InvestorQ : Can you outline some basic steps that I must remember while I trade intraday in terms of identifying stocks? What are the steps I need to go through?
Bhavika Nehru made post

Can you outline some basic steps that I must remember while I trade intraday in terms of identifying stocks? What are the steps I need to go through?

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Dinesh C Nagpal answered.
9 months ago
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There are several indicators, but overall what is needed to know is in the lower time frame is confirmation of breakout/breakdown, reversal signal from overbought / oversold zones, moving average bullish/bearish crossovers and similar indicators. Most intra day traders stick to index and large cap liquid stocks day in day out
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Abhisha Yadav answered.
3 years ago
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You must begin by identifying a list of 10 stocks that you will trade intraday. Don’t ideally go beyond 10, keep your list as small as possible. What should be the criteria for selecting these stocks? Firstly, they must be companies with quality management so that there are no negative surprises for you. Imagine, if you were caught on the wrong side in a trade in Vakrangee or PC Jewellers. You can afford that. Secondly, ensure that these stocks are liquid enough to enable entry and exit without any risk. Lastly, these stocks must be high beta names that react to technical triggers and to news flows. That is when you make money! Above all, keep this list small such that you can closely track these stocks.
Once the stocks are identified, you must set out the framework for trading intraday. Define the support and resistance levels where the stock can be traded long or short. Decide on the stop loss levels and the profit target levels. Once the complete framework is set, only then you must venture to trade these stocks. The more you sweat in peace, the less you bleed in war.
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