Day Trading Definition

Day trading is a strategy where positions are opened and closed within the same trading day.

What is Day Trading?

Day traders aim to profit from short-term price movements and typically avoid holding positions overnight.

This approach requires close market monitoring and often relies on technical analysis and disciplined risk management.

A trader who buys and sells a stock multiple times within a single session, closing all positions before the close, is day trading.

A dealing desk is a broker execution model where client orders are processed internally rather than sent directly to external liquidity providers.

A debenture is a type of unsecured bond backed only by the general creditworthiness of the issuer rather than specific collateral.

Default risk is the possibility that a borrower or issuer fails to meet its debt obligations.