How difficult is intraday trading? There are so many stocks in the market, how do I identify which stock is better for intraday. How to become successful in intraday trading? 💡
Then I don’t even know how to read charts, how will I enter and exit the stocks. Even if I enter, how will I know what and how to keep the stop loss and target. How will I be successful in intraday trading? 🤔
All these questions must be arising in your mind when you think about doing intraday trading. All these questions are justified because intraday trading is so interesting and tremendous.
But you do not need to be afraid and panic because today with the help of this article you are going to get answers to all the questions. After today, intraday trading will not seem as difficult to you as you are thinking.
From stock selection for intraday trading to taking entry exit and setting stop loss and target, all topics have been covered in this article.
Let’s start the journey of intraday trading 😎
Introduction to Intraday Trading
What is Intraday Trading?
Ever tried sprinting a marathon? That’s what intraday trading feels like if you don’t know the rules.
Intraday trading (day trading) involves buying and selling financial instruments within the same trading day. Unlike delivery trading, positions aren’t held overnight, eliminating gap risk.
You aim to capitalize on minute price fluctuations—often before your lunch gets cold.
For some, it’s an adrenaline-fueled chess match. For others, it’s a panic-induced button-mashing frenzy. But for the prepared and disciplined? It can be wildly profitable.
Who Should Consider Intraday Trade?
Traders with high risk tolerance
Individuals who can dedicate 4+ hours daily
Disciplined decision-makers who thrive under pressure
What is the difference Between Intraday trading and Delivery Trading
Before being successful in intraday trading, it is very important for you to know the difference between intraday trading and delivery trading.
If the concept of both trading formats is clear to you, then you will be able to easily choose whether you are interested in intraday trading or delivery trading
| Factor | Intraday | Delivery |
|---|---|---|
| Holding Period | Same day | Weeks/months |
| Risk | Controlled (no overnight gaps) | Exposure to market shocks |
| Capital Needed | Lower (margin leverage) | Higher (full position cost) |
| Profit Potential | Quick, smaller gains | Long-term appreciation |
Psychology of Intraday Traders
The Emotional Battlefield
Intraday trading is 80% psychology, 20% strategy. Common emotional traps:
FOMO (Fear of Missing Out): Chasing pumps
Revenge Trading: Doubling down after losses
Overconfidence: Ignoring risk after wins
How to Become Successful in Intraday Trading by Mastering Your Mind
Pre-Trade Rituals: Meditation or deep breathing to reset emotions
Journaling: Log every trade’s rationale and outcome
The 2% Rule: Never risk >2% of capital on one trade
“The market is a ruthless therapist. It exposes every insecurity you’ve buried.” – Anonymous Pro Trader
Must-Know Market Basics to become successfull in intraday trading
Types of Markets
Equities: Stocks (e.g., Reliance, TCS)
Futures & Options: Leveraged derivatives (Nifty, BankNifty)
Forex: Currency pairs (USD/INR, EUR/INR)
Key Indices to Track
Nifty 50: Top 50 Indian companies
BankNifty: Leading banking stocks
VIX: “Fear Gauge” measuring market volatility
Understanding Volatility
High Volatility: Great for profit potential (e.g., earnings season)
Low Volatility: Ideal for range-bound strategies
Golden Rules for How to Become Successful in Intraday Trading
Trade with Trend: Never fight market momentum
Cut Losses Early: 1-2% stop loss per trade
Avoid Overtrading: Max 3-4 high-conviction setups daily
Respect Power Hours: Focus on 9:30-11:30 AM (open) and 2:30-3:30 PM (close)
Top Intraday Trading Strategies
Example: Breakout Trade
Stock: HDFC Bank
Resistance: ₹1,650
Entry: Break above ₹1,655
Stop Loss: ₹1,645
Target: ₹1,680
How to Pick the Right Stocks for intraday trading
The 3V Framework
Volume: >500,000 shares/day (ensures liquidity)
Volatility: Average True Range (ATR) >3%
Price Movement: Clear trends (avoid sideways stocks)
Top Intraday Picks in India
High Volume: Reliance, Infosys, SBI
High Volatility: Tata Steel, Adani Ports
Best Intraday Indicators You Should Master
RSI (Relative Strength Index)
70 = Overbought (sell)
<30 = Oversold (buy)
MACD (Moving Average Convergence Divergence)
Bullish: MACD line crosses above signal line
VWAP (Volume Weighted Average Price)
Price above VWAP = Bullish bias
Bollinger Bands
Price touching upper band = Overbought
Best Intraday Trading Candlestick Patterns
Reversal Patterns
Hammer: Bullish reversal after downtrend
Shooting Star: Bearish reversal after uptrend
Continuation Patterns
Bullish Flag: Consolidation before upward breakout
Bearish Pennant: Pause before further drop
Entry & Exit Strategy Blueprint for intraday trading
Perfect Entry Checklist
✅ Trend aligns with higher timeframe
✅ Volume confirms move
✅ 2+ indicators give buy signal (e.g., RSI + MACD)
Exit Rules
Profit-Taking: Sell 50% at 1:2 risk-reward, rest at 1:3
Stop Loss Adjustment: Trail stop to breakeven after 1:1 profit
How to Become Successful in Intraday Trading with Risk-Reward Ratios
Minimum 1:2 Ratio: Target twice your risk (e.g., risk ₹1,000 → target ₹2,000)
Never Force Trades: Only enter when setup justifies ratio
Time Management Secrets for intraday trading
Optimal Trading Hours
| Time Slot | Activity |
|---|---|
| 9:15-9:45 AM | Avoid (high volatility) |
| 9:45-11:30 AM | Prime strategy time |
| 11:30-2:30 PM | Monitor/Adjust trades |
| 2:30-3:30 PM | Closing setups |
Common Beginner Mistakes in intraday trading
Overtrading: 10+ trades/day → commissions eat profits
Ignoring Stop Loss: “Hopium” destroys accounts
Chasing News: Buying rumors → selling facts
Risk Management Systems in intraday trading
Position Sizing:
Position Size = (Account Risk per Trade) / (Entry - Stop Loss)Diversification: Max 2 stocks per sector
Daily Loss Limit: Stop trading after 5% account loss
Essential Tools for trading
Platforms: Zerodha Kite, Upstox Pro
News: Moneycontrol, Economic Times
Screeners: TradingView, Chartink
Daily Routine of a Pro Trader
| Time | Activity |
|---|---|
| 7:00 AM | Scan news/premarket data |
| 8:00 AM | Review watchlist & set alerts |
| 9:15-10:00 AM | Observe open volatility |
| 10:00-2:30 PM | Execute trades |
| 3:30-4:30 PM | Journal trades & review |
FAQ
A: Start with ₹50,000+ to absorb losses and trade quality stocks.
A: Yes! Price action and volume are sufficient for experienced traders.
A: 6-18 months with daily practice and mentorship.
Final Advice: How to Become Successful in Intraday Trading
Paper Trade First: Master strategies risk-free for 3 months
Specialize: Become an expert in 1-2 setups
Continuous Learning: Analyze losses weekly
Health First: Sleep 7+ hours; trading fatigues the mind
“Intraday trading isn’t a sprint or marathon—it’s daily push-ups for financial fitness.”
Proven Path:Education → Paper Trading → Small Capital → Scale Up
Key Takeaways:
Discipline beats intelligence
Risk management > profit chasing
Process focus → outcome independence