Okuzeka
Investing & the Stock Market vocabulary · Orders & Trading

Day trading

Meaning in investing & the stock market, with examples

/ˈdeɪ ˌtreɪdɪŋ/nounCommon term

In investing & the stock market, day trading means: Buying and selling securities within the same trading day, trying to profit from small price moves and closing all positions before the market closes.

In Turkish: gün içi işlem, günlük al-sat, gün içi alım satım

How it is used

A day trader watches charts and news all day, uses fast order types and often trades with leverage. Studies of retail accounts show that most day traders lose money over time. Brokers may have special rules or higher margin requirements for day trading.

Example sentences

  1. He quit his job to try day trading but returned to work after a year of losses.

  2. Day trading requires a fast platform and strict stop-loss discipline.

Common collocations

  • day trader
  • day trading strategy
  • day trading account
  • intraday
  • technical analysisA way of studying past prices and trading volume on charts to identify trends and patterns that traders use to time their buying and selling.
  • stop-loss orderAn order that automatically sells a security if its price falls to a chosen level, used to limit how much an investor can lose on a position.
  • leverageThe use of borrowed money or financial products to control a larger investment than your own money would allow, which increases both possible gains and losses.
  • trading volumeThe number of shares or contracts traded, or their total value, during a given period such as one day.
  • commissionA fee that a broker charges for carrying out a buy or sell order, either a fixed amount per trade or a percentage of the trade's value.

More terms: Orders & Trading

Practise with graded reading

Reading at the right level is the fastest way to make new words stick. Pick free English books by level:

This page explains English vocabulary for learners. It is not financial advice.