How does intraday trading work?

Intraday trading involves buying and selling securities within the same trading day, aiming to take advantage from short-term price fluctuations. Here’s a breakdown of how it works:

• Open a Trading and Demat Account: To participate in intraday trading with Share India, you’ll need a trading account to execute trades and a Demat (Dematerialisation) account to hold your securities electronically.

To learn the process for opening a trading account, visit

• Market Hours: Intraday trading occurs during regular market hours. In India, this is typically from 9:15 a.m. to 3:30 p.m. Indian Standard Time (IST).

There is also a pre-market session (9:00 a.m. to 9:15 a.m. IST), which helps determine opening stock prices and reduce volatility. From 9:00 a.m. to 9:08 a.m., orders can be placed, modified, or cancelled. After this window closes (any time between 9:07 a.m. and 9:08 a.m.), the orders are matched, and trades are confirmed. This session only applies to equities.

• Choose Intraday Stocks: Select stocks that exhibit sufficient price volatility. Factors like trading volume, news events, and overall market sentiment can influence a stock’s volatility.
• Place a Buy Order: When placing a buy order, it’s crucial to specify that it’s an “intraday” order. This distinguishes it from a delivery trade (where you intend to hold the stock overnight).
• Set a Target Price (Optional): You can predetermine a target price at which you plan to sell the shares. This is often done using limit orders, which automatically execute a sell order when the stock reaches your desired price.
• Monitor Price Movements: Throughout the trading day, monitor the stock’s price movements. If the price reaches your target, you can sell your shares, “squaring off” your position.
• Manage Losses (Stop-Loss Order): It’s equally important to manage potential losses. A stop-loss order automatically sells your shares if the price falls to a predetermined level, limiting your downside risk.
• Square Off Your Position: Regardless of whether the price hits your target or not, you must square off your intraday trade before the market closes (typically around 3:20 p.m. IST). This means selling the shares you bought earlier in the day.
• Automatic Square Off (if you don’t): If you fail to square off your position manually, your broker will typically do it for you near the market close.
• Conversion to Delivery (if applicable): In some cases, if the shares are not squared off, they might be converted to a delivery trade, meaning they will be credited to your Demat account, and you’ll be obligated to take delivery of the shares. This usually involves different charges and margin requirements.

To start intraday trading with Share India, refer to 

If you have any questions or need further support, don’t hesitate to contact Share India’s support team. You can reach us at 18002030303 or email us at support@shareindia.com.