| Day Trading or Intra day Trading is the name of | | | | of profit to be made is limited but the extent of loss |
| buying and selling stocks on the same day in order to | | | | can be unlimited. |
| make some profit. It is risky. It is not for long term | | | | Instead of unknown stocks, it is better to trade in |
| investors but traders. The following aspects must be | | | | good large cap. Mid cap or even small cap stocks. |
| kept in mind while doing a day trading. | | | | It is good for the investor to track the indices |
| Stock picking is very vital. The trader must make an | | | | carefully and remain abreast of the global cues and |
| informed decision rather than relying on rumors. | | | | momentary developments. |
| A suitable stop loss must be maintained. | | | | It is advisable to keep some cash in hand in case the |
| Instead of buying up lots of stocks at one go, it is | | | | trader needs to average out the price. |
| advisable to buy them on parts even on an intra day | | | | A good brokerage house of repute must be chosen |
| basis. It will help in averaging of prices. | | | | that provides transparency and efficient service. |
| Instead of giving a high limit price, one must book | | | | By following these simple rules, a day trader can |
| whatever profits that can be obtained. | | | | succeed in making money. Having said all these, |
| A high end trading platform like a good computer | | | | nothing can beat long term investing in creating |
| must be used in order to execute the orders quickly | | | | wealth. And the living legend to prove the fact is |
| as stock prices fluctuate very rapidly. | | | | Warren Buffet himself. Best of luck. |
| If possible, short selling can be avoided. The extent | | | | |