Day Trading or Intraday Trading is when you take a position and square it off during the same trading day. There are diverse opinions with regards to intraday trading, as it is a double-edged sword. Some traders make a living by earning regularly from intraday trade, while there are instances where a trader loses significant amount.

A day trader takes a position and specifies that the order pertains to intraday trade. If he/she doesn’t close the position by the end of the trading day, the position gets squared-off automatically by the end of trading day.

Day trading requires detailed analysis of charts and trends to make informed and calculated decisions. Also, trader needs to use the stop loss feature to ensure that losses are kept in check. It needs discipline and analysis to be able to reap the benefits of Intraday Trading.

Demat Account is needed to start trading in share market. However, Demat Account is used to take the delivery of shares, whereas, in intraday trading, taking delivery of shares may not be required.