Intraday Trading for Beginners | Stock Market Basics

[00:01] So, some time ago, Anshuman was asking me some questions So, after listening to those questions, I felt that these So, I told Anshuman that let me do one thing, ask whatever

[00:16] So, tell Anshuman, what are your questions? that I know a little bit about intraday trading, like But, I wanted to understand the basics of it from the

[00:33] So, first of all, let me tell you a little basic about what So, when you buy shares, when you buy shares for long term, after a year, after 10 years, it doesn't make any

[00:47] But, when we are talking about intraday trading, it means It means you will buy a share today and sell it today. So, when you buy a share today and sell it today, it is

[01:00] Okay, so it means you will buy it today and sell it today. This is the most important point. so if there is a share whose price is Rs.100 and you are

[01:15] for delivery, so this share will be Rs.100 for delivery. But, if you buy a share in intraday, so because there is a So, now that share will be up to 5 times cheaper.

[01:34] That means, this share will be of Rs.20. then you would have bought a share of Rs.100. Now, it is the same company's share and you will buy 5

[01:48] So, now assume that you bought it today. After this, the So, the price has increased by Rs.10.

[02:00] So, in this case, how much did you invest? Rs.10 because you have 5 shares. So, you will have a profit of Rs.50.

[02:14] But, because you bought 5 times more shares at the same But, understand one more thing. The opposite of this is also true. Because here we get a

[02:28] So, you are getting a cheaper share. increased by Rs.90. You had invested Rs.100. Half of your money would have gone.

[02:43] So, intraday trading is more risky compared to delivery So, because of this, you can earn more profit and also lose

[02:55] So, there is a foundation that we have to sell in a day. Suppose, we forget that we have bought an intraday stock. So, if you have bought a share for intraday trading, then

[03:11] you can buy that share from 9.15 am to 3.30 pm. But, the timing of intraday trading is 3.10 am to 3.15 pm. it in this time frame.

[03:25] Now, suppose you bought a share at 10 am in intraday So, you got 5 times cheaper. Or in some cases, the margin There are some stocks in which you may get 3 times. And

[03:41] You may not get any margin in them. But, in most of the So, the main question that we were discussing was that if

[03:54] So, it happens that you bought a share in intraday trading And suppose, you bought a share worth Rs. 1000. There was an emergency due to which you forgot that you had

[04:08] So, what will happen in this case is that when you buy a So, your broker will automatically sell the share on your That means, even if you do not sell the share, the share

[04:25] So, whatever is there in it, whether it is profit or loss, have to monitor the entire share when you have bought it. Because, if you leave trading, then it is possible that the

[04:39] And suppose, your broker is selling the share automatically. So, always be careful. forgetting, then set an alarm on your phone.

[04:55] Or the best thing is to place a limit order or a stop-loss So, when we buy a stock and then sell it, we pay a charge

[05:08] In fact, when you buy a share for delivery, you do not have But most of the brokers, when they buy a share from you for

[05:21] But when you buy in intraday, then you will buy in In most of the cases, the charges are Rs. 20 per order.

[05:33] So, if you place an order once and that order is executed, And the next time when you sell it, then again the So, assume it to be Rs. 23, 24, 25.

[05:49] Now, I know that this concept is difficult to understand So, I have opened my Demat account here. So, whenever you want to buy or sell a share, you need a

[06:04] you a link in the description of this video. So, when you have your Demat account, then when you log in after that, you have to search the name of that share.

[06:19] go here and search the name of that stock. Now, after this, you can see a buy option here. Now, as soon as you click on buy, you can see that there

[06:35] So, if I want to buy a share in delivery, then what is the It is available for 436 rupees.

[06:48] But if I change this to intraday, time, the market timing is not running now. But still, you see that if I change this to intraday, then

[07:02] That means we are getting it 5 times cheaper. If you buy in intraday, then you will get 5 shares. After that, on today's day, this stock is 1% higher.

[07:17] Yes. So, there is no need to think too much about this. But you can see that today this stock is 1.12% higher.

[07:29] If you would have captured 1% of this, then if you would profit of 4 rupees. So, how much profit will you get in this case?

[07:41] Now, obviously, when you start trading, intraday trading, Because if you start trading with this amount, then I have So, even if you get a profit, but still you are in loss.

