Stop Loss orders – Limit/Market

Traders,

We have introduced newer platforms since this post was published. Check out this user manual for Kite and Kite explainer videos here.

What is a Stop Loss order?

When you are holding a particular stock/F&O/commodity, you fear the losses that can happen when the price starts moving against you. If you place an order to limit such a loss it is called as a Stop Loss order. So for example, if you have bought a stock at Rs 100 and you want to limit the loss at 95, you can place an order in the system to sell the stock as soon as the stock comes to 95. Such an order is called as a Stop Loss, as you are placing it to stop a loss which could be more than what you are ready to risk.

How to place a SL/SL-M order?

The difference between a stop loss (SL) and a normal order is the trigger price. In a normal order, you get to choose either limit order or market orders. In a stop loss order you choose limit or market, but with a trigger price. What a trigger price does is that it activates your order which otherwise is inactive.

1. You will have a selling stop loss if you have bought an instrument (stock, F&O, etc).

In the above example, when you bought the stock at Rs 100, you will also place a sell stop loss order with a trigger price of 95. What this does is when the price of the stock goes to 95 or lower, a selling order is triggered. You can choose if you want this selling order as a limit order or market order. If you choose a SL order with a selling order as market price it is called SL-M, otherwise if you have to mention the limit price it is called a normal SL order.

In this example, if you choose SL-M and keep the trigger as 95, as soon as stock goes to 95 or lower a selling order is triggered at the exchange at market price. If you choose SL, as soon as stock goes to 95 or lower, a selling order is triggered at the exchange with the limit price mentioned by you. Please do understand that if the Stop loss order is sent as a limit price, there is no guaranteed execution of the stop loss as the limit order can also become a pending order .See the pic below:

ZT Stop Loss Order

In Case of SL (stop loss with limit), when the stock comes to trigger price or lower a limit order is triggered at the exchange. *** If you don’t see SL-M here, send email to [email protected], it will be enabled in 24hrs

ZT Stop Loss Order

It is important to remember that with SL orders, because you are triggering a limit selling order there is a chance that when market is coming down fast, your selling stop loss limit order might become pending. To avoid this risk the best bet is to trade using SL-M as shown below.

ZT Stop Loss Order

Ensure that you are careful while placing a SL-M order especially when trading bigger quantities. As it is a market order, you might have an impact cost if the instrument is not liquid (lesser stocks trading).

2. You will have a buying stop loss if you have sold an instrument (stock, F&O, etc).

Assume you have shorted at 100 (expecting the price to come down). Your loss will happen when the price goes above 100 and you want to stop the loss at 5 points (@ 105). In this case you will have to put a buying stop loss either SL or SL-M.

In case of SL, see the pic below:

ZT Stop Loss Order

in case of SL-M, see the pic below

ZT Stop Loss Order

Some other things to remember:

1. Once a stop loss order is placed and if you want to modify it, you can go to the order book (F3) and click on Modify to change the price.

2. Your trigger price should be below the current price (for selling stop loss) and above the current price (for buying stop loss), otherwise the stop loss will get triggered immediately.

3. Stoploss is a product offered by the exchange. Once the SL order is placed the trigger and corresponding order is at the exchange itself. So ย even if a brokers trading systems were to ย be down, your stoploss order wont’ be affected.

Hopefully this clarifies the query on Stop Loss orders.

SL orders to enter new positions:

Assume Nifty 5700 puts is trading at Rs 25. You want to buy this option only when it goes to 26, how do you do this? Because if you put an order to buy at 26 it will get executed at the market price which is lower than 26. In such a scenario you can use SL orders to enter a fresh position. So what you could do is to put a buying SL/SL-M with a trigger price of 26. What happens now is that only when the put option goes above 26, will your trade get executed. This feature can be used by people who like to take trades only when a particular stock/contract moves in your direction.

 

Happy Trading,

Zerodha

Your friendly neighborhood discount brokerage

1,443 comments

  1. Shri says:

    Thank you for this great post.
    I have a querry. If I place a stoploss order and also my target price order for eg [email protected] [email protected] and target [email protected] If my target is achieved [email protected] then will my [email protected] cancelled automatically or I need to keep monitor status and cancel SL manually.
    Thank you.

    • sunil rautray says:

      Stop loss doesn’t work in Zerodha mobile app..Dnt know what the issue is..have tried three to four times while putting a request under stop loss market ..but doesn’t work

      • Sunil, it works. Getting someone to call you back.

        • Gautham.hc says:

          Hi Mr. Nithin Kamath, I have problem in placing a stop loss in zerodha, I always put stop loss to my trade but it never triggers. Can you please help me out with this. I made a huge loss due to this.

          • Gautham, if you place SL-limit orders on scrips which are not very liquid, your SL orders can become pending when it triggers. So if you want guaranteed execution, use SL-M.

            • Gautham.hc says:

              Thank you, So is it sure that if I select SL-M I can execute the trigger price ?

              • If you choose SL-M, a market order is sent when your trigger price is hit. So yes, your order will get executed at market price for sure. Do read the post above.

                • Gautham.hc says:

                  Thank you very much sir.

                • Shikha Gupta says:

                  Hi Nitin,

                  I have a question on SL-M price type, Can I place the SL-M order with order entry limit price or the order entry price also will be a market order, in this case both the orders will be market orders. Please help me with this. My user id is DS7587

                  • SL-M orders will have a trigger (trigger is just a price to activate your order, it is not limit/market), when this trigger price is hit or breached on the market, a market order is sent.

                    • Shikha Gupta says:

                      Hi Nitin,
                      Thanks for your response, but still seems not clear, I am asking when I am entering a SL-M order the order entry will be on market price or I can put the limit price in that. If this will be the market order (for entry order) than I assume that both entry & exit price will be a market price in SL-M orders.
                      Please clear this.
                      Regards
                      Shikha Gupta

                    • Order entry will of course be market, that is why it is called SL-M

                    • Shikha Gupta says:

                      Hi Nitin,
                      As I understood in SL-M price type both the entry & exit price will be market price means we do not have any control over prices, it seems more similar to the CO except for higher margins. This doesn’t solve my concerns since I am trading on a very low price spreads & following this order type will eat up my all profits & put me into loss when doing trade in higher quantities.

