Do you also want to buy and sell stocks in just one day and make money from it? That’s called intraday trading. It sounds exciting, and it can be, but only when done carefully. For beginners, the first step is picking the right stocks. This makes a big difference. In this simple guide, you’ll find easy tips to help you choose better stocks and avoid common mistakes. You’ll also learn how tools like the Nifty LTP calculator can help you track prices in real time.
Top 5 Things to Keep in Mind While Intraday Trading
Here are 5 important things that you need to keep so that you are no longer confused about how to choose stocks for intraday:
1. Look for High Liquidity Stocks
Liquidity shows how fast a stock can be bought or sold. Traders like high-liquidity stocks for intraday trading because they can get in and out of trades quickly. Shares of big companies and many Nifty 50 stocks often give this high liquidity.
The Nifty LTP calculator is handy for checking the latest traded price of any stock in real time. By looking at these live prices, a trader can spot which stocks are active and worth considering for the day.
2. Focus on Volatility
Volatility refers to the amount by which a stock’s price moves during the day. In intraday trading, traders prefer stocks with reasonable price movement. This gives opportunities to earn profits within a short time. However, extremely volatile stocks can be risky, so beginners should be cautious.
A stock that moves between 2% to 5% in a day is often considered ideal for beginners. One can check daily charts and price history to understand how much a stock usually moves.
3. Choose Stocks That Follow Market Trends
It is simpler to sell stocks that move with the market. For instance, if the Nifty is moving higher, then the stocks that move higher with the Nifty stand a better opportunity of performing well. Therefore, monitoring the market trend can actually be beneficial in selecting the proper stocks for intraday trading.
The Nifty LTP calculator helps with this even further. It displays the current prices of the Nifty stocks, so traders can easily identify which ones are on the move and track with the market.
4. Check the News and Announcements
Stock prices keep on changing because of various reasons like company results, government announcements, or updates in a particular industry. For beginners, it is important to keep an eye on the news as it can help spot stocks that might move during the day.
But it is important not to trade just because of the news. It is always better to take a moment, understand the situation, and look at the stock carefully before making any move.
5. Avoid Penny Stocks
Penny stocks are very cheap, but at the same time can be risky. Their prices keep on changing, and it is not always easy to buy or sell them. They may look tempting to beginners, but they are not a safe choice.
It is better to go with well-known stocks from strong and trusted companies. These are usually more stable and easier to trade.
Conclusion
Intraday trading can be a good way to learn and earn, but only if done carefully. Choosing the right stocks is very important. With simple steps and helpful tools like the Nifty LTP calculator, beginners can make smarter choices and trade with more confidence during the day. Start sharp and stay alert.
