Intraday trading refers to day trading. This involves buying and selling of stocks within the same trading day. The traders who trades in intraday trading close’s all his positions before closing of the Nse share Market. Intraday trading is meant to be the best trading strategies in stock market, this helps the day traders to make smart money in Indian Share Market. The intraday traders prefer taking intraday tips to earn great profit in the market.
If the intraday trading is done by following specific rules and professionally, then the trader can surely earn good profit in the share market. Intraday trading is done with the intention to booking profit in a day. Hence, large numbers of stocks are bought and sold. To trade in intraday trading an online trading account is used. You need to specify that the orders are specific to intraday trading while doing intraday trading. We can also refer intraday trading to price movements of a given security over the course of one day of trading.
The stock traders who opens and closes a position in a security in the same trading day are referred as Intraday traders. These traders participate in rapidly changing market conditions and looking for quickly developing profit opportunities.
Basic rules of intraday trading employed by many intraday traders.
1. Intraday trading is risky and carries more risk than investing in stocks, where an unexpected movement can wipe out their entire investment in a few minutes. So invest what you can afford to lose.
2. At the end of the trading session the intraday traders must square their positions. Hence, you need to choose highly liquid shares.
3. Closely monitor the stocks movement because it is needed and trade only in two or three scrips at a time.
4. Always research watch list thoroughly for better results.
5. There are two biggest hurdles for the intraday traders, which are greed and fear so book profit when targets are met.
6. Making any kind of prediction in market is not easy even the most sophisticated analysis cannot predict which way the market will move. Hence, don't fight the market trend.
7. Always keep in mind that small is beautiful while stock investments can yield stupendous returns, be content with small gains from intra-day trading.
8. The thinking of the buyer changes after they have bought a stock and this could interfere with their judgment and nudge them into selling too quickly even if the price moves up marginally. So always fix your entry price and target levels.
9. Use stop losses to minimize the impact because this helps the traders to limit their losses, if the share belies expectations and moves up or down.
10. Investors do not bought the shares with an ultra short-term horizon.
Investments in market is very risky sometimes and you need to prepare yourself to bear the losses. Many traders also take commodity tips when they wish to invest in commodity market as all the markets has their own advantages and disadvantages.
Keywords: intraday tips, commodity tips
By: Nayna Bhardwaj
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