Day Trading
What it is
Day trading is short term trading in which trades remain open only for a day.
The purpose behind closing trades before the end of the day is to prevent them from getting exposed to interest. When trades are carried to the next day, interest becomes payable on them.
Traders usually use technical analysis for day trades and use the 5 to 15 minute charts.
Profits in Day Trading
Traders seek to capture 30 to 50 pips through day trading, on average.
Profits are made in day trading by buying when the prices are rising to be able to sell at a higher price. Or profits may be made by selling when value is dropping to be able to buy back at a lower price.