Best Day Trading Stock Brokers in India
Last Updated: Jan - 13- 2020
Finding a suitable day trading broker in India can be a daunting task. There are more than 70 brokerage firms that function within the country, and several more working abroad. With a wide mesh of brokers like this, it is challenging for an investor to choose the right one. In addition, there are close to 20 million trading accounts and a few hundreds of brokers managing these accounts. Hence, if you are looking for a reliable broker to manage your investments, then you need to search harder.
Before we head further, let us understand what intraday trading actually is. Intraday trading is that style of trading where you buy and sell the stocks within the same trading day. For example, if you purchase 30 shares in a day, then you need to sell all of those 30 shares on the same day before the market closes. If you are unable to sell all the shares, then the broker will automatically eliminate your hold from those that remain. This means, you need to be on your toes to be able to make the right decisions at the right time to achieve the right returns for the investment made.
Any person who wants to step into intraday trading must have a bit of high appetite in taking risks; because, there is more objectivity and less emotional bias involved in it. Investyogi presents some mantras to the people who wish to enter into day trading and recommend you to follow them diligently.
- Start trading with a small amount
- Do not play blind. Understand the risks and challenges involved in intraday trading
- Do some basic research at your end and then approach the traders to understand better
- Have enough time to trade on a daily basis. Intraday is an everyday task.
- Must have risk taking abilities
- Do not be greedy. Always trade within a small range of stocks
When it comes to intraday trading, it is important that you find a broker who actually provides value for money services. Based on your investment needs and expectations, you need to locate a suitable broker. If you are going to trade very frequently, then you need a broker who offers reasonable brokerage charges, and if you are not trading often but need accurate market information, then you can opt for a broker with capabilities and knowledge, who may charge more than the usual.
With rapid turnover in revenue in a day at firms like BSE and NSE, there is a large population turning towards intraday trading. And, the way to experience effortless trading is to have the support of an efficient broker. While you start looking out for the right broker, make sure you do enough and more research, and consider the following points.
- Costs – Make sure that you do not waste your time and efforts into an ineffective strategy and end up paying more in the form of commission fees. Ensure that there are no hidden brokerage fees. There are three concepts that one must understand.
a. Margin – This is a loan that will allow you to capitalize on future prize movements. You must understand what amount can you borrow as a loan and how much do you need to pay as interest
b. Minimum Deposit – Some of the day trading brokers demand for a heavy initial amount as deposit. If you are a newbie, then beware of these unnecessary costs and get rid of such brokers.
c. Account Types – Brokers offer a varied range of accounts – Standard accounts, platinum accounts, and more. Consider each of these accounts carefully and identify the one which suits your requirements the best.
- Minimum number of trades – Always check for minimum trade clauses before opting for any broker. You don’t want to trade more than your capability just for avoiding any penalties.
- Platform Choice and Research Facilities – Look for an easy-to-use trading platform so that you have a memorable experience. Your platform should be able to provide you necessary and accurate information about the share market and help you make informed decisions. Opting for a demo account is the best solution. This allows you to conduct a thorough intraday broker evaluation.
- Customer Service – Check for broker reviews before signing up. An ideal broker should be able to offer you round-the-clock support in numerous languages and also through online chat services.
- Demand for extras – Look out for brokers who have something more to offer apart from simple trading experience. You may find some extras like free capital to trade, which is a good offer for the newbies.
- Local Presence – While it is good to research over the internet across multiple sites, visiting the office personally and getting your doubts clarified is also a good practice. This allows you to see the actual picture of the firm allowing you to trust and invest well. Well-known brokerage firms like ICICI securities and Angel Trade have numerous offices across the country. This allows investor to look for a steady support system in case they need any help.
Now that you have understood the essentials of intraday trading, let us look at some of the best day trading stock brokers in India. Investyogi has prepared this list after a detailed research; however, we recommend the readers to do self-study and take decisions as per their trading expectations.
One must remember that it is important to filter the search according to the needs. The best day trading futures brokers may be different from the best CFD or stock brokers. Finding the right broker is the key to enhance your chances for success in the stock market. Hence, do a thorough research, talk to your contacts, read reviews, opt for demo account and then decide for yourself the best suited intraday broker.