π Difference Between Intraday vs Delivery Trading.
π Intraday vs Delivery Trading.
When you start investing or trading in the stock market, you will hear two common words again and again:
β
Intraday Trading
β
Delivery Trading
But what exactly do they mean?
What is the difference between these two styles?
Which one is suitable for you?
Letβs understand this step by step β in the simplest way.
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What is Intraday Trading?
π‘ Intraday Trading means buying and selling a stock on the same day itself β before the market closes.
βοΈ You donβt keep the stock for tomorrow.
βοΈ Your aim is to make a quick profit by small price movements within the same day.
π Market opens at 9:15 AM and closes at 3:30 PM β your buy and sell should be completed within this time.
π Example of Intraday Trading:
βοΈ At 10:00 AM, you buy 100 shares at βΉ200 each.
βοΈ At 2:00 PM, you sell those 100 shares at βΉ205 each.
β
You made βΉ5 profit per share β total βΉ500 profit β on the same day.
βοΈ If you forget to sell β your broker will automatically square off (sell) your position before the market closes.
β οΈ Features of Intraday Trading:
βοΈ Very short-term trading β within hours.
βοΈ High risk β prices change fast.
βοΈ Needs constant market watching.
βοΈ Brokerage charges are lower than delivery.
βοΈ Good for traders, not long-term investors.
βοΈ Can use leverage (borrowed money from broker).
β
What is Delivery Trading?
π‘ Delivery Trading means buying shares and holding them for more than one day β no time limit.
βοΈ You become the actual owner of those shares.
βοΈ You can hold the shares for weeks, months, or even years.
Delivery is for long-term investing, wealth building, and steady growth.
π Example of Delivery Trading:
βοΈ You buy 50 shares at βΉ500 today.
βοΈ You hold them for 3 years.
βοΈ After 3 years, the price becomes βΉ800.
β
You sell and make βΉ300 profit per share β total βΉ15,000 profit β after 3 years.
β οΈ Features of Delivery Trading:
βοΈ Long-term investment.
βοΈ You own the shares in your demat account.
βοΈ No need to watch the market daily.
βοΈ Less risky compared to Intraday.
βοΈ Suitable for investors, not traders.
βοΈ No leverage β full payment required.
π― Intraday vs Delivery Trading: Key Differences
1οΈβ£ Time Period:
βοΈ Intraday = Same day buying & selling.
βοΈ Delivery = Hold for days, months, or years.
2οΈβ£ Ownership:
βοΈ Intraday = You never actually own the stock.
βοΈ Delivery = You fully own the stock in your demat account.
3οΈβ£ Risk Level:
βοΈ Intraday = Very high risk β οΈ
βοΈ Delivery = Less risky β
4οΈβ£ Return Potential:
βοΈ Intraday = Small profits, but can be made daily.
βοΈ Delivery = Bigger profits over long term.
5οΈβ£ Who Should Choose?
βοΈ Intraday = Active traders, risk-takers, market watchers.
βοΈ Delivery = Long-term investors, wealth builders.
π‘ Real-Life Example:
Imagine you visit a fruit market π:
βοΈ Intraday Trader β Buys apples in the morning and sells them all before evening β wants daily profit.
βοΈ Delivery Trader β Buys mango plants to grow in the backyard β waits for years to get fruit β wants future wealth.
π Conclusion:
β
If you want quick small profits daily with high risk β choose Intraday.
β
If you want to build wealth slowly, safely, and stress-free β choose Delivery.
Most beginners are advised to start with Delivery Trading to learn the market calmly.
β οΈ Important Note:
π Intraday can give fast profits β but also fast losses.
π Delivery builds wealth slowly β but more safely.
Choose your style carefully β depending on your risk appetite and time.
Disclaimer:
π This blog is for educational purposes only. Please do your own research or consult a financial advisor before investing.