Day trading of shares
Vijay Mohan (637 Points)
13 January 2022
intra day trading of shares will come under speculation or business
Vijay Mohan (637 Points)
13 January 2022
yojejo8029
(iiiii)
(32 Points)
Replied 30 April 2022
The purchasing and selling of shares and other investment products on the same day is known as day trading. In other words, day trading means that all positions are paid off before the market closes and that there is no change in share ownership as a result of the trades. Until recently, many thought that day trading was exclusive for financial institutions and experienced traders. However, due to the rise of computerized trading and leverage trading, this has altered.
In day trading, you close your positions on the same day. As a result, your sell order cancels out your buy order. There is no change of ownership of shares in this manner. A typical deal takes many days, if not weeks, to settle. As a result, you receive delivery of the shares you purchased, while the shares you sold are removed from your demat account.
It is critical that you select equities with sufficient liquidity to execute such deals. This is why many people prefer high-liquidity equities, such as large-cap stocks. This reduces the possibility of your trades having an influence on the share price of the chosen stock. For intraday traders, market timing is critical. Choosing the incorrect timing to enter a trade might be the difference between profit and loss.
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GSTR 9 and 9C for FY 23-24 as amended by Notification 12/2024 dated 10th July 2024(with recording)
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