HI there Sai,
I think your question is very subjective…market timings for intraday equity trading is between 9:30 AM to 3:30 PM and any time during this period can be “best” time for trading. There are different schools of thought though one such thought is market remains dull during the lunch period which is between 12 to 2. But let say the stock you are trading in get a very positive news, it will automatically get reflected in the market immediately irrespective of time of the day. So I think its more about the stock you are trading in and not the time of the day. You have to be in the right place at the right time.
See, the best timings for Equity Intraday Trading, are when the markets open. It is very volatile, rates keep fluctuating at a very high speed. So if your analysis is correct, you can go ahead and trade during market opening (immediately when the market opens and after market opening). Word of caution though, it is very risky to trade during market opening.
Actually, if you are trading NIFTY (Index), it is good during market opening, but equity is risky, you will have to check the individual scrip (company) i.e their fundamental and technical analysis. Only if you are 100% sure of the trend/movement of the scrip/equity, then only go ahead and trade by taking the advantage of market opening.
One indicator of NIFTY opening in the morning, is in line with SGX NIFTY, check out SGX NIFTY rate on TV before the market opening, when I say market, it is NIFTY. Our NIFTY will open exactly close to SGX NIFTY. So, this indicator also you can use, while market opening.
Secondly, in the afternoon (around 1:30 PM IST), markets move as per the opening of European Markets (like DAX, CAC and FTSE). If European markets open positive then, NIFTY will go up and vice versa. See, this is a general indicator, just for your support.
Equity/Scrip will not move as per what I have said above, only NIFTY will move.
P.S. The above things that I have said is based purely on my personal experience and is all my view. You need to exercise caution while you trade, or rather have your own taste and feel of the market. Please and please do not trade as per what I have said above, it is only my perspective/view.
Hope this helps,
Best timings may depend most only whether you want to sell (short sell?) or buy.
If a scrip is trending up and has not opened too higher than the prev close, the price may tend to go up till around 10 to 10:30 Am. After this either it may stabilize for some time. After the 1'0clock, when the abroad markets open and the trend is known, the scrip may move up or down. There could be movement again after 2:30 PM till close.
The trend in the last session depends on many factors like short covering, cover trade closing etc. So the price may be volatile.
Watch these timings closely
Hope this helps
Intraday square off time say from 2:45 to 3:20, the fluctuations in the Equity scrips will be too high, Please try to avoid these timings if you are not really confident in what you are doing.
Wait and see for the first few minutes when the market opens. Do not jump right in at 9:15, unless you have some news.
When you observe a scrip and is moving static with not much ups and downs, try not to trade with those small fluctuation. It could be the calm before the storm, which could ruin you.
Thank you very much Anil
If one were to trade for only an hour everyday, which hour would be the best, taking into account both volumes and price action?
How does one prepare for Pre market orders or analyze premarket to trade in the 1st hour
I don’t think there is a correct time to trade rather I believe there is a correct period in which one can capture most of the points during the day. From my experience, the best period starts after 9:45 and ends at 3 pm. Although period between 11:30 - 12:30 show very less movement. If any news comes in stock/sector specific then that particular scrip may react to that news.