                      Is there any way if we can control any of the entry or exit price with automated SL since I do not follow the manual SL also in expectation of price will move into my favor.
                      Do you have any solution on this, please note that I can trade thru web platform only due to the firewall restrictions.
                      Thanks for your help
                      Shikha Gupta

                    • Venu says:

                      There seems to be some confusion Shikha.
                      You place an SL-M order AFTER you’ve bought or sold. The initial buy or sell order that you place can be a limit order/market order. So when you place an SL-M order, it’s just one order. There’s no ‘entry’ & ‘exit’ order for an SL-M. There’s only one trade that happens when you place an SL order.

                      To explain with an example:

                      Let’s assume you buy Reliance 980. Now assume the maximum risk you wish to take on this position is Rs.10 which means you want to sell if Reliance comes down to 970. How do you ensure this happens? You can use the SL/SL-M feature whereby you can place an SL-M order by which you inform the system to automatically sell the position if Reliance touches 970. So, effectively SL/SL-M order is only executing 1 trade, it’s selling your already existing position since you’re the price has come to the point where you desired to exit.

                      In the above example, there are 2 types of orders you can place:

                      1) SL 2) SL-M

                      When you place an SL order you have to specify the Trigger price & the limit price. Eg: Assume you specify the trigger price as 970 and the limit price as 969. When the stock price drops from 980 and touches your trigger price (970), an order to sell Reliance is sent to the Exchange at 969. If there’s a corresponding buyer available at 969, then your order gets traded, else the order remains pending in the system as a limit order.

                      When you place an SL-M order you only get to specify the trigger price. Assume you specify it as 970, the moment the stock price hits 970 on its way down from 980, a market order to sell the stock gets sent to the Exchange at Market price. If the corresponding buyer at that stage is available at 945, then your trade gets executed at 945. This is why we don’t suggest placing Sl-M orders for stocks/contracts where the liquidity is low.

                    • Shikha Gupta says:

                      Hi Venu,

                      Let me one more time clear the things. I want to understand the below things, these all things are related to first order no subsequent orders.
                      1. When I place a normal limit order there is nothing like trigger price or kind of automated SL. Right?
                      2. When I place SL-L order the entry price I can put the limit price with trigger for stop loss which will be a limit order for stop loss (As Nitin has already cleared that putting the SL-L order is more dangerous since there is no guarantee for stop loss order execution when price in not moving to my stop loss price). Is that right?
                      3. Next situation is that I am putting a SL-M order, in this order the first price will be a market price (or it can be a limit price also, Nitin said that it will be a obvious market price), now with SL-M order I have to mention a trigger price & when the share price is triggered that price my trigger price order will automatically gets activated & my position will be closed with best available market price at that time with market order. Is that also right?

                      Now what I was looking at that is there any way in situation 3 that I can place the SL-M with limit price or both the entry price will be market order price. In this situation I will not have any control on buy price & also sell price, which creates much problems with me with problems already mentioned in earlier post.

                      So do we have any solution on this from Zerodha or we will have to be with that only. May be still you are not properly understood my issue do let me know.

                    • 1. yes
                      2. yes
                      3. yes

                      If you want guaranteed execution of stoploss, but still don’t want the risk of SL-M market order executing at a price much away from the current price, I’d suggest you to use the normal SL order itself with limit price at a price where you are comfortable as an impact cost. Assume you have bought a stock at 105, you want a guaranteed stoploss if market breaks 100, but this is an illiquid contract and you don’t want your order to move the price down by too much. You can use SL order with trigger price at 100 and limit price as 99. What this will do is that it will ensure that your order doesn’t push the price below 99, important when trading illiquid scrips.

                • rajat says:

                  Hi Mr. Nithin Kamath, I have been trading in Kite web version since few days now. When ever I place a SL-M order for buy it doesn’t activate. Example if current market price is 100 and my Trigger price is 95 when the stock moves against me to below 95 which is my trigger price. The SL-M order won’t activate at trigger price. I tried calling Zerodha Costumer care thrice now but not satisfied with there response. Last time I called the person from Zerodha told me that SL orders cannot be placed first directly, SL/SL-M orders can only be activated in counter order window. i.e, when there is already a completed previous MIS buy order is placed. Is this how SL-M/SL order works?

                  • Rajat, if you place a SL-M with trigger, it should work. Can you share a ticket number if you have, I will get someone to call you back. Let me reiterate, if market price is at 100, you want to sell (either fresh or exit buys) only if market goes to 95. In this case you have to place a selling SL-M order with trigger at 95. When market goes to 95 a selling market order is sent.
                    If you are using a normal SL order with trigger at 95 and say limit at 94.9, a limit order to sell at 94.9 is fired. This order can go pending. But SL-M orders will guaranteed execute.

                    • rajat says:

                      Hi, Thank you for your time. I know how SL/SL-M works in general. But whenever I place a SL-M buy order, It shows me that order type is Limit. SL-M/SL orders not executing at first. So several times I missed the trigger point I have selected. So I called up Zerodha Costumer care, they explained me that SL-M/SL orders can only be placed when there is already executed Limit order. On the Limit buy order I have to place separate SL-M/SL exit order should.
                      Is this how it works? every time I have to Place separate SL-M/SL exit order?

                    • I think you are confused, will get someone to call you back from our team.

                    • rajat says:

                      I don’t have a Ticket number sorry.

                    • rajat says:

                      I donโ€™t have a Ticket number, sorry. And nobody contacted me from Zerodha.

