Intraday trading refers to buying and selling of equity stocks during the trading hours on the same day. Intraday trading allows to take a position on the stock and close it before the end of the trading hours on the same day. A very large number of stocks are bought and sold to book profits in a single day.
Intraday trading gives an opportunity to book a profit based within the same trading day. The activity of buying-selling or selling-buying is made depending upon the price movement of the stock on that day.
✓ What is Intraday Trading ?
As stated above, the intraday trading involves trading or buying and selling of equity stocks only within the same day. The stocks are just purchased or sold to earn profits and not to invest. The intraday traders capitalize on a potential increase/decrease in the value of a security.
✓ Intraday Trading Tips For Beginner
Intra-day traders follow a specific set of thumb rules to limit their potential losses. Here are some highly useful guidelines which are the best to be followed by any intraday trader.
1. Restrict your investment to the limit that you can afford to lose. As any unexpected price movement is sufficient to wipe out the entire investment.
2. Highly liquid shares are mostly chosen to trade and concentrate on achieving target profit instead of investing.
3. Book your profits after reaching target and select 8-10 stocks in your wish list after a thorough research and monitoring
4. Keep the entry price and the target levels fixed.
5. Be firm to get in and get out at the right and prefixed level and avoid greed.
The top concerns are remembering that with intraday trading, your target is making small gains instead of big investments.
✓ What is Intraday Trading Techniques & Strategies ?
NTA use simple intraday techniques not because they are good but because they work. The Trading methods are based on simple rules which anyone can easily adopt. Break out strategy, Gap up and down break out strategy with accuracy of more than 80% to act in time with perfect information and give best results. These trading methods are easy to apply in nifty and bank nifty in order to have accurate results and profitable trading.
✓ Intraday Trading System & Tool - Stop loss Trick
If you are looking for Best Intraday trading system & tool along with appropriate exit strategy,& risk management. Then you are at right place. Here the experts of NTA experts provide you an insight on implementing different stop loss roles. Fixed, variable, absolute, relative and other stop losses can help you to maintain risk reward ratio.
✓ How to Make Profits in Intraday Trading ?
While you include shares in your wish-list, research depending upon the mergers, bonus dates, dividend payments, and other such information related to the company. Though it is natural to get tempted to risk more for higher profits, one should not risk more than 2% of the total trading on this one day trade. Especially beginners should follow the strategy of a potential risk-reward ratio of minimum 3:1.
✓ How to Choose Stocks for Intraday Trading?
Picking up the right stocks plays a very significant role in intraday trading. If you are a beginner, remember these tips to select the right stocks. Prefer trading in liquid stocks instead of volatile stocks. It is easy to purchase and sell larger quantities in the case of liquid stocks without affecting the price. Also, do not get attracted by the volatile stocks as far as intraday trading is concerned.
✓ What is the Best Way to do Intra Day Trading?
Though rise and fall of the market can never be predicted, a fundamental rule to make a consistent profit does exist. The best idea should be to trade with the ongoing market trend and never go against the market trend. Sell first and then buy if you see the market falling. In the contrary, buy first and sell later if you see the market going up.