3 Best intraday trading rules
Most of the people who come to the stock market are their main attraction for intraday trading which attracts them toward this market but as time passes, we all come to know that intraday trading is terrible in comparison. Trading style is like swing trading and positional trading and compare it with investment because day trading is very stressful, high risk and many emotions are involved. If your failure risk is very high in intraday trading then this article is best for you because in this article I explain the 3 best intraday trading rules, which you also call it golden rules of intraday trading.
So, the rules of intraday trading for beginners are given below:
Rule No. 1: Trade Like A Robot
Yes, when you do intraday trading you must trade like a robot. It means you kill your emotions. We have to trade without emotion Like revenge trading, and loss recovery.
When we suffer a loss in the market we try to recover our loss without doing any analysis we only thinking how we recover our loss. We take the wrong trades. Without any setup or strategy, we taking trades in the market. So, trade like a robot when once you decide this is my stop loss, this is my target just follow it. If you get profit then exit or if a stop loss hit, then accept the stop loss and close your trade.
Rule No. 2: Set Your Daily Limit Loss
You keep an amount in mind we can lose more than this in a day. This should not happen. Those who are in business think at the beginning of the day as to what the minimum profit they should make in a day, but the professional traders targeting the loss side, that is they decide what should be the the daily limit loss.
Example:
If someone's daily limit loss is Rs 5000 it means he is ready to take our risk of Rs 5000. If the loss is more than this, he will stop trading for the day.
Rule No. 3: Do not Over Trade
This is my favorite rule because when I was a beginner I always broke this rule and faced loss. But when I understand this rule. I became successful in trading. So, Must set your daily trade limit and not take trade more than your daily trade limit.
Example:
If you set your daily trade limit to 5 trades in a day then strictly follow it even if you get good profits in every 5 trades because discipline is very important in trading. If you break any rule which you set then this is very difficult for you.
Conclusion:
The final result of this article is that you must follow your trading rules if you break them then the market will break you. You must follow the above rules if you become a successful intraday trader. Intraday trading is not difficult it is a game of rules that you create but do not follow that is why intraday trading is difficult for you.
