day trade
Buy-sell same session
A day trade is a securities transaction where a position is opened and closed within the same trading day—buying and selling (or selling short and covering) before the market closes.
The strategy aims to profit from small price movements rather than long-term appreciation.
As a verb, to day trade is to engage in such transactions: He day trades tech stocks from his home office.
Resale at inflated prices
- arbitrageExploiting price discrepancies
- technical analysisMarket forecasting via statistics
- chartingRecording data visually
- candlestickWax cylinder support
execution · stop-loss · market order · limit order · slippage · screen time · watchlist · premarket
Rapid, unpredictable changeability
- leverageBorrowed capital for amplified returns
- marginEdge of a page
- margin callBroker's request for funds
- short sellingSelling borrowed securities
speculation · risk management · drawdown · capital preservation · overtrading · liquidation
Securities trading venue
- NASDAQElectronic securities exchange
- NYSELargest equities market
- S&P 500Major stock market index
- Dow JonesStock market benchmark
forex · cryptocurrency · futures · options · commodities · equity · ETF · penny stocks
Increases in value
- lossesThings subtracted from standing
- P&LEarnings and losses report
- returnsProfits from investments
- commissionPayment for services rendered
fees · spread · breakout · pullback · reversal · support · resistance · entry point
scalping
Resale at inflated prices
- arbitrageExploiting price discrepancies
- technical analysisMarket forecasting via statistics
- chartingRecording data visually
candlestick · execution · stop-loss · market order · limit order · slippage · screen time · watchlist · premarket · after-hours
volatility
Rapid, unpredictable changeability
- leverageBorrowed capital for amplified returns
- marginEdge of a page
- margin callBroker's request for funds
short selling · speculation · risk management · drawdown · capital preservation · overtrading · liquidation
stock market
Securities trading venue
Dow Jones · forex · cryptocurrency · futures · options · commodities · equity · ETF · penny stocks · indices
gains
Increases in value
commission · fees · spread · breakout · pullback · reversal · support · resistance · entry point · exit strategy