                    • Can you email to [email protected] with your client ID

                    • rajat rao says:

                      I have raised the Ticket #312532. Hope you contact me soon as possible. I request someone with sound knowledge in share trading on kite web platform and in Trading to contact me, because each time I called, got different answers. I am confused.

                  • Krishna says:

                    Rajat,

                    You can place SL/SL-M buy orders. That is possible but there is one catch.
                    Normally we used to buy shares at lower price and sell at higher prices but what if after buying shares price started to go down? So some people will buy share only when price from their CMP started to go up. They will loose little bit of money but they will be ensured that the price is moving in their direction. Hence if you are going for fresh buy in intraday put your SL/SL-M trigger price more than CMP. It will 100% execute without any error.

                    Eg.
                    Stock-BPCL
                    CMP-485

                    Case-1: Normal CNC buy order (Here you can provide Limit order also. No need to provide trigger price)
                    Wait for price to go down and purchase and whenever price is higher than your buy price sell your stocks with MIS (SL/SL-M).
                    Lets say price has gone upto 490.
                    To Sell-
                    1. SL:
                    Limit price < Trigger price < 490
                    after putting these values you can sell your shares any time at higher price more than 490 and whenever price touches trigger price automatically your stocks will go to exchange for to be executed at limit price provided by you.

                    2. SL-M (here you have to provide only trigger price)
                    Trigger price Trigger price > 485

                    2. SL-M:
                    Trigger price > 485

                    Sell order is same as that of above.

                    Please note, SL/SL-M during intraday buy is generally used when you want to ensure that price will move in your expected direction.

            • Rohit Gadi says:

              HI,

              I have used Sl-M twice for SHORTING Copper Mini and it was not triggered, whereas the blog says it guarantees execution as soon as market price goes to that price or above that whichever is the available price?

              • IF you are trying to sell at a higher price than the current price, you just have to use a limit selling order. If you want to sell below the current price is when you can use SL-M with a trigger price.

                • Ravindranath says:

                  Dear Nitin,

                  If I want to short the stock at a higher price than the CMP, I take it that I just have to use Limit order and only when I want to short it at a lower price than the CMP, a SL-M has to be used.

                  Now, kindly explain:
                  1. What happens if I use a Limit order for shorting at a price lower than the CMP?
                  2. What happens if I use a SL-M to short at a higher price than the CMP?
                  3. What about this scenario where I want to go long at a lower price than the CMP? Do I have to use SL-M, or just a Limit order?
                  4. What is to be used if I have to go long at a price higher than the CMP? (although I’m not sure if such a scenario exists).

                  Thank you.

                  • Akshay.A says:

                    Ravindranath,
                    1. CMP will be considered as the best limit sell price and the sell order will execute at CMP.
                    2. Same as 1. If the trigger price of a sell SL-M order is greater than CMP that would mean it’s already triggered. Now a sell market order will be sent and will execute at CMP.
                    3. Use buy limit order to place buy orders below CMP.
                    4. Use a buy SL-M order to buy above CMP. The buy market order will execute only when the trigger price is reached.

            • Abhishek Ranka says:

              SL-M is not allowed … Please note…

              Also confirmed the same with Zerodha Executive…

        • Bd says:

          Dear sir,
          Please make video about stop loss order & share it in YouTube
          So it will be helpful for many traders
          I also tried SL/SL M order in kite but it won’t work

        • sunilkumart2009 says:

          I have been told by zerodha customer care that stop loss will not work with kite. But need to place a seperate sell order. Please see the below reply

          In kite you will not be able to place buy order and stop loss order together. You will have to place two seperate order for the same. One is buy order. and to place the stop loss go to sell order window and select the stop loss limit or stop loss market. Kindly go through the below link to know how to place the SL and SL-M orders.

          http://zerodha.com/z-connect/tradezerodha/zerodha-

        • Santhosh Badam says:

          Dear Nitin, SL in mobile app does not work in MIS…

        • Krishna Kant Singh says:

          Dear sir
          It is absolutely true that SL or SL -M
          Both are not working in zerodha properly because of this I suffer from big loss request you to help me.

        • Sayyad says:

          Nitin sir..
          I need help. Please do a call back from expert. SL doesn’t work. I had lots of problem due to that.

        • n a jadhav says:

          Dear sir
          I am Zerodha kite member, I have bought 425 shares of Syndicate bank and I want sell them automatically when price goes 70 – 80 paisa higher . I can hold shares for longer time so I don’t care stop loss but when I am in profit want to sell it automatically because I am quite busy person.

        • ZT1846 says:

          Sir,
          In pi I am not getting option to put Stop loss order directly from my holdings , instead it is directly go to square off at market price or limit price,
          I can put stop loss order from Market watch but not from holdings , pls inform

      • Atish says:

        Purchased stock rs 100. Now the market value go to rs. 110. Now i want for stop loose what can i dofor getting max gain.

      • manoj says:

        Stop loss doesn’t work in zerodha app.

    • Vijay Jindal says:

      Dear,
      Stop lose will cancelled automatically.

    • Venk says:

      Can we place stop loss order for holding stocks ? not for intraday trade !

      • Venu says:

        All un-executed orders get cancelled at the end of the day. No way to carry forward pending orders. You will have to place a fresh order everyday.

    • Santhip Balakrishnan says:

      Hi I’m using Zerodha kite, I’m short in silver future say @ 39000 and price moved down to 37000,. Now I want to place Stop Loss & take profit target to save my profit. I need to know if I can place SL-M order now @ 38000 and take profit target @ 36000. Kindly help me how this can be done.

      Should I place Buy Limit order for 36000 from Exit Order to take profit target &
      After this I should place second order for Stop Loss by clicking Exit order and select SL-M and enter amount 38000 (So that even if price bounce back i hit 38000 , i will be in profit.)

