For Successful intraday trading lower the brokerage cost; the lower the breakeven to make profits. To encourage retail participation in stock markets Kotak Securities Limited has come out with Free Intra Day Trading or FIT plan. No brokerage charges irrespective of the size of the trade, platform or market segment for a yearly fee of Rs 999. What is intraday trading? What are the features of Kotak Free Intraday Trading or Kotak FIT are explained in this article.

Kotak Free Intraday Trading FIT

What is Intraday trading?

A person can trade in two ways either buy stocks and sell it within the day or buy or hold for more days.
Intraday means within the day. In intraday trading, one buys and sells stocks during regular trading hours in a single day. For example, if one buys shares of TCS on Monday, he would have to sell it on the same day for it to be considered a day trade. If you buy stocks of some company on delivery basis, these stocks will be transferred to your Demat Account. Then you can do whatever you want with the stocks. You can keep them for 5 years or sell them the next week. In Intraday trading stocks are not actually transferred to your account and you have to square off your position before the market close on the same day

Intraday traders realize that market conditions change rapidly, and they capitalize on these quick shifts in order to try to develop opportunities for profit. The goal of intraday trader is to take advantage of the short-term price fluctuations by either buying low and selling high or shorting high and buying to cover at a lower price. There are a ton of different trading strategies that traders use to do this but it’s important to understand that not all strategies work in every market cycle and may not fit certain trader styles. They usually use technical analysis to determine when conditions are the best to either buy or sell. The day trading comes with a higher risk with the increased potential for high return on investment.

Income from intraday equity trading is considered as speculative. it is best to show your capital gains as a business income if the frequency of trades is higher or if investing/trading is your primary source of income.
For Successful intraday trading lower the brokerage cost; the lower the breakeven to make profits.

•  Brokerage charges for the stocks traded under the day trading segment are very less than Delivery segment but still a substantial amount.
• High Margin is available for Day trading (for example, if you have Rs.5000 in your account, you will be allowed to do transactions worth multiple times of this value. This ratio varies as per the policy of the Brokerage firms.)

Kotak’s Free Intraday Trading

As a digital pioneer in the broking industry, Kotak Securities has invested in an ecosystem that provides efficient and economical trading experience to customers. In 2017, Kotak launched Chat to trade, Happy Hours, Happy Day and Double or Quits.
Though equity markets are well developed in India, only 5% of household savings finds its way to stock market Through FIT KSL’s endeavour is to boost retail participation in stock markets and further aid channelling of savings into the formal system

1. The plan name is FIT (Free Intraday Trading).
2. The plan offers unlimited intraday equity trading in segments like Equity Cash and F&O for a yearly fee of Rs 999. That is less than Rs 4 per day. No brokerage charges irrespective of the size of the trade, platform or market segment.
3. Existing customers can sign up for FIT by getting in touch with the Customer Care team.
4. You Get unlimited access to equity and derivatives reports by Kotak’s award-winning Research team
5. FIT is only applicable for self-generated orders i.e. where the buy and sell leg orders are placed on the Kotak Securities platform by the customer directly. Call & Trade or orders placed through dealers are not included in this plan.
6. Customers will have to provide margins as per the existing agreement with Kotak Securities. Unlike most brokers, Kotak doesn’t provide high margins.
7. All statutory and other charges shall be charged as applicable.
8. FIT is not available for Currency derivatives & commodity trades, Super Multiple, Derivative plus & Option plus orders
9. FIT cannot be used by ODIN Diet clients, NRI, QFI
10. The trade gets converted into a delivery trade if the intraday position is rolled-over to the next day. In this case, Kotak Sec will charge regular brokerage.
11. Customers will have to provide margins as per the agreement with Kotak Securities.
12. This plan is available for a trader who uses Kotak Mobile Trading App, Trade Smart trading terminal, and Kotak sec website for trading.

The Free Intraday Trading (FIT) offers you a good trading experience at a very low cost with free research. It is all about staying FIT in intraday trading and saving money too and being generous as shown Kotak’s FIT ad!

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