What I observed while dealing with the clients who are doing day trading that majority of them takes it as granted means they are not following some basics which are required to be followed by any day stock traders.For profitable stock trading in Indian stock market, there are some basics which are required to be followed strictly:
- Make your trade plan before starting of the day, and stick to it religiously and precisely.
- Majority of the day traders are losing, not because they have not good Trading strategies, they are losing because they have no discipline.
- It is one the important key to success in any field of life not just in Day Trading. Here consistency doesn’t mean winning every day in Stock Market.
- Once you have decided any Trading strategy or Methodology for day trading follow it consistently.
- Whatever the strategy you have designed, make a plan for it, execute the same on daily basis and stick to it.
- The day trader has to dedicate certain number of hours daily for study of Technical analysis, trend of the market, market research etc.
- The day trading should be treated as business –and not to be taken as hobby – really it should be considered seriously as a Full time or part time business.
- As stock trader bears the taxes, losses, brokerage charges and other miscellaneous expenses.
- Day trader also faces the uncertainty, volatility, stress and Risk.