      Thanks,
      Santhip

    • MaheshPune says:

      Dear Sir,
      I have a question. I am trading using MIS for Equity. I buy a stock at 100. I put a SL-L order with Trigger price 98 and Limit price 98.5. Now I also put a Sale-Limit order of price 102. Stock moves in my expected direction and Sale 102 order gets executed. My question is the SL-L order which i given still remains active and i have to manually cancel it. OR SL-L order (Sale order in this case) gets automatically cancelled once my position is squared off by Regular Sale-Limit order. (Please clarify in context of Zerodha Kite).

  2. Nithin Kamath says:

    @shri, you will have to monitor it and cancel the SL manually.

  3. Samuel says:

    Related to Shri’s query. I would want the stop loss or target price to be cancelled automatically once either of the two is complete. How can this be achieved without having to monitor it?

    Would this feature be added soon because right now its not helpful to keep monitoring the trades.

  4. Nithin Kamath says:

    @Samuel, the kind of order you are asking for is called as a bracket order, NSE considers this as an algo because the second order is automatically cancelled and algo trading can’t be done on retail terminals… We are launching a product which will have this feature, but you will need a dealer terminal, we will post about this product soon..

  5. S.sivakumar says:

    Is it possible in AMO to make three orders.Example: Buy order @ 100, Stop-loss Sell order @ 95 and Target Sell order @ 110.

  6. Nithin Kamath says:

    @Siva, yes it is possible, but you need to have separate margins for each of the orders.

    • Makehay says:

      I bought 5 XYZ company stocks at 100 each. Now, I want place SL-L order if stock price reaches 95 (trigger price) with limit 94. And I also want these 5 stocks to be sold automatically as soon as the stock price reaches 105. Can I place these 2 orders simultaneously, for the same 5 stocks that I bought initially ? Kindly help. Thanks.

      • Akshay.A says:

        Yes, you can place a sell limit target order and a sell SL-M order at once but you will require additional margin for one of these orders. Please note, placing both target and stop-loss is not possible for a CNC position/holding. You can either place a target or a stoploss for a CNC position/holding.

  7. Shaggy says:

    is it possible to put a trailing stop loss order?

  8. Ajay says:

    current price 100 and I want to sell below 98. can i put stoploss sell order (SL-M) to 98. will it be executed only when price touches 98 or at 100 itself.

  9. Nithin Kamath says:

    @Shaggy, trailing SL is presently not allowed on retail trading platforms.

    @Ajay, it will be sold at market price only when the price reaches 98 or lower.

    • spynkz says:

      Hi Nitin,

      This is a long pending question, What is the reason that exchanges permit you to allow trailing stop losses for Bracket Orders, where it is not considered automated trading, but for a Normal stop loss order it is not allowed? I have traded successfully in the US with Ameritrade using this strategy. They even allow stop losses to be placed GTC, and not just EOD and Intraday.

      This is the biggest issue for me right now, as too much tracking is involved for each buy/sell on a large portfolio.

      Bracket Orders do not allow modification, as any modification is resulting in an automatic exit from the trade. Correct me if I am wrong. Also, I am restricted to limit orders while placing bracket orders, so most often I may not get a fill.

      Thanks.

    • spynkz says:

      Hi Nithin,

      This is a long pending question, What is the reason that exchanges permit you to allow trailing stop losses for Bracket Orders, where it is not considered automated trading, but for a Normal stop loss order it is not allowed? I have traded successfully in the US with Ameritrade using this strategy. They even allow stop losses to be placed GTC, and not just EOD and Intraday.

      This is the biggest issue for me right now, as too much tracking is involved for each buy/sell on a large portfolio.

      Bracket Orders do not allow modification, as any modification is resulting in an automatic exit from the trade. Correct me if I am wrong. Also, I am restricted to limit orders while placing bracket orders, so most often I may not get a fill.

      Thanks.

  10. Ajay says:

    What is spread order and how it is used. How it is beficial

  11. Nithin Kamath says:

    We will put up a different blog on using spread orders. In brief you can use spread orders to enter spread positions at single time for example buy nifty jan futures and sell nifty feb futures.. But do look out for the blog..

  12. Sandip Chougale says:

    I am not clear with above posts. I have few queries about order placement.
    1) If I am placing “Buy or Sell” order with “STOPLOSS” then after execution of this order, Is it possible to modify the “initial STOPLOSS?”

    2) If I have Bought a stock (at 100) & now I wanted to place Limit SELL order (at 110) with STOPLOSS (at 95)then how to do it? Also after placing this order can I modify my STOPLOSS or trail it?

    3) If I have SHORT SELL stock (at 100) & now I wanted to place Limit BUY order (at 90) with STOPLOSS (at 105) then how to do it?

    4) Difference between “Price” & “Tr. Price” when Buying & Short Selling.

    5) Is there any automatic/Formula for trailing Stoploss in Zerodha Trader? Or any plan to implement/update the software?

    • naanu says:

      Dear Sir/friends
      please clear my doubts,if i buy a stock at 100,if i want to keep stop loss again i want to put a limit sell order.There i have to put stop loss like 95.but what about target order? for target order, again i have to put a sell order at say 105? for this i think extra margin s required am i rite?..y this much confusion? pl solve my problem

      • Naanu, if you are trading on equity, no extra margin will be required.

        So once you have bought a stock at 100, put a SL order with trigger price as 95 and place a Selling limit order with limit price 105. That should do.

        • Ankush says:

          Sir I understand that i can place 1 SL / SLM order and another Sell order (take profit) togather. However, when I try to do this i am getting an error “RMS:Rule: Check holdings for entity account-PAXXXX across exchange across segment across product”.

          I am trying to use SL / SLM in equity. Please confirm.

  13. Nithin Kamath says:

    @Sandip, your answers:

    1.Yes once your buy/sell order is executed, you can modify/cancel the stop loss order.

    2.You have to place two separate orders, one for sell and one for SL. The only thing you need to understand is that for the first order(either sell or SL) no margin is blocked as it is considered as an exit order. But the 2nd order, you will need to have sufficient margins. Yes as long as the order is pending, you can modify the SL order.