[07:56] have at least 10,000 to 15,000 rupees. If you want to earn money in actual, then I think you will But when you are new, then at that time you have to learn.

[08:10] You can start with 5,000, 7,000, 8,000 rupees. So, 1% of 1 lakh is 1,000.

[08:23] But when you are trading with 1 lakh rupees, you get a So, if you had invested 5 lakh rupees in the market, then decent amount.

[08:35] That's why when you are doing intraday trading, then you the concept of margin. But I still have a doubt.

[08:47] I have heard such reports that 89-90% traders still have a So, what do you have to say about that?

[08:59] Here, we are talking about intraday trading. Whereas, the report you have heard that 89% traders have a

[09:11] It has been said that the loss is in the F&O segment. That is, if you trade in futures and options, then 89% behind this.

[09:23] For example, when you trade in F&O, you don't buy any stock Now, that is a very technical thing. Most people come, they don't understand its technicalities.

[09:36] they buy anything without thinking. It is possible that you buy an option in F&O for 100 rupees in the morning and its price is 0.05 rupees in the evening.

[09:51] So, this happens. So, because most people don't have knowledge. somewhere that money is four times more here.

[10:04] So, because most people don't have knowledge about it, they Secondly, when you trade in futures and options, what

[10:16] Suppose there is an index, like we have opened Nifty. Nifty opened in the morning, same 22,465. And at this time, you have bought a particular option whose

[10:30] Now, in the evening, when the market closed, at the same So, at this time, what should be the price of this It should be the same. But because a whole day has passed

[10:47] here, so because of this, the options have an expiry. Because of which, even though it has closed at the same place, but its price may remain 70 rupees or 60 or 50.

[11:01] Generally, people use it for hedging. Then they are also getting a loss. There is not much loss. There are chances of loss here too.

[11:16] So, if you go to FNO, it is very technical. First, you should always start with intraday trading. directly, it has never happened that one stock is 100 in

[11:32] Its price will increase by 4-5% at most. And you have to get a margin of 5 times. And along with this, if you use some risk management

[11:46] And I think that if beginners start with intraday trading, And I will explain the risk management methods to you later.

[11:58] Okay. So, according to you, intraday trading is right for And the rest of the trading, like future and options, is If you are talking about options trading, future trading,

[12:11] then because it is very volatile, it is also very But if we talk about delivery, long-term investing, then in So, Neeraj, suppose I want to do intraday trading, then for

[12:28] I will have to learn. So, if you tell me about a proper road map, where to start that, all these things.

[12:42] Okay. So, I am clearing a lot of basics now. If you like the video, then do like the video. But if you want to do intraday trading, then there will be

[12:55] Because today, I will tell you, that won't do. But still, what all things you will have to learn, this is So, first of all, you should have a Demat account, through

[13:10] And learn to use that Demat account properly. market order, you should know these technical things. Once you watch the video, we have already made a video.

[13:23] If you watch that video, you will easily understand what is You will learn all these basic things related to the Demat Now, when you have these things, the next and the most

[13:40] You know how to trade. But in which stock you have to buy or trade, that is the Because how well you have done the analysis, how well you

[13:56] But if you haven't chosen the right stock, then that stock Or maybe you have chosen the wrong stock and you have Now, we have made 2-3 videos on stock selection.

[14:14] Because this is a very big chapter. There are a lot of technical things and a lot of different time, so in general, what should you see before selecting a

[14:28] So, first of all, whenever you are doing intraday trading, or the top 100 stocks of the stock market, there is also an In a very rare case, if you find a mid-cap stock, you can

[14:44] Because the first reason is that they are very volatile. No, but in trading, But there is one volatility, if it is increasing suddenly

[15:00] don't want such a volatility. So, first, small-cap is to be avoided. More important reason than this is that it is easy to

[15:15] manipulate small-cap stocks. The volume in them, what will will be a big buying in it, suddenly there will be selling. So, because it is a small company, if you have put 100

[15:29] I am talking about 100-200 crores, if it is a company of So, it can be manipulated easily. And along with this, many times what happens is that you

[15:43] if you have bought a small stock, it is possible that you And then you can get a penalty on it, there can be a lot of That's why it is better that you do intraday trading in the

[15:59] That is, you do intraday trading in all the big companies So, this is very important when you are selecting stocks Like, you can trade news.

