An intraday trade has to be opened and closed on the same day. In the rolling settlement, if it is not closed on the same day, then it goes to compulsory delivery. Hence, the timing for intraday trading is from 9.15 am to 3.30 pm on a daily basis in the Indian markets. To understand at what time intraday trading starts, you must be clear that intraday orders cannot be placed in the pre-market session. Only CNC orders are placed in the pre-open. This information can be easily found using a share market app.
Timing for Intraday Trading
Let us first look at the timing for intraday trading from a theoretical perspective. Then we will look at the ideal time to initiate and close intraday trades during the day.
Available time to trade in Intraday
While intraday trading theoretically ends at 3.30 pm, you actually never get to trade till then. So, at what time intraday trading ends? If you identify your order as an intraday trade then the broker will wait till about 3.15 pm and if the order is still open, then the broker risk management system will automatically close all open intraday positions at the market price. Effectively, you can place and close orders in intraday from 9.15 till about 3.10 pm.
Ideal time frames during the day for Intraday Trading
Intraday trading is like a Catch-22 situation. You need volatility because that is when you get price movement. At the same time, too much volatility will mean that stop losses get triggered and movements are too random. Here is what you should do as an intraday trader in various trading timing blocks.
Trading on opening: This is normally the first 30 minutes to 35 minutes of trade. In the Indian context, it normally extends from 9.15 till about 9.45 and is also the time when the markets are volatile. That is because, the overnight news and all other triggers get factored into prices in the first half hour. Should intraday traders play in this frame. It is good if you’re a veteran intraday trader. Some of the seasoned traders use the early volatility to strike bargains, especially if there is a gap up or gap down opening. However, that is for seasoned traders. If you are just about starting out on intraday trading, you must wait out this volatile period.
Trading after volatility subsides: This is the post opening phase and normally extends from 10 am to around 11.30 am. This is normally the time when prices have settled, the direction of the market is set and even indices have stabilized. Now it is the time for opportunities and it is in this phase that your charts, patterns and news flows will really work in the case of an intraday trade. Make the best of this phase.
The third phase between 12 noon and 2.30 is normally the more relaxed period of the markets. Here the focus is more on any specific events or news flow like global data flows, opening of Dow futures, closing of trade in Asian markets and actual opening of European markets. This is a period you trade only if you have a story or close your positions if you get your price targets.
Finally, we come to the last hour of trading extend from 2.30 pm till the close of trade at 3.30 pm. Here your time frame is restricted to just one hour so opening fresh positions is risky. The only exception is when you trade the last hour on F&O expiry based on roll over data. This is the time to plan your position closure and always do it well before 3.15 pm so that your broker does not force close the position through RMS.
Stock market timing in India
In India stock market timings extend from 9.00 am to 3.30 pm. There is a pre-open session from 9.00 am to 9.08 am when CNC orders can be placed and this phase is used for price discovery. Here orders are matched in bulk at 9.15 and not on a real time basis. The normal real time trading starts at 9.15 am each day.
Trade closes at 3.30 pm but there is a post close session available after that where the contract price will be the closing price of the day. This window sees limited volumes.
How to start trading in India
You start trading in India but opening your trading and demat account and ensuring that your online account is activated. It is always better to start with small trades and get comfortable with the trading process flow.
FAQs
Here orders are matched in bulk at 9.15 and not on a real time basis. The normal real time trading starts at 9.15 am each day. Trade closes at 3.30 pm but there is a post close session available after that where the contract price will be the closing price of the day.
What is the timing for intraday trading? ›
What is the Timing for Intraday Trading. Intraday trading settles trades on the same day during stock market hours, 9:15 AM to 3:30 PM, Monday through Friday, excluding weekends and holidays. Intraday trading is when a trader buys and sells securities on the same day.
What is the timing of intraday currency trading? ›
The Forex market timing in India is from 9:00 am to 5:00 pm, and cross-currency trading is available until 7:30 pm However, liquidity and unpredictability are not always consistent during India's currency market hours. Their differences are due to overlapping global trading sessions.
What is the best timeline for intraday? ›
The Best Time Frame for Intraday Traders
A similar volatility is also likely in the last hour of trading as many traders are squaring off positions. Hence, the best time to enter the market would be after 10 am when the initial volatility has subsided and the ideal time to square off trade would be by 2.30 pm.
