Stock trading strategies for day traders in Singapore

Kristian Leroy Avatar

If you’re a day trader in Singapore, it’s crucial to have a sound stock trading strategy. Let’s discuss some of the most common strategies used by day traders and explore how they can be tailored to fit your specific needs.

We’ll also look at some of the risks involved with trading stocks and provide tips for minimising those risks. So whether you’re new to day trading or looking for ways to improve your current strategy, read on for some valuable insights and check out Saxo Bank for more information.

What are the different types of stock trading strategies for day traders?

There are a variety of stock trading strategies that day traders can use, but some of the most common include:

Momentum trading

This strategy involves buying stocks that are experiencing a strong upwards trend and selling them once they reach their peak. It can be a risky strategy, as stocks can quickly turn around and head downwards, but it can lead to significant profits if timed correctly.


It is a strategy where traders take small profits on many daily trades. It’s important to have tight stop-losses with this strategy, as even small price movements can eat into profits.

Breakout trading

This strategy involves buying stocks when they break out above resistance levels and selling them when they fall back below those levels. It can be a tricky strategy to master, but it can be very profitable if done correctly.

What are some of the risks involved in stock trading?

There are many risks associated with stock trading, including:

Volatility- The markets can be very volatile, and prices can move up and down quickly. It can make it difficult to predict which way the market will move next, and timing your trades can be tricky.

Margin calls- If the value of your account falls below a certain level, your broker may require you to deposit more capital or securities, or they may close out some of your positions. It is called a margin call, and it can be a very stressful experience if it happens to you.

Are there any general tips that you should keep in mind when executing stock trades during the day?

Start small- When you’re first starting, it’s essential to trade with small amounts of money, and it will help you understand the markets and how they work before risking more capital.

Keep emotions in check- It’s easy to get caught up in the excitement of trading but keeping your emotions in order is critical. Don’t let greed or fear dictate your decisions, and always remember that you can lose money and make it.

Monitor the news- Many factors can influence the markets, so it’s essential to stay up-to-date on the latest news and events, and it will help you make better-informed trading decisions.

Have patience- Day trading can be a waiting game, so it’s essential to have patience. Don’t force trades that aren’t there, and don’t try to pick tops and bottoms.

When to exit a trade?

Your stop-loss- This is a critical tool to help you limit your losses. Make sure you have a well-defined stop-loss in place before entering any trade.

The market- Pay attention to the overall direction of the market. If it’s moving against you, it may be time to exit your trade.

Your goals- Know what you’re trying to achieve with your trade. If you’re not on track to reach your goals, it may be time to exit the trade.

What resources can you consult to learn more about successful stock trading strategies for day traders in Singapore?

You can consult many resources to learn more about successful stock trading strategies for day traders in Singapore.

Technical Analysis of the Financial Markets- This classic book by John J. Murphy is an excellent resource for learning about technical analysis, which is a crucial tool for day trading.

Trading in the Zone- In this book, author Mark Douglas discusses the importance of mindset in trading success. It’s an essential read for any trader who wants to improve their performance.

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Kristian Leroy Avatar