[16:11] Some people say trade news, some people say avoid news. It is up to you whether you want to trade or not. Because Either the stock will increase very fast because of some

[16:26] through technical analysis or we can't predict through News came positive, the stock fell. Like, a few days ago, the news of Tata Motors came, that is, the quarter results

[16:42] But that day, the stock fell by 7-8%. So, we should avoid news, that is better for us. avoid it a little, then it will be better.

[16:56] But when you get a little advanced, if you try, then you So, in stock selection, you have to see that the stock you can buy it easily, you can sell it.

[17:10] in the beginning. How to select the rest of the stocks? For that, we have So, you can watch the video from there.

[17:23] I will learn from those videos. But after selecting, we will have to take the trade too. See, first of all, when you are selecting the stock, there

[17:39] Like, suppose there is a stock which has crossed the moving So, this is the basis.

[17:51] Okay? So, on what basis we are selecting the stock, this is technical analysis. Like, there are many indicators.

[18:03] Tata Motors. I am telling you in the name of stocks, these are just Okay? It is not that I told you to buy this.

[18:16] So, this is a stock. We do technical analysis in this. And these candles are basically the price of the stock.

[18:32] increased in this time frame. If it is a red candle, then now there are many indicators through which we can find out.

[18:44] Secondly, there are many candlestick patterns through which In price action, there is support resistance. It is very difficult to cover it in one video or at one

[18:59] way, above all these things, we have already made videos. I will tell you some basic things. Like, one important thing is support and resistance. What

[19:13] See, in technical analysis, history repeats itself. What are some psychological reasons behind it. So, now you see, here I am explaining you the basics. We

[19:26] And you are also a beginner. So, if we go in advance, it will be difficult to understand. After coming to this point, price increased again from here.

[19:40] And same, around the previous level, price fell down again. Then, around this level, you can see that the price is Around this point, price fell down again.

[19:55] Then, around this point, price fell down again. So, there after going to this level. So, this level is called resistance.

[20:10] resistance, it means that the reason for which the price removed and many people are interested in buying because of

[20:22] So, this is one way by which you analyze the stock. or went to this level and increased again.

[20:35] So, this area, if you look here also, I am not drawing a I am talking about this area because it cannot be exact. the price is going again and again, it is coming back like

[20:51] used to come back. roof, it used to come down. So, we have made a video on this, you can learn from it.

[21:05] Apart from this, there are many other indicators. First, I am running slowly, okay? So, if I am running fast, it means I want to go somewhere

[21:18] If I am running slowly, it means I will go slowly now. So, if I start running fast suddenly, it means I am So, we can find out this.

[21:31] So, now you can see my speed from the front, but to see the speed of the price, we have to see the average of its price was increasing before which average and now it is

[21:45] Here is an indicator, moving average. average, weighted moving average, there are many things. So, all these are moving averages, but they work in

[22:01] You will understand simple moving average only. There is not much difference. Now, here you will see that the price was falling, okay?

[22:15] And it broke this line of average. First, this price went above its average. at which it was running, now it started running faster than

[22:31] Okay. Because if there is anything that is always working, then Okay.

[22:45] Suppose these candles, this price, it has cut this line So, we have to take entry only then. So, what kind of trade will happen there?

[22:59] was running now. But now it has come below its average. We can also change this. That is, we can use 20 candles, 50 candles.

[23:15] going to fall now. it increased. So, that is why we have to use some confirmation also.

[23:29] This is the biggest, the most technical work. been done to a great extent. But if you want to understand technical analysis in detail,

[23:43] Because these two things are very important for intraday Watch them. selection.

[23:56] You have got 2-3 ways to select a stock. But it is not easy to earn money. Like, when we buy a stock, whenever the price increases, we

[24:12] intraday trading, when I did some research on it. So, there is also a concept that if the price falls, then also we can

[24:24] What are you trying to say? So, your question is that if But if the price is falling, if I know that the price is There should be a way to take advantage of it.

[24:39] Okay. So, what we do in this is, earlier, we bought a share. For example, let's assume that you have this share of Tata

[24:52] So, you sold this share for Rs.100. How did I sell it? You don't have to do anything.

