Intraday analysis is to analyse the market situation and price movement to make profit for buying/selling or selling/buying the stocks on the same day. The analysis is the top down approach and needs to be focused on that day’s sentimental and momentum analysis.The intraday position on the same day, otherwise will be charged penalty for short position created.
he IDEAL time for trading Intraday would be between 10 am to 11.30 am in the morning and between 1.30 pm to 2.45 pm in the afternoon. The sentiment of the global market (Asia, UK) will get reflected in indian market. Intraday analysis is done using the Top Down Approach.
1. Identify the Market Direction i.e, whether the market is +ve or -ve.
2. Check Market Breadth (Advance / Decline)
3. Check sector contribution that is weighing for the market direction.
4. Check the Index contribution for the current prevailing market direction.
5. Take top two sectors that is the major contributor for the prevailing market direction.
6. Now Filter top 4 stocks from the filtered sectors.
7. Again filter the stocks that is trading with the high volume.