Intraday trading and its timings

During market opening and closing time
Daily share market opens at 9:00 am and closes at 3:30 pm.

During market opening time
From 9:00 am to next 20 minutes or even till 30 minutes the market movements are not catch able. Markets moves very fast in up and down direction so it becomes difficult to take trading decision during this uncertain time especially for new comers while the experience traders manage to get some profits during this session.
So it is advisable to stay away during this period and keep watch to gain experience so that you can trade on this once you get experience in future.
The second such time slot is market closing time.

During market closing time
The same market volatility is expected during closing time at 3:30 pm.
Most of the trades have to square off their trades before market close due to use of margin amount so there is probability that market may react volatile so it is important to stay way from 3:00 pm to 3:30 pm. This note is again for new comers who are unable to judge the market movements.

The experience traders make good money during this ending session.
“Money saved is money earned”

It has been observed that during this period some of the traders fail to square off their trader due to failure of electricity, hanging of computer, hanging of trading terminal due to large pending order queues at the exchange or at your broker’s server and many more reasons.
So your pending trades may fetch you some penalties, heavy losses or some interest rates (depends on your broker) applicable to margin amount used.
So take appropriate and sensible precautions during market closing time.

Please note - These parameters or factors may or may not happen and this is just the precaution note.

During the expiry period of derivative expiry week
It has been observed that Indian share market becomes volatile and uncertain during derivative expiry week.
The derivative contract expiry date is on last Thursday of every month.
Indian share market becomes volatile (no certain direction) during this week because traders has to square off their contracts.

For example - If trades have bought the contract then they have to sell them and if they have short sell contracts then they have to buy them.

Traders have to square off their current month contracts and if they want they can buy or short sell next month contracts so due to all these activities markets is not able to take any certain direction and goes into volatile phase.

Due to this reason trading becomes difficult especially for new comers but experienced traders are able to gauge the market then they can make good money.
The volatility activity becomes more prone as the expiry date approaches nearer.

So new traders are advised to take appropriate steps to save themselves from this uncertain period and once you become experienced then you too can make money in such periods.

Some assumptions
If the market participants have short sell their future contracts due to bearish market sentiments in entire month then they have to buy them during the expiry period so if the buying happens from all side then there is the probability that market may pull back in Green if it is trading red during expiry period.

On the second side if market participants have bought future contracts due to bullish sentiments in entire month then they have to sell them so due to which there is the probability markets may go in red from green if selling starts from all side.

Note - The specific date for derivative expiry for every month is mentioned on the home page of www.daytradingshares.com

Announcement of financial quarterly results
In Indian corporate sectors, most of the Indian companies (especially listed under NSE or BSE or both) publish their quarterly results.
There are four financial quarters -
Quarter 1 - April to June and earnings will be declared in July
Quarter 2 - July to Sept and earnings will be declared in Oct
Quarter 3 - Oct to Dec and earnings will be declared in Jan
Quarter 4/final - Also called as financial year end - (Jan to Mar and earnings will be declared in April)

Announcement of important numbers
Market react either positively or negatively based on the announcement of following important numbers.
1. Announcements of important numbers like Inflation figures and IIP figures by the Indian government.
2. Auto sector, telecom sector and most of the other sector announce their sales figure or production figures.
3. Any interest rate cuts buy the RBI or by any banks.
4. Any price hike of the products like auto, metals etc

Based on the positive and negative numbers the share prices of the respective companies reacts.

We publish all these numbers as and when declared on our “Live news and “Latest Corporate Happenings” sections on our home page.

During opening of European markets
It has been observed, many times, that Indian share market reacts to opening of European stock markets.
Daily European stock markets open at 1:30 pm.
Major European countries and their stock markets are

Germany - DAX
France - CAC
Belgium - BEL-20
Netherlands - AEX
Italy - MIBTel
Spain - Madrid General
Sweden - Stockholm General
Switzerland - Swiss Market

It has been observed that If European markets open positive and extend further gains then Indian markets too react positively.
For example if Indian markers are in red then there are chances that they may recover partially and if they are trading in positive then there are chances that they may extend further gains.
The same thing may happen if European stock markets open in red and further continue their downtrend.
And mostly the effect of European markets may happen to Indian share market after 2:00 pm or even before, so appropriate trading strategies should be applied.

Please note - These parameters or factors may or may not happen and this is just the precaution note.

So the quarterly results announcement months are April, July, October and January.
During these months companies publish their last 3 months performance results.
For example whether they did profit or loss, sales figures and so on.
Based on the performance of the companies market participants act on their respective share prices.

For example -
If a company publishes extra ordinary results above the analyst expectations then definitely there would be positive reaction on the share price of that company.

On the other side if a company publishes poor results then some negative reaction on the share price is expected.
So traders are expected to know which company is going to announce their results on which date.
This will help you to earn good money during this period.

Note - Before acting immediately after the results announcement check how the market participants are reacting then you will get idea how to trade whether to buy to short sell.

Please note - If you would like to know the results announcement schedule then please our home page www.daytradingshares.com.
During the results period we publish the results calendar on our website.

Specific sector based news
Following few sector specific news may impact on respective sectors if they announce during market trading hours.
1. Any application of taxes or duties like import or export duties by the government.
2. Any subsidy by the government to specific sector.
3. Any hike or reduction in prices.

Keep watching or live news and Latest corporate happenings section.

During breaking news
Any breaking news which affects the Indian domestic or international may affect the Indian share market.
Bottom line is traders are advised to take necessary precaution and prepare for right strategies to trade in above scenarios.

If you require any further information then please Write back to us

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