Everyone comes with the dream of earning high profits in the stock market. Setting a few targets some traders wonder ‘how to earn Rs 1000 per day in share market’.
However, earning a consistent profit is not guaranteed but one can make small profits almost every day by following simple rules and practices.
So, let’s get into the details on how to make regular profit daily in the share market.
Earning a consistent income of Rs 1000 per day in the share market is not guaranteed and involves significant risk. The share market is influenced by various factors, and prices can be unpredictable. Here are some general guidelines that individuals may consider if they are interested in trading with such a target:
How to Make Money in Intraday Trading?
The share market is unpredictable and therefore many people lose money in the market. It is therefore important to know how much profit is good for intraday trading.
With some guidelines and rules, one can achieve a set target in trading.
These guidelines include setting small targets like earning Rs 1000 per day from the share market. But to achieve this target it is important to be consistent and disciplined in the market.
Further to earn Rs 1000 per day, the investing amount also plays a vital role. If you planning to do intraday in the equity market, you cannot expect a profit of more than 4% to 5%. Hence considering an ideal scenario you need to invest ₹25,000/- in the market.
Yes, there is a margin facility in some stocks where one can trade with as low as ₹5000 to make ₹1000 profit.
On the other hand, if you choose to trade in options, where the risk is high you can expect 10% or higher profit in the favorable market even with a small capital of ₹10,000 or less.
However, the market does not provide ideal conditions and hence it is important to follow the simple intraday trading rules mentioned below:
1. Educate Yourself
Learn!Learn!Learn
To begin and to achieve anything in your life it is important to gain knowledge. Entering the market with the target in the head but not a proper plan can only lead to loss of capital.
Now to make a plan it is important to learn the concepts of trading. You can start by referring books or can enroll yourself in intraday trading classes where you can learn from mentors.
Other than this there are online stock market courses as well.
But along with learning it is important to practice trading strategies in the live market. For this, you do paper trading to start trade without money in the market.
2. Manage Your Risks
Wondering can intraday trading make you rich?
Yes, it can, but for that, the most important mantra is to learn to limit your losses. For this, risk management comes into play. Before you invest your capital, check how much you can afford to lose in the market.
Analyzing the risk helps you set the right stop loss and define the entry price of the trade.
Along with this, keep track of your past trades to avoid making the same mistakes in the future. This helps you manage the overall risk and make a profit on most of the day in the stock market.
3. Start With Small Capital
When we are kids, we use to write with pencil so that we can erase and re-write things. That is the learning phase of the life. Similarly, when you are new in the market and willing to maximize profitable trades, it is always suggested to use your capital wisely and start small.
You can start intraday with 1000 rupees and test your defined strategies in real time. This not only tests your setups but also helps you in building trade psychology.
4. Choose Right Stocks
Is intraday trading profitable?
Well, the answer to this mostly depends upon the choice of stocks.
So, how to select stocks for intraday trading?
You can pick the stock that is moderately volatile and has good liquidity. This helps you in setting a high target and the exiting position at market value.
Also, to make consistent profit in the market, always divide your money into smaller chunks and trade in different stocks. This reduces the overall risk and help you earn the expected profit.
5. Do Proper Analysis
When choosing stocks for intraday trading or short-term trades, make sure you do a proper technical analysis. You can either rely on technical indicators like moving average, RSI, etc, or learn how to read candlestick patterns and chart patterns.
Identifying the right pattern, however, is not enough. It is important to time the trade as well.
For example, the hammer candle near support helps you in setting a high target and a small stop loss value. But make sure you take an entry only when the price breaks the high of the candle.
Such setups need practice and therefore it is recommended to start trading with the small capital and invest capital only after gaining confidence in the market.
Conclusion
The stock market can be your full-time career and source of regular income. But it is important to be disciplined and practice the right trade. Expecting high profits can only lead to greed and work against psychology.
It is therefore important to learn, plan, and execute your trading strategies and capital wisely in the market.
If you are a beginner and want to mark an entry in the market, then you enroll yourself in stock market classes and learn directly from experts.
Before investing capital, invest your time in learning Stock Market.
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