In the stock market, there are many fields to trade in. For example, there is short term base, long term investment, delivery base, intraday trading or swing trading. Among all these, intraday trading is considered to be the best way of trading in stock. Intraday trading implies that you buy and sell the stock in one day without any opening in the next day. The traders have an advantage in the sense that even though the market goes down the next day; they do not have to bear any loss.
For a successful intraday trading, there are certain tips or recommendations for you:
• Trading should not be done in a single sector. To minimize risk, put in your capital across different sectors.
• To minimize risk and losses, avoid over-trading. You need to be patient while trading in stock market.
• If you are not clear about where to put in your capital, do not trade.
• Do not be greedy for profits and expect profits every time you trade. You will have to learn to suffer losses
• You should follow the market trend. You should not go by the rumours.
• In order to maintain long term stability, withdraw a portion of profit for yourself.
Singapore Stock Exchange (SGX)
SGX Nifty is Singapore Stock Exchange and is one of the leading stock exchange markets in whole of Asia. It implies that the Indian CNX Nifty is traded in Singapore exchange. In fact, it allows foreign investors to take position in Indian Market and hence, it is a very popular derivative product. Singapore Exchange does not allow Indian stocks to be traded but it allows trading of future products like SGX Nifty Futures.
With the live quote of SGX Nifty Singapore future, it becomes possible to predict Indian stock market behaviour more correctly. Singapore stock exchange is opened about 3.5 hours before the opening of Indian stock market. Hence, the price of nifty future at Singapore exchange can tell you about Indian stock market as well. Nifty future trading is allowed only in F & O segment.
Singapore Stock Exchange facilitates futures trading of NSE Nifty index. And so, Singapore Nifty is settled on the basis of the closing price of NSE (S&P CNX Nifty) Index price.
In SGX, there are two types of Contracts with different settlement periods. One is SGX Quest (T) and the other contract is SGX Quest (T+1). The settlement of the first contract is done in the same day. The trading timings are Monday to Friday from 9:00 AM to 6:15 PM. The settlement of the second contract is done after one day and the trading timings are Monday to Friday from 7:15 PM to 1:00 AM. The different trading timings enable the traders to trade in SGX even if the market is closed. FII’s who wish to invest in Indian future contracts do it through SGX Nifty. SGX in Singapore opens at 9:00 AM which is 6:30 AM as per Indian time. This makes possible to predict the initial direction of Indian Stock market by tracking Singapore Nifty.
SGX Singapore nifty has increased for all Indian equities. It has been trading on profit and has been able to cover several short coverings. With a heavy 14 point discount, SGX nifty has brought many good opportunities for short term sellers.
There is a difference between Singapore Nifty (SGX) and NSE Index (S&P CNX Nifty). SGX-Nifty product is denominated in dollars while Nifty Futures are denominated in rupees. SGX Nifty provides direct currency protection to foreign traders or investors while traders in Nifty futures have to combine position on Nifty futures with a position on the dollar-rupee forward market. Also, the margins at NSE are higher than that of SGX products.