Intermediate Term
Updated on March 10, 2023
Intermediate-term refers to a time horizon for investment or trading that typically ranges from several months to a couple of years. It is considered a middle ground between short-term and long-term investing.
Intermediate-term investors or traders tend to focus on identifying long-term trends in the market, and they may hold positions for months or even years in order to capture the full potential of those trends. They take a medium-term view of the markets and the economy, and they tend to be less sensitive to short-term fluctuations in the market.
In contrast, short-term investors or traders tend to focus on short-term price movements and may hold positions for only a few days or weeks. Long-term investors or traders, on the other hand, tend to focus on long-term market trends and may hold positions for several years.
How is intermediate term used in investing and trading?
Intermediate-term investors or traders typically use a combination of technical and fundamental analysis, they tend to look for patterns, trends, and indicators that point to the market’s direction for the next several months. They also tend to use a mix of different instruments, such as stocks, bonds, and ETFs, depending on their goals and risk tolerance