore swaps
   If you’re holding positions overnight, fees can creep in. Check the swap rates. Some high-yield assets rack up costs daily, and they can add up faster than you’d expect.
5. Test it first
   Not ready to go live? eToro’s demo account is a good place to trial your swing strategy without burning real capital. Play around, see what works.
6. Review and adjust
   Swing trading thrives in trending or clearly defined range-bound markets. If price action’s flat, take a step back. Track what’s working and tweak your strategy when the market moves.

Let me be clear: eToro does allow swing trading. You’re fine as long as you stick to their trading rules and steer clear of anything that looks like scalping. So if your technique means holding positions for a few days (or even longer), you’re good to go.

eToro is a multi-asset platform which offers both investing in stocks and cryptoassets, as well as trading CFDs.

Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 61% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.

This communication is intended for information and educational purposes only and should not be considered investment advice or investment recommendation. Past performance is not an indication of future results.

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eToro USA LLC does not offer CFDs and makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication, which hasbeen prepared by our partner utilizing publicly available non-entity specific information about eToro.