Tuesday, July 26, 2011

3 Golden Rules for Intraday Trading (Day Trading) Unveiled

3 Golden Rule for Intrdaday Trading

1. Do not go for long targets. Better choose 2-3 stocks a day and set small targets for them and make a significant profit altogether. An experienced Intraday trader follows the strategy of multiplying small profit to larger number of trades.
'Rome was not built in day' – you can not expect to double your money in a single day trade.

2. WWE Strategy -Wait, Watch and Enter/Exit . For a successful day trade perfect time for 'enter in' and 'exit out' plays the most important role. An intraday trading basically depends upon the -

a. Volatility and expected price range of the stock for a particular day.

b. Liquidity which allows you to enter or exit a stock at the price when it is expected to give the maximum outcome.

Therefore to achieve a good day profit first watch the stock which may fetch good return in intraday, watch out the trend and then make a trade on it as per the trend (enter or exit).

3. Do not trade solely on the basis of technical charts/levels or trend. Global uncertainties can reverse your expectation in any fraction of time during the trade. Also clear up all your trades before the session get closed because a single bad news over the night can move the price of a stock dramatically.

3 comments:

Jay said...

Really good advise...

cheenu said...

Yes.. very good advice

angel said...

Nice blog very informative, lots of information about MCX AND COMMODITY TIPS ,it is really helpful to me thanks

 
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