When trading using a trading robot like the Tesler app you can do day trading to increase returns on your trading capital. Intraday traders can make huge returns if they trade with a trade plan and follow disciple in their trading. In order to day trade you need to be quick to handle various fluctuations that happen in the market.
Day trading also charges you less brokerage. This is way less than when you take a positional trading position. There are other charges too like stamp duty and taxes and these are applied on the brokerage and thus when you pay less brokerage on an intraday trade you also pay less of the taxes and commission. When you take delivery of a stock you pay extra because you have to get the stock transferred from the company to you own demat account and this in turn increases the cost. When you day trade you can trade with less amount for more and you also need to pay very less commission on your trades. This is not possible in a long term trade.
You start trading at the start of the trading session and all your positions are squared off before the market ends. You thus square off all you positions in a single trading day. You start with cash and you end with cash and this gives you a peaceful nights sleep. The other big advantage of trading intraday is that the cash is always at your disposal. In case you trade with huge amounts of money and suddenly have a family emergency where you need cash, you can with draw the money immediately. This advantage is not offered to positional traders as they will not be able to withdraw the money quickly. They will first have to sell the stocks and only then they can withdraw their money. At times they would have to sell the stock without realising the full profit of the trade.
If you do proper risk management then intraday trading is also less risky. You are not exposed to any overnight risk and as compared to positional trades you are less at risk. Losses are very high in positional trading since in case there is some unexpected news in the market then the stock may crash before the trading session starts and this gives you no time to react. This does not happen in day trades because all your trades are squared off before the trading day ends. In case of positional trades at time the stock may open so low that you will not be able to get a good exit price. Your losses are thus very limited when it comes to day trading.