Sep-07-2026
Intraday trading is about making trading decisions within the same trading session. Since positions are generally opened and closed on the same day, traders often need tools that can quickly help them understand price direction, momentum, volatility and trading activity.
This is where technical indicators are commonly used.
Indicators convert price, volume or volatility data into information that traders can use while studying market behaviour. They can help identify whether a stock is trending, losing momentum, becoming volatile or approaching an important price zone.
However, there is no single indicator that can consistently predict market direction. An indicator is better treated as a decision-support tool rather than an automatic buy or sell signal.
Some commonly used intraday indicators include:
Let's understand how each one works.
VWAP, or Volume Weighted Average Price, represents the average price at which a security has traded during the session after considering both price and volume.
Unlike a simple average price, VWAP gives greater importance to prices where higher trading volume occurred.
Intraday traders commonly use VWAP as a reference for the day's price action.
