7 Commonly-Used Intraday Trading Strategies
The stock market offers opportunities to intraday traders to book profits irrespective of whether the market is going up or falling, provided they can find the right stocks for intraday trading. If the market is going down, sell first and buy later using a short-selling facility, or vice versa. If the trend continues, traders can make low-risk entries with a great potential for higher profit. Using real-time charts, they need to be smart enough to isolate the current market trend from any surrounding noise.
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Intraday trading is an active form of trading that involves high risk/rewards. The fundamental techniques used for intraday trading are different from those applied to long-term investing. Intraday traders need to filter the stocks to find stocks with ample liquidity. They need to be quick on their moves and ensure that they stick to the intraday trading rules without flowing with the moment.
Traders need to stick to useful entry, exit, and stop-loss strategies - when to get into a particular position and when to exit. Once a trader finds an entry signal, the exit position has to be decided simultaneously. Exit if you have achieved the targeted profit or reached the maximum loss value. Traders cannot afford impulsive behavior.
Go through the post to know the detailed day trading strategies.
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