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What is the mantra to be successful in intraday trading?


Many aspiring stock traders spend time looking forstock trading mantras. In reality,nomantracan help you become successful overnight. But you can adopt some time-tested methods tobecome an expert in online share trading.

For instance, keeping your costs low is a key to success in intraday trading. To ensure this, you canusemeasures like breakouts, supports, and relative strength, among others. The challenge is tomake profits consistently, which requirespractice and dedication to looking for good intraday trading opportunities.


If you are willing to put in the time and effort, the following pointers could help you to find success as you explore intraday trading for beginners. 

·         Be realistic about profits

The stock market can feel like a puzzle at times, and being wildly optimistic about your chances for making money could lead to yourdownfall.For instance, many newcomers hope to achieve a 2xreturn on their capitalright away. This pushes them to use excessive leverage,whichmay eat into their trading capital if the trade goes wrong. Rather than be overly optimistic about making huge returns overnight, focus on growing your capital slowly and steadily.

·         Back-test your strategies

Every trader has their online share trading strategy. As a beginner,you too must focus on developing a strategy. A crucial part of this exercise is to back-testyour strategy using historical data. You could also use common parameters such as profitability percentage, holding period, and risk-reward ratio to carry out the back-testing. This will help you to assess the viability of your trading strategy. The broker’strading terminal may allow you to conduct the back-testing.

·         Learn, learn, and learn some more

It is often said that a trader’s edge lies in their knowledge. The more you learn, the more successful you will be.Educating yourselfwill help you get a new perspective andimproveyour trading style. You can take the help of online resources that offer trading tips, advice, and guidelines.

·         Pay attention to volume

Since intraday trading depends on speed and exact timing, stocks that show high-volume activity are a better choice. You have more opportunities to enter and exit such liquid stocks under favourable conditions. Even if you trade larger quantities, the high volumes keep the pricesat a manageable level. You can easily square offyour positions by trading two to three stocks that show high liquidity.It may also help to examine a stock’sliquidity at different price levels.

·         Stick to the plan

Moving fast is an important skill for professional day traders. They ensure this speed by planning their moves in advance, beingdisciplined, and sticking to their strategy. In day trading, following your plan crucial for makingprofits. In fact, there is a popular saying among day traders:‘Plan your trade and trade your plan.’

·         Go with the flow

The stock market keepsmoving in waves. As a trader, your job is to ride those waves. During an uptrend, you should aim for long positions. Meanwhile, in a downtrend, it may be best to go for short positions. But the trends keep changing. So, you should be on the alert for sudden reversals as well.

The bottom-line

Intraday trading takes practice, diligence, and research. Always trade an amount that you can afford to lose and learn to be patient when trading in the stock markets.If you need expert help, it may be a good idea to open an account with a brokerage firm like Kotak Securities. Established brokers offer a range of educational resources, trading apps, and products to simplify your trading experience.
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