Wednesday, September 30, 2009

Intraday Trading



Intraday
  • Use minute charts (1 min, 5 min).
  • Traders are held intraday & exited by market close.

Advantages
  • Lots of trading opportunities.
  • Less chance of losing months.
  • No overnight risk.

Disadvantages
  • Transaction costs (spread) will be much higher.
  • Mentally are more difficult due to frequency trading.
  • Profits are limited by needing to exit at the end of the day.
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