5 intraday trading strategies

 Here are 5 intraday trading strategies that are commonly used for any stock, adapted from widely used intraday methods like momentum, gap-and-go, breakout, bull flag, and scalping. Coal India is a liquid large-cap stock, so these approaches fit better than thinly traded setups, but they still need strict stop-loss and risk control.

5 strategies

Momentum trading

1. Trade only when stock shows strong direction with volume support. If the stock opens strong on news, sector strength, or market trend, ride the move and exit quickly when momentum weakens.

Here are the 5 essential checklist items for momentum trading, based on proven strategies from professional traders:

✅ 5-Point Momentum Trading Checklist

# Checklist Item What to Verify

1 5X Trading Volume Stock must trade at ≥5x its average volume to confirm institutional + retail interest 

2 2%+ Premarket Gain Significant strength before market opens shows bullish intent and momentum building 

3 Price Range: $2–$20 Focus on small-to-mid-cap stocks where volatility creates strong, measurable moves 

4 Float Below 10M Shares Low float = less supply, so demand surges move price faster and further (key momentum driver) 

5 News Event Catalyst Must have a fresh, specific news story driving interest. No catalyst = no trade 

🎯 Bonus: Quick Execution Rules

Entry: Only enter if setup matches your plan; avoid chasing extended candles

Stop-Loss: Place below breakout candle or EMA9

Risk:Reward: Minimum 1:2 (take TP1 → risk ×2)

Exit Rule: Exit if price falls below EMA9 + VWAP

Trade Limit: Max 1–2 trades in the first hour

📊 Key Indicators to Confirm Momentum

EMA9 > EMA20 (trend alignment)

Price above VWAP (intraday strength)

RSI > 50 or MACD momentum rising

Volume expansion on breakout/pullback

1. Gap-and-go strategy
   Use this when stock opens with a clear gap up or gap down versus the previous close. Confirm the gap with strong pre-open or early volume, then enter only if the first move continues instead of fading.

2. Opening Range Breakout (ORB)
   Watch the first 5–15 minutes and mark the high and low of that opening range. Enter when price breaks that range with volume, because liquid large-cap stocks often react well to ORB-style setups.

3. Breakout trading
   Trade only when stock breaks a visible intraday resistance or support level with above-average volume. This works best when the stock is compressing in a range and then expands sharply after the breakout.

4. Scalping
   If Coal India is moving steadily with tight spreads, take small profits from quick entries and exits. This strategy works only if you can act fast and keep transaction costs low.

Practical filters

Before taking any trade, check volume, market trend, and whether the stock is behaving cleanly around support or resistance. , pre-decided entry/exit, stop-loss, profit booking, and closing positions the same day. For intraday trading, avoiding the first hour can also help reduce noise and false moves.

Simple example

If stock opens above the previous day’s high and holds that level with strong volume, a momentum or ORB trade is better than trying to catch reversals early. If it breaks a well-defined resistance later in the day, a breakout entry with a tight stop below that level is usually cleaner.

Risk control

Set a stop-loss before entry, keep position size small, and avoid holding an intraday trade into delivery just because it went against you. Intraday strategies work best when you treat them as rules-based setups, not predictions.