    3. Similar to point 2.

    4. Tr price is only for stop loss orders, price at which your order is sent to the exchange. It is as mentioned on the blog above.

    5. Trailing SL is not automated, you will have to manually modify the SL. We will not be able to offer such a feature on retail terminals as this is considered automated trading and not allowed by exchanges to retail clients.

    • Amit says:

      In Commodity MCX Alumini order After placing SL-L order I purchased at 97.9 and keep stop loss at 97.2 .Trade confirmed of purchase at 97.9 but I m not able to modify Stop loss trigger price of 97.2 .

    • Nithin Kamath says:

      Go to your order book and you should be able to modify stop loss, if you are not, call 080-40402020, we will help you out..

    • Amit says:

      I already tried out your advise this but pop up page says ” Please select only open order” , in order book page status order indicate order “complete” and another question : My product type is NRML as and this stop loss is also carry forward tomorrow

    • Nithin Kamath says:

      Amit ,

      Press ctrl+3 to see both open and completed orders. You can modify SL from open orders only.

      See this blog: http://www.zerodha.com/z-connect/blog/view/orders-place-modify-cancel-view

    • Amit says:

      even my stop loss also not worked price crossed stop loss trigger price and it didnt worked ,,,,, i m trading threw WEB platform , is it problem? and if yes than please update it , i had reported you a bug

    • Nilesh says:

      Dear Sir,
      I understood that bracket order cannot be placed by retail investor? Please, correct if I am wrong. Thanks for your support. Also, trailing stop loss feature cannot be available to retail investor. Then, it is available to whom? Why it is not considered automatic trading in that case?

  14. Culwaves says:

    I want to put a SL order with a buy order in equity segment, also as I could no trade in office hours, so it should be a After Market Order. Plz show me how to do that? Else If any other way to make it work?

  15. Viswanath says:

    Hi, when i submit a stop loss order, i get message “Price Alert triggered with Entered Price” Continue with these values? Why is this messages coming ?. is this ok to continue?
    I have purchased at 53.70 and LTP is 61.00 and i want place SL of Tr price 50.50 and price 50.00

    • Nithin Kamath says:

      Hi Viswa,

      Yes the alert is a little misleading, but what you are doing is perfectly fine. .. Do go ahead and click on ok..

  16. Coolkal says:

    Is it possible to place GTC/GTD orders for stop loss & for stop orders for entering new positions? This would be helpful to those who cannot do continuous monitoring during mkt hours.

    • Nithin Kamath says:

      GTC/GTD is presently allowed on on MCX and can’t be used on the equity exchanges. We are looking forward to provide it as and when exchanges start allowing this.

  17. Saidarao says:

    Hi Zerodha,

    Assume that the stock price is at 100. Is it possible to place a buy order at 95 and an automatic sell order at 100 once that 95 buy order gets executed?

    This very essential as we cannot watch market for six hours. Please reply.

    • Nithin Kamath says:

      Yes it is possible to put a buy order at 95, but we cannot put an automatic sell order once this order is executed.

      The reason for this is that NSE considers anything that happens automatically as an algo and this is not allowed for retail clients.

  18. Sandip_Chougale says:

    Hello Sir,
    In above post, You have mentioned that “BRACKET ORDER” is not allowed on Retails terminals. (Means I can’t place a single order for Stop loss & Target price. And also if any price order trigger other will not cancel automatically.) But this facility started by “Sherkhan” on retails terminals. It help to protect our Capital as well as Increase the winning % of the trades. What about Zerodha? Are you planning to launch it?
    Also what is the current facility in Zerodha for above situation & how can I protect my Capital without maintaining separate margin for any 1 order. (placing Stoploss & Target orders at a time.)

    I wanted to know the use of cover order. Can you please explain, how to use Buy/Sell cover order entry with simple example of BUY & SHORT SELL.
    Awaiting for your quick & positive reply.
    Have a good day… Happy Trading…!!!

    • Nithin Kamath says:

      Yes, Sharekhan has started allowing it but only on the equity segment and not f&o. We are following up at the exchange to figure out how to get similar setup on bracket for equity as them.

      If you are placing a target order and a stop loss order at the same time, there is no significant extra margin blocked. Exchange gives margin benefit for positions like these.

      About cover orders, [click here to know more…]( http://www.zerodha.com/z-connect/blog/view/cover-orders-for-higher-leverage)

  19. Pallavi says:

    On my zerodha trader, in order type dropdown I only see SL and not SL-L and SL-M as shown above.
    Is something changed?

  20. Abdul says:

    Dear Zerodha

    I do not see the 1)smart order entry and 2) Trigger order entry under “Orders and Trades Menu” in my zerodha Trading terminal so that I can buy at best value prevailing in both NSE and BSE.Nest provides both of these facilities.

    Thanks

    • Nithin Kamath says:

      We are checking with our technology partners on the same and during the course of the year, we should be able to provide smart order routing.

      Trigger order entry is available, use the SL order with triggers to enter as explained on the last paragraph of the article above.

  21. Abdul says:

    Dear Sir

    Please tell us more about spread orders and how can use them. Can we use 2L spread order for same scrip of cash segment one buy order and the other sell order.

    Thanks

  22. Abhishek says:

    How to “Short Sell” in ZT . Can anyone please let me know

    • Nithin Kamath says:

      Abhishek, use the product type as MIS and sell , this would be a short sell, cover it back again by buying back as MIS before 3.20pm otherwise it gets squared off automatically..

      Cheers..

  23. Pallavi says:

    This is about using SL orders to enter new positions. When my order gets executed how can I place stop loss for this.
    Considering the example in blog (Nifty 5700 puts is trading at Rs 25. You want to buy this option only when it goes to 26). suppose my order gets filled at 26. How do I put a selling SL. Do i simply put a sell SL-M?

