Definition
Buying and selling within the same trading day, closing positions before the day ends.
The story
A day trader might take one trade or dozens in a session and finish the day with no open positions. The US Securities and Exchange Commission (SEC) warns on its investor site, Investor.gov, that day trading is extremely risky and can lead to substantial losses in a very short time.
Why markets watch it
Day traders focus on moves within a single session, which is why intraday levels and scheduled reports matter to them.
Connects to
Swing tradingPaper tradingLeverageTrading hoursTrading planOvertrading
We explain why it moves markets. What you do with it is your call. Commentary and education only. Not financial advice. All terms