Techniques of intraday trading:
The following are several basic strategies by which trader attempt to make profits.
Some of these approaches require shortingstocks instead of buying them:
The trader borrows stock from his broker and sells the borrowed stock, hoping that the price will fall and he will be able to purchase the shares at a lower price. There are several technical problems with short sales the broker may not have share to lend in specific issue.
Trending types of intraday trading :
Contrarian investing:
Contrarian investing is a market timing strategy used in all trading time frames. It assumes that financial instruments that have been rising steadily will reverse and start to falling, or short sells a rising one, in the expectation that the trend will change.
Range trading:
Range trading is a trading style in which stockes are watched that have either been rising off a support price or falling off a resistance price. That is, every time the stock hits a high, it falls back the low, and vice versa. Such a stock is said to be "trading in a range", which is opposite of trading.
Scalping:
Scalping was originally referred to as spread trading. Scalping is a small price gaps created by the bid ask spread are exploited by speculator.
Scalping highly liquid instruments for off the floor traders involves taking quick profits while minimizing risk.
Rebate trading is an equity trading style that uses ECN rebates as primary source of profit and revenue
Scalping highly liquid instruments for off the floor traders involves taking quick profits while minimizing risk.
Rebate trading:
Rebate trading is an equity trading style that uses ECN rebates as primary source of profit and revenue
News playing:
The basic strategy of news playing is to buy a stock which has just announced good news, or short sell on bad news.Price action:
Keeping things simple can also be effective methodology when it comes to trading. There are groups of traders know as price action traders who are a form of technical traders that rely on technical analysis but do not rely on conventional indicators to point them in the direction of trade or not.
Artificial intelligence
An estimate One third of stock trades in 2005 in US were generated by automatic algorithms
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