The Stock Market is like an Ocean of Money, and why not – look at Our Indian Stock Market whose market Cap crossed $4.5 Trillion (USD) last month, and making 1000 Rupees per day from the Stock market is just like taking out dirt from one’s hands.

Really it’s that easy, and I am saying this from my own experience – as I have made a lot from the Stock Market in the last 4 years.

And, that’s what I am going to reveal in this Article with the exact process that I follow.

But first, you must have some basic knowledge of the Stock Market, like How it works, what is Intraday, Futures & Options, Trading, Investing, Derivatives, Expiry, Scalping, and so on.

For Real and Live Trading Hints, you can Follow me on Telegram, where I share real-time Strategies and Predictions on Nifty and Bank Nifty.

Let’s Start.

1. Intraday Trading

Intraday is a type of trading that allows you to Buy and Sell the equity or Enter and Exit the trade on the Same day or within the day despite of Profit or Loss.

You heard it right, Intraday is one of the most preferred ways of making money for many high-end traders because almost every broker allows a Leverage Facility for trading in Intraday. Such as Zerodha and Groww allow a 5X margin for Intraday Traders.

So Basically, Leverage is a type of Borrowing money from the broker that you are using at no extra cost – this means, that if you have 10,000 in your demat account, then you can trade with Rs 50,000 – which allows you to make more profits from single trade but at the same time you are at a higher risk of losing money.

And, here comes the strategy of placing Stoploss – so by the way, if your trade goes wrong, then you can exit the trade once your stop loss hits, enabling you to be disciplined and saving your overall capital.

How to Execute – So, in Intraday you Select a stock that may move more than average (usually more than 2%) so that you can enter before the stock takes off and exit once your target is hit. I have a detailed guide on Selecting the Right Stocks for Intraday Trading.

The Goal – In Intraday, you aim to make a profit by selecting the stock that may move more than the Industry average, so you can make money by entering that stock before it moves, and exiting when it reaches your targeted price.

02. Scalping

Scalping is a trading strategy that works on quick Entry and Exit methods making small profits from each trade multiple times a day – taking benefits of price differences.

This strategy of trading is famous among newbie traders, who have limited or small capital and want to grow their capital from that, but it takes time.

Importantly, Scalping is mainly done in Indexe Options like Nifty and Bank Nifty where there is enough volatility and liquidity so that you can easily take benefit of sudden rises and dips in prices and exit the trade without any difficulty.

Remember if you are in Options Trading, then you must have some basic understanding of Price Action, CandleSticks, and Indicators to take the most out of every trade. For Your Ease, we have a detailed guide on the Best Indicators for Options Trading that helps you identify the perfect Trading Setup.

Basically in Scalping, you need to monitor a particular security very closely and once your setup is formed then you enter the trade with volume, and exit from the trade very quickly by taking a small profit (like 3 – 5%). And, believe me, this is very quick – usually 1 – 5 minutes but not more than 10 minutes.

How to Execute – So, In Scalping, you need to monitor the security very closely in which you want to trade (it could be anything from Stocks to Index Options and Futures, or Stock Options), and once your defined setup is formed then you will enter the trade and exit by taking a quick profit.

The Goal – In Scalping you aim to make small but quick profits by using the sudden dip and rise in prices and exit the trade once your target is hit.

03. Momentum Trading –

Momentum trading involves the strategy of buying an instrument that shows strong momentum or significant higher movement in Price or Volume in the near past (like the previous day, last hour) so one can enter the trade higher and exit from the trade even higher to make profits.

Basically, In this trading strategy, you need to find the stock that has shown any huge movement in price or Volume in the near past based on News related to that stock, more than good results, or buying of Institutions, so you can enter buy that asset assuming the continuation of movement to make profits.

For Example, look at the Bharti Airtel and Exide Industries shares,

How to Execute – In This Trading Strategy, you need to find a stock that shows a strong price movement with a rise in volume, then you need to enter the stock at the current momentum, or if the momentum misses then wait for Pullback and then enters again and sell the security once the momentum in ended to make profits.

The goal – is to make profits from the current rally in the price of a stock, assuming that momentum will continue further.

04. Trend Trading

Trend Trading involves identifying the trend of the asset which could be anything like an Uptrend or Downtrend and then buying and selling assets following that direction.

So, in this trading strategy, you need to find a Stock that is currently showing any direction like the price of that stock is rising or declining day-by-day or you can directly trade in Indices, so you can enter the trade in the direction of the trend and exit once your profit target is hit.

Here is a great example of a downtrend.

How to Execute – First you need to find a stock that is currently following a trend, either an Uptrend or Downtrend, and then you need to enter the options segment (ITM Option) of that particular stock, and raise the trend to take profits.

The Goal – In trend trading, the goal is to take benefit of the running trend by entering into a trade in the direction of the trend of that particular security.

05. Investing in Fundamentally Strong Small and Mid-Cap Stocks – Minimum Risk Strategy.

Investing is simple but selecting the correct stock is Challenging, as you need to find the right one that is of Good Quality, Fundamentally strong, Bright Future, and has a balance of Market Share.

But for Mid and Small-cap Stocks this can be even more challenging as you need to find one stock from thousands of Stocks trading in the stock exchanges.

This is my personal way of making profits from the stock market as it involves a minimum risk of losing money from any other Trading Methods – No matter how good you are in technical analysis one day you must be wrong, so this strategy helps that day, because in Investing you can hold the stock for any long as you want.

And, this is the best part, because I have still the holdings in my account, If my stock closes in red one day, then no matter I still have a chance to recover another day – and I can wait without profits for that day, and who knows another day it gives you both days Profits.

Because Small Cap and Mid Cap stocks move very aggressively and on simple good news can rally 2 – 3% in a day.

But – This strategy is capital Intensive, at least you need 1 Lakh to make a good amount of profit (it’s my personal opinion, not necessary) because you have to pay taxes accountable of 15% on Capital Gains within 1 year of Selling.

Anyway, it is a good way of making money from the stock market.

But, but, but You need to select the right stock with Quality, and Sector Leaders like Magazon Dock Shipbuilders, IRFC, RECL, and Suzlon (that rallied more than 500% in a year between FY 23 – 24.

Note: This Article is just for Informational Purposes and I don’t guarantee any returns with the Process I shared, as it contains a risk of capital Loss. The Stocks Mentioned here are just an example, and not be taken as any investment advice, as I am not a SEBI registered Analyst or Advisor.