Intraday Trading Secrets : Intraday Trading means positions in Market are held only for a short time; in general the trader opens and closes a position the same day. This concept of intraday day got a bad status during 1990 when beginners used to trade, jump onto new trading platforms without using experienced trading strategies. They used to think that going on work in the pajamas can make fortune in stock trading with less effort and knowledge. But it proved to be failure case.
Yet the intraday trading is not complicated once you have understood simple, rules based strategy for anticipating the moves of the market. Here are 7 secrets from Nifty trading Academy for Intraday trading for beginners. You should look for such situation where demand and supply are considerably imbalanced, and use these as entry points.
In The financial markets if supply is near exhaustion and there is still willingness among the buyers, price may go higher. Likewise, if there is excess supply and no willingness among buyers the price will go down. At our Nifty Trading Academy, we teach students to identify the turning points on chart and by giving historical examples.
Set the targets for price before you step into
If you are buying a long position, decide the profit as well as stop less that can trade turns against you. Once you decide the acceptable profit then stick to that decision. This will limit your potential loss and express you from over greediness if price reaches to unattainable level.
Always maintain risk and reward ratio of 3:1
One of the Most Important lesson for beginners is to understand the concept of risk and reward ration. At Nifty trading academy experts helps you to lose small and big win and come ahead though you have incur losses in your past trades. Also, higher rations can also be attainable.
Successful traders don’t trade daily. They may enter the market just on their computer, but when they don’t see any opportunities which fulfill their aspects they will not execute a trade on that day. There is always lot more than going against one’s own judgment out of an impatient desire to do sumthing. Plan your trade and then trade your plan.
Trade with Discipline ( intraday trading secrets)
If you’re trading on your own then hasty decision can put you in difficulty. The position you make take out of fear and greed can cause you trouble.
Don’t play with too much capital on one trade
You should set a percentage of total trading budget between 8 to 10% depends on the money you have. Also don’t allow the size of the position you exceed.
Never limit Intraday trading to stocks
Futures, options and forex are the three asset classes that display volatility and liquidity of stocks and make them ideal for intraday trading. Often there will be present opportunities on day when the stock market may go nowhere.
Always learn from experience
Every day trader has losses so don’t hurt yourself when the occasional trade doesn’t go your way.
We Hope That you like our article of intraday trading secrets . Thanks for reading !