  24. ganesh177 says:

    I can use this SL also for executing my target orders, right ?

    • Nithin Kamath says:

      No Ganesh, you cannot use SL orders to place as target orders.

      For eg if you bought something at 100 and if you keep a sell Stop loss order with trigger at 103, your trigger will get initiated immediately as the present price is below 103. Your stop loss order will get executed at market price if it is SL-M or will go as limit price if it is SL. You rather use the sell order option with limit price than using this..

      Cheers,

  25. biju says:

    sir iam not able to modify the stoploss when placing order by COVER ORDER,while i am able to place an order but my stoploss remain the same ,and since my target has reached and if i want to sell i have to place a cover order sell call,what to do.i recently had some loss just because i was not able to use my stoploss to my advantage.

  26. Arjun1 says:

    I am still not clear on using SL and SL-M. Would be great if you could explain with below example.

    Current Reliance price 100

    I want to buy @ 95 (delivery mode) so I place buy order with limit price @95.

    Once I see buy order is executed successfully @95, I place sell order with limit price @115.

    To stop loss, I also place another sell order with limit price @90 (Is that correct way to to put stop loss)

    My understanding about Limit order is, If the share price doesn’t hit the price I mentioned in limit price, the order will not be executed. So how do we use SL and SL-M in both the above buy and sell order? Thank you.

    • Nithin Kamath says:

      You are correct till placing a sell order with limit price @115..

      If a stock is trading at 95 and you place a sell order to sell it at 90, it will get sold immediately.. This is the reason why you have SL order..

      In the drop down where there is limit/market, you can also see SL/SL-M options.. Choose the SL-M option and put a trigger price of 90.. So now what happens is that this order is sent to the exchange only when the trigger price is hit..

      Hopefully this clarifies, try a few times on very small volume of shares, you will get a hang of it

      • manju says:

        hello sir, i have one doubt please clariify it .
        suppose nifty future is trading at 7300 but i want to buy it above 7325 so when i use limit
        order price as 7325 it gets eecuted immediately around 7300 so, what am i suppose to
        do to take enter new position for buying nifty future at 7325

  27. Arjun1 says:

    I got it. Thanks for clarifying my query.

  28. Mandar_1985 says:

    Thanks a lot… I was always confused about stop loss. Once I had incurred a good amt of loss while trying to put a stop loss order in a wrong way. The order got executed at Market Price in a flash of a second.

    • ali says:

      Why not have an order preview window before executing the order.
      Personally, I was putting my first order learning to place order with default quantity 1, and I clicked place order expecting a preview window for me to check the contents before executing it. But lo and behold it got executed.
      I was going to suggest to Zerodha team to have a preview window if possible before executing it.

  29. Mandar_1985 says:

    Please clarify

    If I have bought some shares @ Rs 100
    If i m expecting up move, I will place a limit sale order with my target
    But to be cautious I m putting a selling stop loss (SL-M) @ 95

    Now suppose the stock has already touched low of 94 in that day before me placing stop loss order at 95, can i place a stop loss order at Rs 95? And will be accepted ?

    • Nithin Kamath says:

      Yes Mandar you can put it at 95 even if there was a lower price recorded during the day.

      Stop loss has nothing to do with the low/high of the day, when you are putting the SL order make sure the trigger is below market price for selling stop loss and above the price for buying stop loss(if you have shorted the stock)!!..

  30. Shirish says:

    When we will be able to put GTC/GTD stop loss orders for stocks/equities & FnO? On this forum it was mentioned that:

    “Zerodha reply 1 Month, 2 Weeks, 5 Days, 23 Hours, 45 Minutes ago. GTC/GTD is presently allowed on on MCX and can’t be used on the equity exchanges. We are looking forward to provide it as and when exchanges start allowing this.”

    I have another brokerage account with ICICI Direct, and I was able to put GTC orders over their platform. I am wondering why is it not possible with Zerodha Trader. It is frustrating and this may make me close my
    Zerodha account.

    Regards,

    Kulkash

  31. Ramachandr says:

    Sir
    Kindly clarify further about 2 exit order. I dont find any such option in our nesttrader.pl.explain the ordering procedure to put sl order and profit booking order simultaneously with margins available just 5% extra for any single lot of nifty future
    With regards

  32. Siva says:

    Hi when Trailing Stop Loss will be available on zerodha trader for NSE EQ? I saw the same is available on sharekhan for retail traders. Awaiting your reply. Thank you.

  33. BKO says:

    Dear Zerodha,

    after placing a CO order at around 1% SL in equity market, later i wanted to modify my SL value to 0.5% instead as i wanted to incur lesser loss, but i could not modify the SL value, is it not possible kindly explain ? If not possible then why not, as i am only trying to modify the SL value within the initial SL range itself …

    Thanks and Regards,
    BKO

    • Nithin Kamath says:

      BKO, presently it is not possible. The product CO as approved by the exchanges don’t let the stop loss be modified. We have requested for this facility from the exchanges, will update once we have an update…

  34. Ananth says:

    Hi Nithin,

    I would like to know by real time examples and clear screen shots on different scenarios like,

    eg1: Buying at 95 and once executed, I need to place an order to sell at 110 with SL 90 ( How to place exactly in ZT what should be the choice in Limit price and Trigger Price etc)

    Your explainations are theoritical and if it has some youtube video or screen shots with example, it will be great.

    Also Do let me know if there are any classes or recordings which can be shared to Zerodha traders. Usually Sharekhan is doing a realtime video trainings (Both Hindi and English) to its customers in educating people to avoid major losses or to play with clear basics.

    Thanks,
    Ananth

    • Nithin Kamath says:

      Ananth,

      We will look at having videos soon, but to help on your query.

      1. Use limit buy order with price at 95.

      2. Once executed, use limit sell order with price of 110. This is your target order.

      3. Open Sell order window, in the drop down choose SL-M order, mention trigger price as 90. This becomes your SL order with trigger as 90.

