InvestorQ : Is intraday trading more complex than delivery trading?
Swati Naik made post

Is intraday trading more complex than delivery trading?

Answer
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2 years ago


It is hard to answer that question since both intraday trading and delivery trading have their own complexities. However, the big difference is that in intraday trading you just have a window of 6 hours to open and close your position. That perhaps makes intraday trading more risky and also more complicated. Intraday trading begins with identifying the right stocks for trading and then shortlisting the stocks based on momentum. Once the stocks are identified and the levels fixed, the appropriate order has to be placed and monitored on a real-time basis. In short, it is a very elaborate process. Let us first see how to go about doing intraday trading?
Intraday trading may appear to be quite simple, but it calls for a higher level of skill and discipline to be successful. Remember that intraday trading is all about leveraging your limited capital for maximum gains, you need to be very selective of what stocks to trade, how to place orders and how to monitor your orders. To place an intraday order, you have to clearly specify that it is an intraday order so that you are eligible for lower margins and higher leverage. Most importantly, the onus of ensuring that the intraday order is closed on the same day is on the trader. If you look at it from that perspective, intraday trading does involve a higher degree of complexity and a more elaborate process compared to delivery trading.