Intraday Trading in Large-Caps Still Profitable Despite Regulatory Changes
The Securities and Exchange Board of India (Sebi) has implemented stricter rules to curb excessive speculation in day trading. These measures include higher margin requirements and tighter limits on index options. As a result, extreme intraday price movements among large-cap stocks have noticeably decreased.
Sharp Declines in High-Volatility Trades
An analysis of Nifty 100 companies reveals a significant drop in dramatic intraday swings. In 2025, only 45 instances occurred where a stock moved more than 10% within a single session. This figure is less than one-fourth of the 198 such instances recorded in 2024. Each stock day with a 10% or higher intraday move is counted separately.
Simultaneously, nearly half of all observations in 2025 showed intraday movements of less than 2%. This indicates prices largely stayed within narrow bands. In 2024, this proportion was just 37%.
Top Movers and Sector Trends
Mazagon Dock Shipbuilders Ltd led the list with the highest average daily movement at 3.8% in 2025. It was followed by Adani Power Ltd, Bajaj Holdings and Investment Ltd, Adani Green Energy Ltd, and Lodha Developers Ltd. These companies posted average daily moves in the 3.2-3.4% range.
Three stocks—Mazagon Dock, Lodha Developers, and Adani Green—also appeared among the top five movers in 2024. They were joined then by Indian Railway Finance Corp. Ltd and Adani Energy Solutions Ltd.
The regulatory changes have reduced the number of Nifty 100 stocks recording at least one 10% intraday move during the year. This number fell to 23 in 2025 from 58 in 2024. Mazagon Dock still stood out, registering more than 10% moves in eight sessions, down from 15 in 2024. The shipbuilder typically experiences sharp price action around government policy announcements and large order wins.
Adani group companies remained relatively volatile. Five group firms recorded at least one 10% intraday move in 2025.
Within sectors, companies in energy, ports, and railways showed high intraday movement in 2025. In contrast, fast-moving consumer goods (FMCG), oil and gas, and banks saw the lowest intraday movement.
Calculating Intraday Movement and Potential Gains
Intraday movement is measured as the difference between a stock's daily high and low, divided by the average of the two. The annual figure is a simple average of daily movements across all trading sessions in the year. This calculation differs from volatility, which relies on more complex mathematical formulas.
Even with reduced intraday swings, traders can still achieve sizeable gains. For instance, if an investor deployed ₹1 lakh in Mazagon Dock shares at the day's low and exited at the high each trading day in 2025, the cumulative gain by year-end would have been about ₹9.5 lakh. Executing the reverse through short selling would yield similar results.
Capturing just 20% of the daily spread could still yield roughly a two-fold return. Actual returns might be higher since only margin capital is required for such trades.
Investor Caution and Future Outlook
While this analysis highlights stocks with high intraday price changes, future performance may not mirror the past. Investors must remain aware of the risks involved. Starting with small positions is advisable to minimize losses if a trade goes wrong.
Sebi's interventions, including the removal of some weekly options expiries and closer monitoring of market activity, continue to shape trading dynamics. The focus remains on maintaining market stability while allowing for profitable opportunities.
