Is intraday trading profitable in the Indian stock market?

Studies consistently show that 80-90% of intraday traders lose money. The remaining 10-20% who profit often have years of experience, strict discipline, and well-developed systems. With 2-3 hours per day after a full-time job, you are at a significant disadvantage against algorithmic traders and full-time professionals. Realistic expectation: if you develop a disciplined approach over 2-3 years, you might earn 1-2% per month on average — about ₹1,000-2,000 per month with ₹1 lakh capital.

Intraday gains are taxed as speculative business income. You need to file ITR-3, maintain a trading account book, and pay income tax at your slab rate on profits after deducting expenses. STT (Securities Transaction Tax) applies but you cannot claim it as a loss. If you make losses, they can only be set off against other speculative gains, not against salary income. Consider delivery-based investing instead — historically more profitable for part-time traders.