day trading
rapid buying and selling of stocks on the Internet in seeking to profit from momentary price fluctuations, with all positions typically closed out by the end of each day's trading
Related Forms:
- day trader
noun
day trading
day trading - Investment & Finance Definition
Trading by investors who rapidly buy and sell stocks throughout the day in the hope that their stocks will either rise or fall in value for the seconds or minutes that they own the stock, allowing them to lock in quick profits. Day trading is extremely risky and can result in substantial financial losses in a very short period of time. Day traders became part of popular culture during the stock market boom in the late 1990s, but many found other work when the bear market began in 2000. In the futures market, however, day traders have been a continual presence. A futures market day trader is a speculator who takes positions in futures or options contracts and liquidates them before the close of the same trading day.