      You will have to manually cancel one order if the other order is executed. But note that because you are placing 2 exit orders for 1position that you have, the margin requirement will go up in case of options. Check this blog for more: http://www.zerodha.com/z-connect/blog/view/margins-2-exit-orders-for-1-position

    • sibaprasaddash says:

      Assume the order get executed @95 and then the sell order gets executed @110; what will happen if the other order ie SL @90 can not be cancelled for some reasons on that day. will it become a short sell order or NSE will auction it at the end of the day.

    • Nithin Kamath says:

      Prasad,

      [email protected] will remain in the system till end of day, if it doesn’t get executed it will be cancelled after 3.30pm. But if after going to 110 the stock comes to 90, it will become a fresh short position and if you have placed it as CNC it will go to auction, but if it is a MIS then it will anyways get squared off at 3.20pm

      Hope this helps..

  35. mithesh says:

    How to ‘Short sell’ in delivery, is it posible? can you explain me about short sell?

    • Zerodha says:

      Hi Mithesh,
      Currently short selling in delivery is not allowed.. You need to have stock in your account to be able to sell them for delivery..
      A Short sell is a transaction where you gain out of a stock declining in value..So if you are bearish about a particular stock, you’d first sell it without owning it (for intraday) and buy it back before the end of the day thereby making a profit..
      However you can short Future contracts and hold them overnight provided you have sufficient margins if you have a long term bearish view on a stock.

  36. avinashorai says:

    How to set Trailing Stop Loss Order..?

  37. avinashorai says:

    For Trailing Stop Loss Order, does it need any approval from Exchange…? then I see trading software like Sherkhan’s Trade tiger supports Trailing Stop Loss Order. This will be a boon to such investor and trader who cannot hang on and follw the terminal for all the time, I hope this will be supported soon in Zerodha’s trading software too.

    • Hanan says:

      We’re well on our way to giving you the ability to have a trailing stop loss on ZT. Right now, this is a premium feature and is available only on i3 which is an algo plugin which you can use along with ZT. This works out only for HNIs and institutional clients.
      Having said that, we’re waiting for exchange approval for Bracket orders and also Trailing SL orders and we’ll give this to you as soon as we have it on our software.

  38. Pradi says:

    Ex – I have a margin of3000 and bought 1 lot of Nifty 6000 call option at 40. Margin used – 50×40 = 2000. After some time imagine this is trading at 45. now I have belwo questions for you

    1. Can I place a SL-M order with triger price of 43? or a SL with a triger price of 43 with a limit 42.95. Plz note – I initially bought at 40, People say that while placing SL sell order the triger price has to be always less that the initial buying price(40rs) Please tell me if I can place a stop loss order with the triger price more than 40rs.

    2. After placing a Stop loss order if I have to place a target sell order at 50rs (this will be the second exit order) then what will be the margin that I require?

    • Nithin Kamath says:

      Pradi,

      Your’s is a common query, When the option is trading at 45,

      1. yes you can place SL-M order with trigger at 43.
      Yes you can also place a normal SL order with a trigger of 43 and limit 42.95. The only risk you carry of having a limit price is that if the market goes fast against you, it is possible that the limit of 42.95 becomes a pending sell order. Otherwise no issues as such.
      People who say that you have to place trigger below the buying price are wrong, you just have to place it below the market price currently(i.e 45 in your case). If you place it above 45, it will get triggered immediately and your order becomes like a normal selling limit/market order.

      2. When you have already placed the stop loss order and now trying to place another exit order at 50, only in case of options do you need extra margin. The reason for this is because margin required for buying/selling options are different unlike equity or futures. In your case, you will need the margin required to short an option to place a second exit order.

      Cheers.

  39. Pradi says:

    Thanks..The explaination was superb

  40. Amit says:

    yesterday in I bought Alumini at 97.9 and put stop loss at 97.2 than on same day price go well below 97.2 ,near by 96.6 but that time my stop loss didnt worked ,can you provide the possible resons why it didnt worked?

    I had placed order threw web platform

    • Hanan says:

      The only reason your stop loss couldn’t have worked is if there wasn’t enough liquidity in that scrip. Or you may not have placed the stop loss accurately.
      If you can share the date of the order along with the order number, we’ll be able to check as to what exactly happened. ๐Ÿ™‚

  41. mayur says:

    Its zerodha having gtc stoploss………. ???

    • Nithin Kamath says:

      GTC orders are unfortunately not allowed by INdian exchanges, so no brokers in India can offer them.

  42. Mohanverma says:

    Have you started the Bracket Order facility?

  43. Shaan says:

    Hi,

    If i a place the SLM order short at 11802 and the next day the market opens at 11600. Will my order get executed?

    The same order if I place SL order with trigger price as 11802 and price as 11796. And the market opens at 11797. Will my order get executed?

    • Nithin Kamath says:

      With an SLM, as long as the price is below the trigger in case of selling and greater than trigger for buying, your order will get executed at the market price available.

      In your example when you placed SLM when market opened at 11600, it will get executed at 11600..

      In case of just a SL, a limit order is sent to sell at 11796, if the price is above this it will get executed and if below it will go pending..

      Preferably use SLM all the time..

  44. shanky2788 says:

    Hi
    Today I placed 4 SLM orders but none of them executed when the trigger price came.after order bought , it was showing that its a limit order and showing the trigger value.
    Its a bug in software.I have used nest software.plz check what was the problem

    My id is DA0992
    Date of order 2nd july 2013

    • Nithin Kamath says:

      Shanky,

      Should not happen, no issues that we have faced on this. Is it possible for you to take a snapshot of this the next time.
      Will get someone to call you up on this.

      Cheers,

  45. shaf says:

    Hello,

    Need some details on SL/SLM.

    Suppose I have shorted a stock @ Rs.100. I want the buy this stock at 95, however I also fear that the stock might go up to 105 which I want to keep this as SL.

