Meaning & Definition
Intraday trading means buying and selling financial instruments such as shares on the same trading day. In intraday trading, all positions must be closed before the market closes, and no trades are carried forward to the next day. It is mainly used by traders to earn short-term profits from small price movements.
How Intraday Trading Works
- Buy and sell on the same day
- No overnight holding
- Focus on price fluctuations
- Requires market monitoring
Important to Know
Intraday trading involves higher risk and is more suitable for experienced traders.
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