The stock must have high trading volume.
Liquidity ensures easy entry and exit with minimal slippage.
Preferably, the stock should trade more than 5 lakh shares per day.
Choose stocks that show price movement (range) of at least 2-5% intraday.
Avoid too-stable stocks with narrow price range.
Volatility gives opportunities for profit.
3. Stocks in News or Events
Stocks impacted by news, earnings reports, upgrades/downgrades, results, or government announcements.
Such stocks usually show strong price action and volume spikes.
4. Sectoral or Index Movement Alignment
Choose stocks that are in sync with index (Nifty, Bank Nifty, etc.) or sectoral movement.
Example: If Nifty IT is bullish, pick a strong IT stock moving in the same direction.
Use technical indicators (like Moving Averages, VWAP, Supertrend, MACD, etc.) to find stocks with a confirmed trend (uptrend or downtrend).
Avoid sideways stocks unless breakout/breakdown is expected.
6. Price near Support/Resistance or Breakout Levels
Near support/resistance levels.
Breaking out of a consolidation range or pattern (like triangle, flag, etc.).
Showing gap-up or gap-down openings with follow-through momentum.