In trading, what does the term 'opportunistic' generally refer to?

The term 'opportunistic' in trading generally refers to selective engagement based on market conditions. This approach allows traders to capitalize on favorable market environments by entering or exiting positions strategically when the conditions are perceived to be advantageous. This might involve taking positions when prices are attractive, responding to new information, or adjusting strategies to navigate shifting market dynamics.

Opportunistic trading differs from immediate profit taking, as it is not solely about quickly realizing gains but about making informed decisions based on market analysis and timing. It also contrasts with consistent trading at all times, which suggests a fixed approach regardless of market dynamics, and with remaining passive in all situations, which involves no engagement at all. Instead, being opportunistic emphasizes flexibility and responsiveness to opportunities as they arise in the market.