Comment on Intraday leverages reduced across the board

Kiran commented on 04 Jan 2020, 01:37 PM

Thank you.
That is absolutely correct.
The reason i am asking is, logically the overnight risk is different (More and unknown) compared to trade that closes before 3.20 PM. Again in BO/CO risk is pre-defined to a certain %. Why can’t we suggest SEBI to consider BO/CO with a limited risk SL for extra leverage atleast in Indexes where risk is less.
So that brokers don’t need to put their money or clients money.

In my opinion Hedged positions and BO/CO orders are more or less similar.
Where in hedged the position is 100% hedged but in BO/CO it is almost risk defined except when there is a sudden flash crash which is unlikely at least in indexes.

This is just my opinion and how i am looking at the possibilities for extra leverage for Intraday positions.
You don’t have to answer to this. I am just expressing my idea and frustration.

I think as of now the hope is only when SEBI reduces margin for Hedges positions.
May god save retailers from Big guys ……. as majority might move towards Option Buy.

But thanks a lot Nithin for clarifications.

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