That is substantially true! When you trade intraday, the focus is largely on getting your short term view and the levels of the market right. That is best achieved by technical charts. Pivot points, supports, resistance levels, momentum, oscillators are all key to trading in the market on an intraday basis. Technical market indicators constitute a very important approach to decide which stocks to trade and at what levels to trade. There are four important and fundamental questions that technical an analysis helps an intraday trader to answer:

· What is the underlying trend of the market? Is it a bullish trend, bearish trend or a flat trend? Your trade direction will largely depend on this question.

· Whether the momentum is in favour of the bulls or in favour of the bears. As a trader you always need to stay aligned to the direction of the market momentum

· When you take a view on a stock, are you trying to bet on the potential price movement or are you trying to bet on the movement due to volatility in the stock?

· Are the volumes and liquidity sufficient to ensure that the trader can enter and exit the stock without too much of a liquidity risk