[25:06] You don't have the share, you don't care. So, your broker, because you don't have the share, but your

[25:18] broker does, he will sell 100 shares on your behalf. So, now assume that he has sold 100 shares on your name. So, assume that you have sold it for Rs.100.

[25:33] So, you sold the share for Rs.10,000 in the morning. Now, the price has fallen to Rs.90.

[25:45] So, now you will have to buy it back in the evening because So, you will have to return it. So, in the evening, you will have to buy those 100 shares.

[26:00] Okay. Now, the price has fallen to Rs.90. So, if you buy 100 shares for Rs.90, then it will be

[26:13] That is, first you sold one thing for Rs.10,000. Then also, you will have Rs.1,000 in your pocket. Okay.

[26:25] short selling. But whatever you said now, please revise it again. Okay. So, in technical analysis, understand the basics of

[26:43] In that, we have explained in detail what is technical In which we have to learn support and resistance. Apart from this, you have to learn how to draw a trend line.

[26:58] Okay. Apart from this, the candlestick patterns are very We have added something else in the videos.

[27:12] Because the candles that are being made, they have some There is a morning star. So, there is some meaning behind this too.

[27:27] Apart from this, there is a whole chart. So, we have to learn that pattern too. Like I told you about moving average.

[27:39] And apart from this, a VWAP is a very important indicator. So, if you learn this much and learn a technical analysis So, I will watch those videos.

[27:54] But actually, I wanted to know if you could tell me a basic strategy. I mean, as a beginner, if I learn all that, after that,

[28:08] with which strategy can I start trading in the beginning? For example, there is a strategy that the candle that is

[28:20] The candle that is made in the first 5 minutes, mark its After that, if there is a high break, buy here. If there is a low break, then short here. Okay? This is one

[28:33] Apart from this, some people select based on top gainers, So, if I tell you one strategy, what will you do now? You will take that strategy directly and trade. Okay? Now,

[28:47] Then you will say that whatever I told you was useless. So, because when I am telling you a strategy, I will tell you why you have to learn many strategies.

[29:01] According to me, you should have at least 5-6 strategies. Whether you have learned it by watching our video on 5-6 strategies that work in different markets.

[29:17] in the uptrend, someone can work in the downtrend. So, Now, you have to test these 5-6 strategies by yourself. strategy works.

[29:32] Until you apply it yourself and gain confidence, when you At that time, you will feel that whatever he told you was So, that's why if you test the strategy yourself, then you

[29:47] can recover in some time. Because, when there is a problem, then you have to trust So, you have to test 5-6 strategies.

[30:00] I told you the basics. We have made a video on this too. apply them directly to the market. For example, if the moving average line is broken upwards,

[30:17] If it is broken downwards, then we have to sell there. of fake signals. For example, we use the volume.

[30:32] try it yourself. worked. have profited and how many times you would have lost.

[30:45] And when you see that there is a strategy that is working working, but the risk to reward ratio is high.

[30:58] strategy. Because in trading, it is said that only 20% of the The remaining 80% is all about psychology.

[31:11] If it is increasing, then it can fall again. want, all this is psychology. If you have any other doubts, then ask me.

[31:26] When I will read more, then there may be some more But still, I will tell you some basic things, which you First of all, whenever you take any trade, then apply stop

[31:42] Stop loss, in the broker's app, there is an option. So, you can apply stop loss of Rs.90. automatically sell.

[31:57] That means we don't have to do it. And this has to be done all the time. Rs.91 from Rs.100 and increased again.

[32:12] So, what they think is that I applied stop loss of Rs.90. So, they don't apply stop loss from the next time. But if you apply stop loss 10 times, you incur a loss.

[32:25] money can go down. And if you apply it in a better way, then you can reduce The second concept is risk to reward ratio.

[32:41] Whenever you buy, here you have taken a stop loss of Rs.10. sell. So, your profit should be called risk.

[32:53] So, your reward should be at least Rs.20. bear a loss of Rs.10. So, I hope the things I have explained to you today, you

[33:07] And I think that our audience must have got a lot of And their questions must have cleared up. ask me.

[33:22] the comment box. Do subscribe to our channel. given the link in the description.

[33:34] Thank you.