Intraday trading looks exciting. Charts move fast, profits double quickly — but so can losses. For intraday trading for beginners, it often starts as a thrill but ends in panic selling or overtrading. The truth is that intraday success requires skill, patience, and discipline — not adrenaline.
Let’s dive deep into the top 5 common mistakes traders make and how you can avoid them with smarter intraday trading techniques and practical experience drawn from real market behavior.
1. Trading Without a Plan
Most beginners just jump into trades after hearing tips or seeing random charts on YouTube. They forget — intraday trading is more like running a business, not gambling on luck. Without a clear trading plan, decisions become emotional and inconsistent.
Example:
A new trader buys Tata Motors at ₹980 just because “it looks bullish.” Within 15 minutes, the stock dips to ₹965. He waits, hoping it’ll recover — but it never does. By the end of the day, he exits with a bigger loss.
Avoid This Mistake:
- Write down your entry and exit levels before taking a trade.
- Stick to your risk-reward ratio (at least 1:2).
- Never change your plan mid-trade just to recover a loss.
- Mark important support and resistance zones using the best indicator for intraday trading like VWAP or RSI — not random guesses.
Remember, a plan gives direction when the market gets noisy. At Investogainer Research, we always say — a disciplined plan beats a lucky guess any day.
2. Ignoring Risk Management
Many traders think they’ll “win it back” after one loss — and that’s the start of disaster. Over-leveraging or refusing to use stop-losses turns a small loss into a big hit.
In intraday trading, the market punishes the overconfident. Even pro traders lose trades, but they don’t lose control.
Real-World Insight:
Deepak Pal, founder of Investogainer Research, has often observed that retail traders risk ₹10,000 to make ₹1,000. That’s backward thinking. A good trader only risks what he can afford to lose — never the other way around.
Avoid This Mistake:
- Always use a fixed stop loss.
- Risk only 1–2% of your capital on a single trade.
- Do not revenge trade after a loss; reset your mind first.
- Keep intraday margin usage minimal until you master intraday trading techniques
When you protect your capital, you preserve your chances to win again tomorrow.
3. Following Tips Instead of Analysis
This is one of the oldest traps in intraday trading for beginners — believing the so-called “stock experts” on Telegram or WhatsApp. Most of those channels lack SEBI registration or verified research methods.
Example:
You receive a message: “Buy XYZ stock — target ₹200!” You enter blindly. The stock goes down instead. You lose money, and the tip sender vanishes.
Avoid This Mistake:
- Always rely on SEBI-registered research analysts like Investogainer Research.
- Learn basic intraday trading strategies such as breakout trading or pullback setups.
- Read price action; let the chart confirm, not gossip.
- Keep a trading journal — note why you entered and what went wrong.
Real trading is about analysis, not advice. Build your own conviction before clicking “Buy.”
4. Overtrading and Emotional Trading
Loss recovery temptation is real. One bad trade and suddenly, you take five more back-to-back trades to “fix” it. That emotional cycle destroys your edge.
Overtrading eats your capital slowly. Each trade has brokerage, slippage, and mental stress. Beginners often misunderstand — intraday trading isn’t about taking many trades; it’s about taking right trades.
Real Experience:
Even seasoned traders at Investogainer Research take only 2–3 quality trades a day. More doesn’t mean better. The key lies in waiting for high-probability setups and ignoring noise.
Avoid This Mistake:
- Stick to a daily trade limit (max 3–4 trades).
- Stop trading after hitting daily loss limit (say 2%).
- Avoid trading during highly volatile news events unless you’re seasoned.
- Practice meditation or journaling; trading psychology matters as much as charts.
Trading with emotions is like driving blindfolded — you may move, but you’ll crash.
5. Choosing the Wrong Stocks
Picking good stocks for intraday is a science. Beginners often pick illiquid or low-volume stocks that barely move or trap you with huge spreads. Successful intraday traders choose liquid, volatile, and news-driven stocks.
Key Parameters for Picking Stocks:
- Average daily volume above 10–15 lakh shares.
- Price moves at least 2–3% daily.
- Stocks reacting to news, results, or events.
- Avoid penny stocks or operator-driven counters.
Example:
Instead of trading a ₹15 penny stock, choose liquid names like Reliance, ICICI Bank, or Infosys where technical patterns actually work.
Tools That Help:
The best indicator for intraday trading setups are VWAP (for trend bias), RSI (for momentum), and Volume Profile (for strength confirmation). Combine them with support/resistance and candlestick patterns for accuracy.
At Investogainer Research, our proprietary screening models filter active stocks daily — combining technical momentum and news catalysts to narrow down only high-probability opportunities.
Expert Tips: Building Habits for Long-Term Success
Once you understand what to avoid, focus on what works. Here are some expert-backed habits that separate consistent traders from impulsive ones:
- Trade with discipline: Treat intraday trading like a business.
- Learn continuously: Markets evolve; keep upgrading your skills.
- Back-test your strategies: Don’t trust any new setup without testing past 6–12 months of data.
- Use technology smartly: Platforms like Zerodha Kite or Upstox give excellent charting tools. Use alerts to monitor entries instead of staring at the screen all day.
- Control greed: Aim for small, consistent profits. Intraday isn’t about jackpots — it’s about precision.
Proven Intraday Trading Techniques for Better Accuracy
Here’s a simple 3-step approach suitable for intraday trading for beginners:
- Identify the Trend (Direction):
Use the 15-min or hourly chart to spot the day’s dominant direction using VWAP or Moving Averages. - Wait for a Pullback (Entry):
Combine RSI (40–60 zone) and Volume confirmation. Enter when price resumes the trend with renewed momentum. - Fix Targets & Stop Loss:
Keep 1:2 ratio. If you risk ₹1000, aim to make ₹2000. Exit immediately at stop loss.
Avoid complex patterns; simplicity always wins in day trading. Investogainer Research has always emphasized — focus on clarity over complexity.
Mindset Matters More Than Tools
Many beginners keep searching for the “secret formula” or the best indicator for intraday trading. But truth is — no tool works 100% of the time. What matters most is your mindset — patience, observation, and risk discipline.
A losing trade doesn’t mean your system is wrong. What hurts traders is reacting emotionally. Always review your trades weekly. See what worked and what failed — and tune your system accordingly.
Pro traders think like pilots — calm, checklist-driven, and focused. Beginners behave like passengers — reacting emotionally to turbulence.
Conclusion
Avoiding mistakes in intraday trading isn’t about perfection. It’s about progress — one session at a time. Trading real money teaches fast, but losses teach faster. The best gift you can give yourself is discipline.
Whether you trade for learning or income, always remember:
- A profitable trader controls losses first.
- A mature trader trades less, but better.
- A confident trader trusts his own strategy — not others’.
If you wish to grow with guided, SEBI-compliant research and structured trading insights, firms like Investogainer Research can help bridge the gap between raw beginners and educated traders. Their approach blends technical accuracy with psychological balance, ensuring you build habits that last.
So, next time you plan your trade: plan first, risk less, and execute with precision. Because intraday success isn’t about luck — it’s about consistency, control, and courage to follow your rules.
Also Read: Why Discipline Matters More Than Tips in Stock Market Trading
