Global
factors:
Before
initiating intraday trades you should keep and eye in global issue.
Need to be very careful whether there is any sector base issue or new
updates or not. Then after taking pre-open status you can set your
view about about the market trend. Then your time has come to take
the decisions whether you will enter on first tick or seconds tick
depending upon your risk taking ability. Latest News updates: Keep
an eye in latest news updates about the company. Whether there is
any news regarding board meetings, new contracts, issuing dividends,
splits, or results updates or not. but be analytical what kind of
news is publishing on the media and finally use your own
interpretation skills
Liquidity:
In intraday
stocks selection liquidity is the most important key factors. Before
choosing the right stocks for you should deeply Scrutinize whether
there is ample no of volatility in the stocks or not. If there is not
sufficient liquidity may be you will find challenges to buy and sell
of your stocks without affecting the prices. or you may find huge
rate Gap in buyer and seller and that may impact upon your profit
margins. Some times you find challenges to sell your shares. though
some trader has their opinion High volatile stocks having high
earning opportunity.
Rigidity:
You should
never be too much biased about your own feelings and perceptions
rather you should go with the trends. There is a great proverbs-"
follow the river and you will find the see" just go with the
trends. During the bull market you determine the stock where there is
buying opportunity and in bear market trades with the weaker stocks.
Utilizing volatility is a skills: Trading experts will says, new
trader always should avoid the high volatile stocks, where as
veteran traders makes profit navigating the volatility. Some times it
might happened to you, you enters in a stocks which is high volatile
and you may see huge profits but you may end up with loss if you
don’t know proper hedging techniques.
Good
correlation stocks:
Before
choosing the intraday stocks you should be scrutinize that whether
the stock has higher correlation with the sectors or indices or not.
that means before buying a banking stocks you should keep an eye or
bank nifty or if you buying Farma, IT, Energy, Midcap, PSU bank you
should look thoroughly accordingly the Indices as well. My
suggestions is for intraday you should go for Nifty 50, Nifty next
fifty, or Nifty 200 only.
Trust
Yourself ONLY:
There is a
well said proverb I hear from my Grand Father who is no more with
us..." Self Confidence is the Best Confidence, Self Defense is
the Best Defense". You should take position once you research
your own. You should not trust those analyst who is in the renowned
Media like CNBC or ZEE BUSSNESS more than 2-4 weeks. Doing quality
research is one of the key to success for intraday trader. most of
the trader avoid their own research and looking for a ready-made
researched based calls without using their own brain. Before enter
into the intraday trades a trader should find the list of several
stock with the sectors. That doesn’t mean he or she necessarily
include sector leaders. Rather they should opt for nifty 50 stock
which are very much liquid. Try to Understand Technically,
Fundamentally and Emotionally of the support and resistance level of
the stocks. These technique will help the trader to find out the
right stocks for intraday.
Intraday
Trading is High Risky:
Before
opting Intraday trades you should always remember its a very high
risky game. Out of 100 only 5 people makes handsome profit. Your
knowledge and agility takes an important role. Some good screener may
helps you to monitor in real time. and finally you should have a very
high configuration system to trade in real time and high speed
internet connections because every ticks matter a lot. you should not
loose money due to slow internet and systems failureness.
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