A perfect broker :Intraday Trading with Kite Zerodha
Intraday Trading in the forex or stock market can only be successful if you have an excellent broker on a perfect trading platform.
If when choosing a broker, you peradventure make the wrong choice, then the journey will be rough right now from the start of everything.
I believe you might have an idea of what Intraday Trading really means, even if it is just a little. Although, I will tell you what it is all about now.
Intraday Trading, even from the word simply means the trade or exchange of stocks, shares or currencies which are in between the stock opening and closing of a day trade.
The concept is very much involved in the Stock and Foreign Exchange Markets. Trading in these markets involves huge risk, therefore Intraday Trading could be very risky, if you have no prior knowledge, skill or experience in this field.
However if the skill is utilised properly, you could be earning more than a living from it. But it involves discipline.
Novices can find it very cumbersome, especially the theories of Price action and candlesticks. This is why they are advised to go virtual trading at the inception of their trading life.
Also, you must have an outlined trading strategy before you think of Intraday Trading as it could be very challenging without having a plan.
So, let us go deeper into the concept of Intraday Trading and see how you could be making a lot financially from it.
What Market should You choose for Intraday?
Before we go into full details, we have to know which market is ideal for Intraday Trading. Making a wrong market choice could be dangerous for you.
So let us compare these. There are 23 exchanges in the Indian Stock Exchange. Two out of this number; National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) are National-level Exchanges.
The remaining 21 exchanges fall under Regional Stock Exchange (RSE). Out of all these exchanges, there is one which is highly recommended for intraday trading, which is the National Stock Exchange (NSE).
Want to know why market participants choose the National Stock Exchange over the others? I will tell you now.
The Trading volume of stocks in the NSE is greater than that of any other Stock Exchange in India. And remember that, the greater the trading volume, the greater the liquidity. High liquidity results in high profits.
So, let us go ahead to see the Intraday Trading time for various market segments in the India Stock Exchange.
|Intraday Segments||Segment Code||Trade Opening Time||Trade Closing Time|
|Equity Stocks||NSE||9:15 AM||3:30 PM|
|Currency Derivatives||CDS||9:15 AM||11:30 PM|
|Futures and Options||NFO||9:15 AM||3:30 PM|
|commodity Derivatives||MCX||9:00 AM||5:00 PM|
What Trading Platform is best for Intraday Trading?
The best platform for Intraday Trading is Zerodha. You might be wondering why we recommend Zerodha. Don’t worry, I will give you full details in the next section of this article.
Most Trading Platforms in India charge their clients more than enough on every trade they make. Their brokerage fees are way too high.
Although, with the high brokerage charges, it is expected that they should offer clients the best of services, but they perform lesser than the expectations.
This is why Zerodha stands out of the crowd. It is second to none. Zerodha offers clients the lowest brokerage charges they can ever find in the market.
The interface of the platform is user-friendly for everyone, irrespective of your deposit.
Also, with Zerodha, you can trade in other intraday segments like commodity derivatives, futures and options and equity stocks.
In addition, Zerodha gives investors the opportunity to invest in stocks like bonds, Government securities etc.
I bet you will agree with me that Zerodha is truly the best trading platform you have ever encountered.
To crown it all, it has a mobile application for Android and iPhone users. If you don’t want the application, you can choose to trade online the website.
Furthermore, the trading platform offers novices learning and trading features like online tutorials and videos, trading strategies, technical analysis amongst others.
How to trade Intraday using Zerodha
Before going ahead to trade Intraday with Zerodha, what you have to do first is to create your market watchlist.
Your market watchlist contains the stocks you want to buy or sell for intraday trading.
Follow this simple procedure to create yours now:
- On your Zerodha app/web, click the search button which is above the page.
- Choose which stock you want to trade or invest in by tapping “Add Stock”
- Give a peculiar name to your watchlist and save it.
How to buy and sell stock on Intraday Trade
When trading intraday, you either go long or short by buying or selling stocks respectively.
But you can only do this by entering the market by two main formats. This is also known as Market orders in the Foreign Exchange Market. They are;
1. Market Option – If you are using this form of market order to buy or sell stocks, the trade will be executed at the Live Trading Price (LTP) of the stock.
For example, if you are buying a stock, and the Live Trading Price of the stock is 112.3, your order to go long will be executed immediately and the trade begins.
2. Limit – in this market order, you will be the one to select the price at which you want your trade to be initiated.
For instance, if you are selling a stock, and the Live Trading Price is 98.2, you can set the Limit to 97.9. This means that your trade order will be executed when the Live Trading Price reaches 97.9
Therefore, if the Live Trading Price does not drop to the 97.9 price mark, your order will not be executed.
This has nothing to do with your Stop Loss prices.
Market Order & Portfolio
After placing your order for the buy or sell position, the next step is to watch the movement of your stock price. This details can be seen in your portfolio.
If you chose the Limit Order when entering the Trade, you will be able monitor the movement when the Live Trading Price hits your set limit price.
We believe with this, you should be capable of trading intraday with Kite Zerodha. Go ahead, sign up with your mobile number and begin to trade.
In conclusion, it is advisable that all beginners open a demo account first before trading intraday live on the stock market.
Losses will be enormous if you do not have any previous experience. Therefore, the virtual trading is to help you gather enough experience that you need for Trading.