Intraday trading is not everyone’s cup of tea. It requires patience, continuous monitoring of markets and skills to make good returns. In modern times, intraday trading has become a regular source of income to money people across the country. The reason for the growing popularity of intraday trading is that you can generate incredible returns with minimum capital investment. If intraday trading is done in the right way then the sky is the limit for you to make profits. In this article, you will learn about how much money you need for intraday trading.
Meaning of Intraday Trading
Intraday trading involves buying and selling the shares or securities and settling them on the same day. To put it in simple words, intraday trading involves squaring all transactions on the same day. The main advantage of intraday trading is that you do not carry any overnight positions which protects you from the unfortunate events that might take place after the market closes.
How to Start Intraday Trading and How Much Money is Required?
The beginners in the stock market can start intraday trading with Rs. 8,000 to Rs, 10,000. They must select a broker that charges minimum brokerage on every transaction. It is always advisable to select those stocks for intraday trading that are liquid in nature. This is because the purpose of intraday trading is to square off the position on the same day and this can happen only when there are sufficient buyers or sellers at a given price.
It is also recommended to select those stock for intraday trading that are little volatile in nature. Such stocks give good swings and you get a good opportunity to make an entry or exit. Along with that, you must also make a list of stocks according to the sectors in which they function and monitor their price movement. This will help you in understanding the price level at which entry can be made and when the profits can be booked. Also, you must keep analysing your performance, it will help you in overcoming your flaws and become a better trader.
When you gain experience after trading with Rs. 10,000 and taking small trades, you can increase the trading amount to Rs. 25,000. This will further boost your confidence and you will be able to make higher profits with larger trades. Once you become an expert in trading, you can start intraday trading in futures and options market. F&O market is the ultimate intraday trading market where you can make huge gains by taking right trades. The entry in the future and options market must be taken only after you get the expertise and skills to trade in the stock market.
Rapid Tips is one of the biggest intraday trading tip portal. We help the beginners in the stock market in taking the right trades and booking timely profits. Our jackpot calls, sure shot tips and F&O tips have high accuracy and success rate. If you are a beginner or a seasoned investor, you can contact us to avail our premium services. You can take a free trial of our services by signing up with us. If you have any further query or need any information you can call or email us.