Comment on Update to CDSL's TPIN authorisation process for selling stocks

Gautam commented on 20 Feb 2021, 03:22 AM

I have this same question. Very valid point.
Hope a Zerodha member can answer these questions in this reply.

Q1. Understanding the need of security rules set by SEBI & CDSL, validating the sell order via the new 2 step process can take at least more than a few seconds and what if the CMP of the stock goes far below the stop loss mark, then could it result in a larger amount of loss?

Q2. Does this mean, to be cautious, we need to verify ourselves before we trade at all for any particular day, then in that case the 2 step process won’t apply for the instant sale order the moment a stop loss is hit. please clarify?

Q3. In one part of the write-up above, it mentions that a sell order can be executed after providing the TPIN, but it’s not absolutely required at that point of time to enter the OTP which can be skipped at that point of time. So, can this execute the sell order when the stop loss is hit and prevent larger potential loss amount, as the OTP validation can also be authorized up to 5 pm on the same day.
Please clarify?

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