Best swing trading opportunities are presented when strong theme trends emerge due to various macroeconomic, sector and / or regulatory catalysts.
In order to capitalize on the theme trends, you need to understand the catalysts behind them and of course stay with the trend until the catalyst fades away. Below are some of the examples of the recent theme trends:
Pandemic of 2020
Travel industry in a free fall due to national and world-wide lockdowns.
At the same time, Zoom benefited from pandemic for obvious reasons.
EV Sector Hype
EV sector hype due to electric vehicles boom (or rather expectations of the future boom)
Energy Sector Post Presidential Elections
Energy sector growth due to rising energy prices
Rotation Out Of Tech
Rotation out of the tech stocks amid an increase in Treasury bond yields