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5 Best Brokers for Intraday Trading in India – Complete Review

Best Brokers for Intraday Trading

Yes, this is really crucial to know some of the most appropriate and suitable stock brokers for Intraday trading. After all, Intraday trading is rapid and you need to be on your toes all day in order to make consistent and quick profits out of your trades.

But before we jump into the point of best brokers for intraday trading, lets spend some time understanding the very concept of Intraday trading and see what aspects you, as a trader, need to be aware of. This is useful to know especially for beginners who have just started testing the waters or are almost looking to do that.

What is Intraday Trading?

Basically, Intraday trading is that style of trading where you buy and sell the stock within the same trading day. For instance, if you bought 50 shares of Infosys Technologies on 6th October, then you are supposed to sell all 50 of those before the market closes on the same day.

Similarly, if you have gone short for 80 stocks of ICICI Bank on 3rd September, then you are supposed to buy all those 80 stocks within the same day. However, if you dont or are not able to square off your trades (or exit from your position) within the same day, then the broker will automatically square you off from those holdings.

At the same time, you always have the option to change the order type from intraday to delivery in your “buy” trades (however, that cannot be done in “sell” trades) before the market closes. In fact, the trading platforms you use for trading provide you such provisions.

Things to consider in Intraday trading?

Lets say there are 2 friends – Victor and Roger.

Roger is a risk avert person and plays safe in different aspects of his life. He does a regular 10 to 7 job (although he wanted to become a photographer), has a family and been investing his money in mutual fund SIPs from the last 5 years.

On the other hand, Victor has taken his share of risks in his life at different levels; dropped out of college to start his own business and has been able to take it to a reputable level in few years. However, he has not been able to invest his money anywhere. But now, he is looking for a secondary income avenue since he has some time that he can use.

They decided to meet one day and stock market, somehow, marked its presence in the discussion:

Roger: So, Indian stock market is on a high these days, consistently!

Victor: True, seems an apt time to get started. Something we have not done all our lives, dont know why.

Roger: Well, isn’t it risky at the same time? I am MF SIP returns are pretty decent too.

Victor: Yea, they are. But, trading on the stock market “demands” relatively higher risk appetite. I am thinking of trying my hand in intraday trading for few days. I have been analyzing the market for couple of months now.

Roger: Intraday? Thats too much to ask. Way too much risk.

Victor: Honestly, its not that risky. Yes, you may lose but what I have heard from some of the traders is that one needs to be very objective, cut the emotional bias and at least test it before ruling it out.

Roger: Yea, agree. But I will start at a delivery level, hopefully increase my risk appetite and then jump into the intraday space.

Victor: Makes sense. Nonetheless, I have just opened a demat and trading account; will jump the wagon in a few days.

Roger: Already? How did you choose your stock broker? What shall I be looking at before making a choice?

Victor: Well, I had some requirements and used a callback service from A Digital Blogger. They guided me to a broker that is suitable for intraday trading. It offers:

  • Low brokerage
  • Decent exposure
  • Quick customer service
  • High performance trading platforms

The point here is not that anybody who is doing a job and is playing safe cannot do intraday trading, but if you are looking to trade in that segment, then yes, you would need a relatively higher risk appetite like in case of Victor.

In the example above, we can conclude that Victor:

  • understands the risks and challenges of Intraday trading and is not playing blindly
  • has done research at a basic level, talked to few traders to get a first hand idea and has, in fact opened a trading account
  • has some time at his disposal on a regular level so that it can be consumed for intraday trading
  • is open to take some risks

Thus, if you are looking to be an intraday trader yourself, you must have most of the attributes mentioned above.

Top Brokers for Intraday Trading

Now, lets move ahead and talk about some of the best brokers for Intraday trading in India. Specifically, we will be talking about 5 such stock brokers who offer different values to you in your day trades. Then, you may make a choice for yourself based on which aspect matters to you the most.

Reliance Securities

Reliance Securities is a full service stock broker with presence in 1700 cities and towns of India to go along with 92,907 active clients for 2017.

For Intraday trading, you get the following advantages from Reliance Securities:

  • a well designed and decent performance based mobile app – Reliance Tick Pro
  • quick customer support with reasonable turnaround time
  • provides regular research and recommendations
  • 10 times exposure for Equity intraday trades

At the same time, there are couple of concerns you should be aware of:

  • Trading in commodity segment is not allowed by Reliance Securities
  • Account opening is a bit expensive and brokerage may sound high too

5Paisa

5Paisa is a discount trading arm from India Infoline, a prominent name in the full service stock broking space. The broker has been established few years back and offers a wide range of trading products. Some of its top attributes include:

  • Low brokerage charges of as low as ?10 per executed trade
  • Decent performance based trading platforms across devices such as 5Paisa Trade Station, 5Paisa Terminal, 5Paisa mobile app along with algorithmic trading
  • Quick customer support through email and phone
  • Provides intraday tips on a daily basis

At the same time, here are coupe of issues as well:

  • Commodity trading not allowed
  • average exposure values offered

Zerodha

Zerodha is one of the most known stock brokers, especially among discount brokers of India. In almost 6-7 years itself, the broker has been able to capture a decent market share. In fact, Zerodha clocked 1.75 Lakh active clients within 2017 and the year has not ended yet.

If you are looking to trade at intraday level, you will be able to avail the following advantages:

  • Low brokerage charge of ?20 (it can be low than that but certainly cannot be more than ?20 per executed trade)
  • Well designed trading platforms such as Zerodha Pi, Zerodha Kite Web, Zerodha Kite Mobile, Zerodha Opentrade (social trading platform)
  • a trustable name within stock broking space
  • Customer education through Zerodha Varsity

You also need to understand some of the issues with the broker as well:

  • Average exposure values offered for intraday trading
  • Customer service can be improved

Enrich Commodities

Enrich Commodities is a SEBI registered Commodity Broker. Enrich is fastest growing flat fee discount commodity broker offering online trading at MCX. Enrich offers Rs 16 per trade pricing plan which is popular among casual investors and traders. Enrich customer pay flat Rs 16 per executed order irrespective to the size of the order in this plan. The custom build trading platform offers convenient trading though installable trading terminal, website and mobile app; all at free of cost to all the customers.

With 1,40,174 active clients in 2017, Angel broking offers the following merits when it comes to intraday trading:

  • High quality research, tips and recommendations through email, SMS, phone and whatsapp
  • Enrich offers cheapest call & trade amount at Rs 21 for each trade 16Rs plan.
  • High performance trading platforms including , Enrich Commodity mobile app and Enrich Commodity Web trade.
  • Diversified range of trading products

Enrich Commodity, at the same time, lags in these areas:

  • Customer service is a bit sluggish, even though its a full service stock broker
  • Fund transfer process is a bit cumbersome

 


Prostocks

Prostocks is relatively a recently established discount stock broker with reasonable offerings across different aspects. Yes, you might not get high performance trading platforms as mentioned above or a wide range of trading products, but the broker offers fixed monthly brokerage plans. With this, you can place unlimited number of trades throughout the whole month without much of a worry about brokerage.

Here are some of the advantages of using Prostocks for intraday trading:

  • ?899 monthly and ?8999 yearly fixed price brokerage plans
  • free account opening and maintenance charges
  • Low stamp duty charges
  • Easy funds transfer process
  • Exposure of 7 times on MIS Orders and upto 10 times on CO Orders

However, like mentioned above, there are clearly few visible issues with Prostocks as well:

  • average performing trading platforms
  • okayish customer support quality