You can choose to do the Intraday trading during specific times. At the same time you have to avoid doing the trading at some specific times. Experienced traders can trade at any time they want, but the newbies have to be very careful while selecting the time, to do Intraday trading
Here you can see the list of time periods influencing the stock market:
a) Indian stock market opening and closing time:
The Indian Stock market opens at 9:15 am and closes at 3.30 pm. During the opening and closing time, there is probability that market may react volatile, so its always advisable for the newcomer to stay away from the opening and closing session. Its just not possible for the newbies to judge the market movements during these time. On the contrary, the experienced traders make good amount of money during the opening and closing sessions.
b) Opening time of European markets:
The Indian Stock market usually reacts to the opening of European markets. The European Stock markets opens at 1:30 p. m. If the European Stock market opens in positive, then Indian Stock market also reacts positively. It is advisable to apply appropriate trading strategies during the opening of European markets in order to earn profits.
c) During the announcement of financial Quarterly results:
The companies will announce their Quarterly results during the months of April, July, October and January. The market participants will check the performance of companies and act accordingly. Newbies are advised to check how the market participants are reacting. Then you can decide whether to buy or short sell.
d) During the derivative expiry week:
Its not advisable for the new traders to do trading during the derivative expiry week. The derivative expiry date will be on last Thursday of every month. The market becomes volatile during this period because traders have to square off their contracts.
e) During the announcement of Inflation figures, sector based news etc:
The Stock market will react either positively or negatively, when the government or RBI announces some important news such as inflation figures, interest rate cuts, subsidy by the government to specific sector, price hikes or reduction etc.
f) Keep an eye on other news which may affect the Indian Stock market:
Sometimes Stock market reacts to some of the domestic as well as international news. Its very important to keep an eye on all these news in order to understand the market direction.
If you come up with the right strategies and take some necessary precautions, you will be able to trade in the above situations successfully. You have to enter the stock market at the right time. If not, you will end up losing money. If you couldn’t decide when to enter the stock market, but still if you are interested in Intraday trading, then take the help of the Best stock advisory company which provides Intraday tips.