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Understanding Intraday Trading: Entry, Target and Stop-Loss Explained

Every intraday call has three numbers: entry, target, and stop-loss. Most retail traders ignore one of them — and it's usually the one that destroys their capital.

Sahib Singh Hora

withSahib Research Desk

SEBI RA · INH000026266

·April 10, 2026·8 min read
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Key Takeaways

  • Intraday trades open and close within the same NSE session (9:15 AM – 3:30 PM IST).
  • Every intraday call has three numbers: entry zone, target, and stop-loss — never act on a call missing any of them.
  • A strict stop-loss is the single most important number; targets without stop-losses are how retail accounts blow up.
  • Minimum risk-to-reward of 1:2 and risk-per-trade of 1–2% of capital are the structural defaults.
  • A SEBI-registered analyst publishes the rationale alongside the levels — entry, target, and stop-loss together.

What is intraday trading on NSE?

Intraday trading means buying and selling a stock within the same trading session (9:15 AM – 3:30 PM IST on the NSE). Unlike swing trades or investments, intraday positions must be squared off by end of day — or they get auto-squared by the broker. The market microstructure is published by NSE, including circuit limits, lot sizes for derivatives, and pre-open auction timing.

The three numbers in every intraday call

A complete intraday recommendation has exactly three numbers: an entry range, one or more targets, and a stop-loss. If any of the three is missing, the call is incomplete — there is no way to size the position or manage the trade.

The entry range

The Entry Range is the price zone where you initiate the position. A good intraday stock tip from a SEBI RA includes an entry range — not an exact price — because markets are dynamic. If a stock has already moved 2% past the entry range before you act, you skip the trade. Chasing is the #1 mistake in intraday trading.

The target price

The Target Price is where you exit with profit. For NSE intraday picks, targets are typically 0.5% to 2.5% from entry depending on the stock's Average True Range (ATR). Multiple targets allow partial profit-booking — Target 1 is conservative and books some of the position; Target 2 holds the runner if momentum continues. A common pattern is 50% off at T1, trailing stop on the rest until T2.

The stop-loss

The Stop-Loss (SL) is the most important number in any intraday call. It is the price at which you admit the trade is wrong and exit to protect capital. A strict stop-loss at 0.5–1% limits damage from any single bad trade. Without a stop-loss, one losing trade can erase weeks of gains. Brokers like NSE-registered members all support SL-M and SL-L orders — use them on every intraday position.

Risk-to-reward ratio

Only take intraday trades where potential reward is at least 2× the risk. If your SL is 50 points on Nifty, your target should be 100 points minimum. This is why SEBI registered analysts like Sahib Singh Hora publish the full rationale — not just a stock name. A 1:2 R:R means you can be wrong more often than right and still come out ahead.

Position sizing

Never risk more than 1–2% of your total capital on a single intraday trade. The arithmetic:

  • If your trading capital is ₹5,00,000, maximum risk per trade = ₹5,000–10,000.
  • If your stop-loss is 1% on the stock, your position size = risk amount / SL% = ₹10,000 / 1% = ₹10,00,000 worth of the stock.
  • If your stop-loss is 0.5%, position size doubles to ₹20,00,000.

Position-size from your risk budget first, then determine quantity. Most retail traders do it backwards — they size by capital and ignore the stop-loss, which is how a single bad day produces a 5–10% account drawdown.

How withSahib publishes intraday research

All withSahib intraday picks follow this framework — entry, target, SL, and the technical rationale behind the trade. No guesswork. No anonymous signals. Just SEBI-compliant research from a verified analyst. Live data is checked against the NSE tape; positioning rules are enforced before any call is published. Subscribers receive the call with entry zone, T1, T2, SL, and the written reasoning that supports the levels.

Research by Sahib Singh Hora, SEBI RA INH000026266. Intraday trading involves substantial risk including total loss of capital. Investments in securities markets are subject to market risk. Past performance is not indicative of future results. This is research, not investment advice.

Frequently asked questions

What is the difference between SL-M and SL-L orders for intraday?

SL-M (Stop-Loss Market) triggers a market order once the stop-loss price is hit — execution is guaranteed but the fill price is whatever the market gives, which can slip in volatile conditions. SL-L (Stop-Loss Limit) triggers a limit order at a specified price — if the market gaps past the limit, the order may not fill at all. For volatile intraday names, SL-M is usually preferred so you actually exit.

Should I use the same stop-loss percentage on every stock?

No. The stop-loss should reflect the stock's natural volatility (Average True Range), not a fixed percentage. A high-beta stock might need a 1.5% stop; a low-beta blue chip might tolerate 0.5%. A SEBI RA's research note specifies the SL level for each call based on the stock's structure — not a generic rule.

What happens if I don't square off my intraday position by 3:30 PM?

Your broker will auto-square the position automatically — typically between 3:15 PM and 3:25 PM depending on the broker — at whatever market price is available. The fill can be unfavourable. Plan to exit voluntarily by 3:00 PM at the latest; auto-squaring is a fallback, not a strategy.

Is intraday trading suitable for someone with a full-time job?

It is difficult. Intraday requires near-real-time monitoring during market hours. Pre-market research and pre-placed bracket orders (entry + target + stop-loss as a single order set) can mitigate the screen-time requirement, but live decisions still come up. Swing trading or positional research is usually a better fit for working professionals.

Intraday TradingNSE PicksStop LossRisk Management
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Sahib Singh Hora

withSahib Research Desk

Written by Sahib Singh Hora · SEBI Registered Research Analyst · INH000026266

NISM certified analyst with 15 years of Indian market experience. Publishing intraday research, swing setups, options research, and in-depth equity research through withSahib.com. Sahib also teaches private, one-on-one market education.

Risk Disclaimer: Research by Sahib Singh Hora, SEBI RA INH000026266. Investments subject to market risk. Past performance not indicative of future results. Not investment advice.

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