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Intraday trading || Advantages
intraday stocks .Advantages. Advantages of intraday trading
1. Leverages ; Enables you to trade large quantity and make huge profits with less capital
2. Make profit in any market situation
We can either buy for long position or sell for short position
We have already talked about long buying
3. No overnight risk
4. offers flexibility and convenience
6. Real liquid cash flow in hand
Short selling
In this case we sell the stock and after the stock is priced low we buy it
Suppose the market open and the stock price is 1000 you sold your stock and by realizing that the graph is going down example you sold it at a price of 990 rupees and at the half of the day suppose the price is 960 and you buyed the stock then you get a profit of 30, if happened to buy 100 quantities you make a profit of 3000
How does short selling works ?
Like above mentioned you sell the stock at a price 990 at same time the broker finds a buyer for our order and when the stock price reaches 960 we buy it again and the broker finds a seller for that order, the broker is sure of your buying or else it will square of f this is all happening because of the intraday trading the stock for 960 rupees reaches us and sells to the buyer which the broker found during 990
Disadvantage of intraday trading
1. Most majority of traders make losses than profit
2. Demands a lot of time and attention
3. only deep learning and extensive practicing can make you a good trader
4. Demands a lot of mental and emotional strength
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