Difference between Delivery and Intraday
Basis |
Delivery |
Intraday |
---|---|---|
Time Horizon |
In delivery trading, people keep stocks for a long time, even beyond the trading day. |
In intraday trading, traders buy and sell stocks all within the same trading day. |
Ownership |
When traders do delivery trading, they buy stocks to own a part of the company. |
In intraday trading, traders just want to make quick money; they don’t aim to own the stocks. |
Risk |
Delivery trading is seen as safer because it’s about looking at long-term prospects and how the company is doing. |
Intraday trading is riskier because it’s all about quick changes in stock prices. |
Profit Potential |
Delivery trading can give steady growth and dividends over time. |
Intraday trading offers chances for fast profits, but it needs good predictions and watching the market closely. |
Trading Strategy |
Delivery trading looks at how well a company is doing overall. |
Intraday trading uses charts and other tools to find short-term trading chances. |
Holding Period |
People doing delivery trading hold onto stocks for days, weeks, or even years. |
In intraday trading, stocks are bought and sold in the same day only. |
Use of Leverage |
Delivery trading usually doesn’t involve borrowing money or using leverage. |
In intraday trading, people often borrow money to trade more stocks and make bigger profits, but it’s riskier. |
Difference between Delivery and Intraday
In the stock market, it’s important to know the difference between two types of trading, delivery and intraday. Delivery means buying and keeping stocks for a while, while intraday means buying and selling on the same day. The big differences are how long you keep the stocks, the risks involved, and whether you’re using borrowed money.