An Intra-day Trader Always Loses Money

 

Intra-day trading is a popular form of trading allowed by brokers on a margin of 20% or thereabout from the investors. As you are allowed to trade on a low margin the temptation to overtrade is quite natural. The seamy side of this form of trading should not lost sight of. Making money out investment stock and shares calls for systematic study of the environment under which the bourses operate and the factors which regulate price, sensex and nifty movement. While it is relatively easy to estmate the influence of certain factors but there are some other factors which are too complex for the ordinary investors to fathom and reuire considerable professional expertise and investing acumen. Now our domestic markets are fully integrated with the global markets and anything happening in these market have a direc bearing on our markets.

Going back to our central theme of intraday trading, as pointed out earlier that investors easily walking into the traps laid by the brokers because of the apparent lure of low margin. Perhaps you have stumbled upon reports in the newspapers that investors committing suicide with their entire families under the crushing burden of debt incurred in this form of trade. The stray gains should not tempt you into taking up unrealistic positions not warranted by your financial means which is ,to put appropriately, the surest way to perdition! It takes months,years and decades to build yourself up financially and takes a moment's indiscretion to throw that solid position. And in the process you bring in uncertainty, misfortune and misery for yourself and your family. So be an investor not a gambler! Of late we have been witnessing mushrooming of a motley group of people masquerading as experts in this field, one must not mortgage their sound judgement to them. Develop yourself through study and keen observation then proceed.


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