Intraday Trading with just 5000 Rupees

5000 rupees is certainly enough to do intraday trading. I would further add that in a day trade when I could earn a profit of 5 percent consistently every week then why can’t you?

Ever since I began to indulge in day trading, I concentrated on time frame charts to realize the stock price volatility and the possible trends like uptrend, downtrend, and sideways.

When I trade, these chart analyses enable me to cover the losses courageously when any.

You Do What I Did…

In the beginning, until you do not generate sufficient trading capital do not engage in trading on expensive stocks.

Try to conduct at least 3-day trades in a week which I did so.

Try to invest in low-value stocks, say, having a stock price of INR 50. It can be a penny stock, remember over time it shall generate decent money. Or, even turn into multi-bagger penny stocks.

Invest in larger volumes of low-priced stocks or a few stocks of high price by following the below-stated technique.

Techniques to Pool-in Funds in Trading Capital:

Initially, I entered with a limited trading capital of INR 5000.00 but the returns were relatively low like a 5 percent consistent return on investment every week.

For more capital investment, I managed to obtain more trading capital from my stock broker who covered my investments to a range of five times my trading capital. Here, for INR 5,000.00, I acquired a margin cover of INR 25,000.00, some call it margin trading too. Although it was a huge amount, it was manageable.

Your stock price must be about one percent of the trading capital.

I maintain a check of activities as per my trading plan and then run the flow of activity in the markets.

Trust me, my real-time analysis by using time frames gives a cutting edge to make more money than usual.

It is a rare occurrence that the price movements run in opposite directions to my chosen stock price movements leading to losses.

You must not rush into investing in the markets when the opening bells ring immediately.

In the morning before you enter you must read the previous day’s opening and closing stock market trades. This study indicates the existence of buy option or sell option markets.

Your Day Trading Limitations:

In day trading, you need to enter (buy) and exit (sell) in a single trading session. It would help if you took countermeasures when the stock markets are hit with strong volatility.

Make steady use of stop-loss, breakouts to minimize the losses.

Employ time frame charts, from 1 to 4 minutes, and grasp the patterns effectively.

Wait for a couple of minutes, then check the trade patterns then decide whether to invest whether it is a buyer’s day or seller’s day.

Try to make a technical analysis and investigate the market movements, and sentiments.

You will find a deep impact of the company news in the markets, meaning stock prices fall or rise drastically. In the process, you can also find the stocks hitting the upper/lower circuit.

Recommend You to Do it Daily:

Day trading decides your winning and losing money in a single trading session. Therefore You follow this repetitive mannerism to reduce your level of profitability.

Using technical indicators like time frames of 1 to 4 minutes of chart patterns helps you decide on entering or keeping away from day trading on a specific day.