A stock market or a stock exchange is where you can buy, sell and trade stocks on any business day. Buying stocks allows you to own a share of a public corporation. And the price of the stock is based on the corporation’s earnings. There are two primary ways of trading in the stock market. One is when the stocks are bought and held for several years and profiting from the growth of the organization. And the other option is intraday trading. Intraday trading is the process of buying and selling stocks before the end of the same trading day. The word intraday literally means within the day. The profit that is made by the traders is the difference between the buying price of a stock and the selling price of it.
Intraday trading is highly risky since you always have to be on your toes and sometimes have to be decisive within a matter of minutes. The general code that most day traders follow is that you should always buy or sell liquid shares since liquid stocks are easier to trade than the illiquid ones. To be able to make profits while intraday trading, you must always be aware of the market trends. A lot of day traders rely on stock charts for technical analysis in order to study the market trend. But above all else, the most important thing that you need to be able to do intraday trading is to have an active trading account.
There are various brokerage firms that allow you to open a free intraday trading account online. An account that can be accessed anytime and anywhere. The procedure for opening a trading account is not complicated at all.
- Compare the rates and services of brokers and firms
- Select a broker or a brokerage firm.
- Get in touch with the broker of your choice about opening a trading account
- Fill the account opening forms and complete your KYC formalities by submitting ID proof and address proof for verification.
- Once the verification process is completed, collect your account details and start trading in the stock market.
Free intraday trading allows you enhanced trading experience at the lowest cost and inclusive of all the analytical features. In case of free intraday trading, no brokerage is charged irrespective of the size of the trade, the platform of trade or market segment. Brokerage cost is one of the main concerns for any trader, free intraday trading is mainly focused on addressing the issue. Traders can avail of the benefits of free intraday trading by opening an account. Although it means no extra charges will be applied, the trader has to pay a small amount on an annual basis for keeping the account active. This is a fairly steep cost considering that you can trade as many times as you want using the same account.
There are no guarantees that intraday trading will always bring you profit. But there are a few pointers which if kept in mind while trading will help you in the longer run.
- Keep learning. More knowledge has never hurt anyone and it always proves to be useful in the hour of need. Keep learning about the market and its trends.
- Keep your emotions at bay. Panic or impulsive buying has never helped anyone. Keep your cool and maintain your strategy while investing.
- Treat it like a business and not a lottery. The profit you make depends upon the credibility of trading decisions. But trades will never bring you profit. You should be modest with your expectations.
- Technical analysis will help you in predicted market trends and stock prices. Learn to analyze and read the charts to be an efficient trader.
Now that you know about intraday trading and how to open a trading account. We suggest that you pick a good broker, open an account in your name and start trading.