Showing posts with label Delivery trading. Show all posts
Showing posts with label Delivery trading. Show all posts

Delivery buying of Shares in stock market Trading

If the deals are not settled on the same day they are called as delivery deals.
If you are buying shares and selling on the same day it is ‘Intraday trading’, if are not sold on the same day they are called ‘Delivered shares’

No mean, whether your bought shares are sold on the next day or after far long days, they come under delivery trading. Margin available is less for delivery trading compared to intraday trading, but brokerage fee is more for delivered shares (many brokerages are charging 4paise/100rs investment for intraday deals and 40paise/100rs investment for delivery deals). The delivered shares are settled basing on the T+2 settlement process.

What’s benefit for delivery traders over the intraday traders is ‘opportunity to bag opening profits, if any’ (losses also!). For example the closing price of a stock X by today’s closing is Rs.100/-. Say, very good news to stock markets came on today after the closing of markets. All we know markets gains with good news. On next day, the stock is no more available at its same price, From opening itself price may go for 110 or 120, So intraday investors are missed the gains from that stock.