It’s quite difficult to not get tempted to intraday trading, after all, it’s how you can make money fast from the stock market. Computer applications have made it possible for the traders to do intraday trading today with considerable accuracy, as an intraday trading strategy is a short-term intensive activity, making the use algo trading software very useful for the traders. However, to ensure that you are able to get more benefits from your intraday trading today, you should use a software for intraday trading for beginners based on various parameters, and the features and functionalities that you may find useful for your trading objective. And also do a cost-benefit analysis of your software.
Intraday trading software by the Experts Bazaar will help you carry out your day trading activities in an efficient and timely manner, based on various trading software signals, technical indicators, pattern recognition, real-time trading charts, and other parameters. You will need to set up Experts Bazaar’s software for intraday trading for beginners. You can put our algo trading software on live data to see how your intraday trading strategy works, before you decide to let it auto-execute the trades for you, based on your set parameters.
Let’s understand it by an example:
Select a stock, say ABC, for arbitrage, and select two markets, say NSE or BSE. Suppose both legs of intraday cost you Rs. 06 per share for brokerage and commission, and your intraday trading strategy aims for a price differential between the two markets in excess of this amount. So, you set a price differential of Rs. 10 or above, so the algo trading software would execute a simultaneous buy and sell order only if the bid and ask prices on the two markets differ by Rs. 10, or more. Now, you set the number of shares and to buy and sell in one order, say 1000 shares, and let the set up go live.
Now let’s say the algo trading software identifies quotes for ABC of Rs. 400 on NSE, and Rs. 415 on BSE, a price difference of Rs. 15, for orders of more than the set limit of 1000 shares. Our intraday trading software will initiate trade as soon as it matches your set parameters, and will automatically send orders to the two exchanges for buying at a lower price, and selling at a higher price. If everything goes well you will be able to make Rs. 15 x 1000 = Rs. 15000 of net profit for your trade, in a jiffy.
Making enhancements to your intraday trading software
You can also make enhancements to your trading software signals to include stop loss so that only your buy trade gets executed, and not the sell trade, if the limit is hit. You can also switch to averaging techniques for your intraday trading today, so you will buy more stocks at a lower price to reduce its overall price. It’s also important to keep a tab on your emotions, and exercise timely restraint. Though there is no sure-shot formula to win with intraday trading today, but a good intraday trading strategy would come handy in most of your dealings.
Take care to book profit as soon as the target is reached. The secret of your intraday trading strategy lies in the high leverage and margins that employ profits, and losses as well. But the trick lies in not falling into the trap of greediness. Don’t wait for the stock price to rise, sell your stock as soon as the target price is reached.
