Intraday Calls are a good way to profit from volatile stock market prices. If you understand the pulse of the market, you can take advantage of these opportunities. However, the key to success with intraday calls is patience. While you may be tempted to book profits or cut losses immediately, it is important to stay patient.
Intraday calls are buy or sell recommendations made within a single trading day based on technical and derivative data. These call recommendations are valid for only the trading hours of the same day. These calls are best used when the price is moving within a specific range. This allows you to realise gains faster, avoiding overnight volatility. You will have to follow the market closely to make intraday calls. Nevertheless, these calls can be profitable even in bear markets.
Before trading intraday calls, you should research each stock thoroughly. This will help you make a better decision. Aside from technical analysis, you should keep an eye out for important corporate events such as mergers, stock splits, and bonus issues. These can play a vital role in making the right trading decision. You can also use momentum trading to identify the strength of a trend.
Another advantage of intraday trading is that it allows you to turn your paper profits into real ones without the hassle of holding a large position overnight. In addition, you can take delivery of shares if you don’t hit your target price. If you can get in and out of a stock quickly, intraday trading will be your best bet.