Which time zone is best for intraday trading? ›
Even experienced traders prefer trading at a specific time rather than at any arbitrary point during the trading session. While there is no one-size-fits-all answer, many intraday traders prefer trading during the mid-morning to mid-afternoon sessions between 10:15 AM and 2:30 PM.
What is the 11am rule in trading? ›
The 11 a.m. trading rule is a general guideline used by traders based on historical observations throughout trading history. It stipulates that if there has not been a trend reversal by 11 a.m. EST, the chance that an important reversal will occur becomes smaller during the rest of the trading day.
What is the best strategy for intraday trading? ›
Best intraday trading strategies
- Pivot point strategy. ...
- Pullback trading strategy. ...
- Selecting liquid shares for intraday trading. ...
- Leveraging stop-loss orders to mitigate risk. ...
- Avoiding volatile stocks. ...
- Identifying correlated stocks. ...
- Prioritising transparent companies. ...
- Recognising news-sensitive stocks.
Latest Intraday leverages and Square-off timings
| Segments | Auto square off time |
|---|
| Equity/Cash | 3:20 PM |
| Equity/Index Derivatives | 3:25 PM |
| Currency Derivatives | 4:45 PM |
| Commodities | 25 minutes before Close |
When you don't sell your shares on the same day, your trade becomes a delivery trade. So, in an intraday trade, both the legs of a transaction, i.e., buying and selling, are executed on the same day. Hence, the net holding position will be zero.
What are the rules of intraday trading? ›
Understanding Intraday Trading Rules
- Rule 1:Trade at a Specific Time Point. ...
- Rule 2: Make Trades Based on Your Setup. ...
- Rule 3: Gradually Increase Your Position. ...
- Rule 4: Invest Only in Liquid and Volatile Stocks. ...
- Rule 5: Get Your Trades Done by 3:30. ...
- Rule 6: Monitor the Market Constantly. ...
- Rule 7: Never Trade on Hope.
The most common trading time frames include: 1 minute (M1) chart. 5 minute (M5) chart. 15 minute (M15) chart.
Which order is best for intraday trading? ›
A Robo order is a multi-leg order used in intraday trading which allows you to place 2 more orders along with the initial order. This order type can be used to book profits at specified target prices as well as to minimise losses at a trigger price. Robo orders can be used for both buy and sell orders.
Which time graph is best for intraday trading? ›
For day trading, 15-minute charts and 30-minute charts are the offer optimal results. Day traders who use indicators in their day trading strategy can use a 15-minute or lower time frame. In the case of price action-based trading, a combination of the 15-minute and 30-minute time frames proves to be highly effective.
What time should I start intraday trading? ›
As intraday trading involves settling trades on the same day, its timing is the same as that of the stock market, i.e., from 9:15 am to 3:30 pm (Monday to Friday), barring Saturdays, Sundays and other designated market holidays.
What is the number one indicator for intraday trading? ›
The best indicators for intraday trading include Bollinger Bands, Relative Strength Index (RSI), Exponential Moving Average (EMA), Moving Average Convergence Divergence (MACD), and Volume. These indicators help traders identify trends, measure momentum, and gauge market volatility.
Which stock is best for intraday? ›
Top Intraday Stocks
| Company Name | LTP () | Low () |
|---|
| Tata Consumer Products Ltd | 1201.85 | 1196.25 |
| Sun Pharmaceuticals Industries Ltd | 1835.25 | 1825.70 |
| Infosys Ltd | 1906.60 | 1896.00 |
| Cipla Ltd | 1629.05 | 1624.50 |
6 more rowsDay traders use mainly middle time frames, the most optimal of which is 1 hour. Day traders take less risk than scalpers, and they never roll overnight.
What is the 3.30 strategy in trading? ›
The "3.30 strategy" in options trading involves taking positions in the last 30 minutes of the trading day, aiming to profit from potential late-day price movements or volatility in the market.
What is the 10 am rule in stock trading? ›
Traders that follow the 10 a.m. rule think a stock's price trajectory is relatively set for the day by the end of that half-hour. For example, if a stock closed at $40 the previous day, opened at $42 the next, and reached $43 by 10 a.m., this would indicate that the stock is likely to remain above $42 by market close.
What time does day trading start and end? ›
Key takeaways
The New York Stock Exchange and Nasdaq are open for trading Monday through Friday from 9:30 a.m. ET to 4:00 p.m. ET. The stock market is closed for most major holidays in the US.
