Comment on Stop Loss orders - Limit/Market

renjith2589 commented on 14 Sep 2015, 07:20 PM

Please answer for this scenario.

CMP=100, SL=95, TARGET=110

I need to buy 100 share of ABC company if the price is above Rs 102(102 is the resistance level of this share. If it breaks 102( ie, 102.05) it will shoot up to 110. But if it is not touching 102 I don’t wish to execute this order because the price may come down.)

My doubt is ,

A) If I place a limit Buy order for Rs 102 with SL 95 and target 110 it will execute now itself as the CMP is RS 100 which is less than Rs 102. This is same for Bracket order also. (****Am I correct? )


B) I can wait until the price breaks 102 and suddenly I can place a market order at 102.05. And ASAP I have to place SL order and Target Sell order. (***Am I correct. If it is like that, I don’t like to do this)

Below is my exact doubt

C) Can I do as mentioned below?

Place 3 orders.

1) SL Buy @102.05 for entry
2) SL Sell @95 for Stop loss
3) Sell @ 110 for target.

If it is possible will It come under the same margin as a single trade?

ie, 100 shares* Rs 100= Rs 10000.

Margin amount provided by you is Rs5000. If I am placing the orders like above( 2 SL Sell orders and one Buy order) , total 3 orders, do I need to spend
C1) Rs 5000 or
C2) 2 * Rs5000=Rs 10000? or
C3) some other amount?

Please clarify my doubts.

Renjith Pillai C

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