    What I do is I keep SL – Trigger price – 105 and Price – 95. Am I right? The order will be executed which ever is early?

    • Nithin Kamath says:

      Shaf, you are confused I guess,

      If you short a stock at 100 for what you are looking at, you will need the following 2 orders.

      1. To buy at 95, place a limit buy order at 95.

      2. To make sure your loss is not more than Rs 5, you put SL order with trigger price as 105. If you choose SLM, you need to mention only trigger, if you choose just SL, you need to mention trigger and limit price. Limit price will be the price at which you want to buy once stock goes to 105, you can keep limit as 105 itself. But it is always best to use SLM

      Make sure that when either of the above 2 orders gets executed, you can cancel the one which hasn’t

  46. kishor says:

    What happens if stoploss order is placed but is not triggered but zerodha trader is closed after placing stop order.
    will that order get triggered even if zeroda trader is closed that is computer is closed??

    • Nithin Kamath says:

      Yes once you place the SL order, it will stay in the system till the end of the day unless it is cancelled or executed.

      Even if you close the computer, the SL order will be in the system.

      Cheers,

  47. mirkumar says:

    hello sir,

    i am not a client of zerodha..but need a help. i received e-mails from mcx about execution of trades in my account containing rates, dates, trade numbers etc..but my broker says those trades were not executed in my account. my ledger shows that margin was utilised consistantly during that period. due to those trades, a profit of approx 45k should be deposited in my account….i had taken up the matter with them, but they simply said that no trades were executed in my account…what should i do? can u help me? please….

    • Nithin Kamath says:

      What you can do is visit this link : http://www.mcxindia.com/sitepages/tradeverification.aspx and mention all the details that you have. If it shows executed, then that means it is probably executed.. If there was margin utilization in that said period in your account without your knowledge, then there is definitely foul play, you can complain at the exchange with all the details.

      Cheers,

    • Nithin Kamath says:

      mirkumar Aug 2 2013, 3:34 pm
      sir,

      thanks for your prompt reply. but there is still a problem. the link accepts the data in respect of only for last four-five days, whereas in my case it is more than two months old. please suggest…if i had received messages as well as e-mails from mcx about the trade and my ledger shows the utilisation of margin, then how it is possible that the trade were not executed. how n from where i can verify these and please also suggest to whom i can lodge a complaint about it…..please…
      [ Click to thank ]Reply

    • Nithin Kamath says:

      Before you complaint to MCX, send an email to the broker asking for explanation, send it to the main support email of you broker. If you don’t get any response, the only other option would be to approach MCX directly..

    • mirkumar says:

      sir,

      i just want to say you a big thanks. as per your suggestion, i lodged a complaint with the mcx and now i got the money credited in my account. thanks again sir. keep doing your nice work…thanks.

  48. JEROME says:

    Team,
    Please clarify my query :
    AUG 06 , 2013
    I have shorted nifty future @ 5688 and I have trailed the SL (at 5655.5) when nifty future below 5650 .
    Then it slowly recovered and came near 5655.45 but my trailing SL got trrigerred. Please clarify.
    FYI ,
    Please see the snap shot below
    Looking for reply.

    Regards,
    Jerome

    • Nithin Kamath says:

      Hi Jerome, all the charts that you look doesn’t capture tick data it is usually second data. In 1second if there were a lot of ticks it is possible that it doesn’t show up on the chart, usually can happen when there is a lot of volumes happening. This looks like one of those case, where the tick is not showing on the chart but has gotten traded.

      You can verify this on the exchange website by mentioning your trade number, it will show that it is traded.

      Cheers,

  49. sharekumar says:

    Hi,

    I was very confused regarding Stop Loss Orders. I have read all content of this page and now I am well aware of Stop Loss Order.

    But there is one Question in my mind.

    For example,

    I Buy XYZ Stock @ Rs.100 and for safe side I put Sell Order In Stop Loss in Market Price Mode @ Rs.97

    Now Stock Price moves in my favour and LTP is Rs.106. I am still expecting that price of this Stock will go up ferther at Rs.110.

    But I do not want to Loss my initial profit / winning situation. So I Modify My previous Stop Loss Order and Put Price Rs.105 instead of Rs.97

    So My Qestion is Above mentioned my Technique Possible. And If this Technique is Possible then My Strategy is Right or Wrong ?

    • Nithin Kamath says:

      Kumar,

      What you have mentioned is absolutely possible. Your pending stop loss order will show in your order book(f3). Go to order book and modify the SL price to 105 and what you are doing is also called a trailing stop loss in market terms. In a trailing stop loss as and when market moves in your favor you move the SL higher.

      Cheers,

  50. Rvk says:

    Hi..

    If today @3:10pm,i am bullish on index and i buy a [email protected] and for safe side a [email protected]
    At 3:20pm I placed the SLM order for call 35 & for put 25 .tommorow the call opens @50
    and [email protected] .my question is that…..
    1. Is my SLM order will be activated till next day
    2. If yes my put option will trigger in which price SLM placed value 25 or opened price 22

    The purpose of the question is that to gain overnight riskless profit of ”5 points”. All of us
    know about every day market opens with some small or sometimes larger breakouts . If
    the above strategy can’t be work ”PLEASE” suggest me with better one’s or the all that idea
    to make some overnight riskless points is about bullshit.

    • Nithin Kamath says:

      Rvk,

      All the pending orders are removed from the exchange at the end of the day, so both your SL orders that you have placed today is valid only till the end of the day. What you could do though is use AMO orders in the evening after market closing for both the SL for calls and puts. After market orders(AMO) are sent to the exchange the next day morning automatically by our system.

      The overnight riskless points as you rightly mentioned especially with a strategy like what you have said is actually bullshit. ๐Ÿ™‚ .. The thing with options is that more often than not they lose value overnight than actually gaining unless if there is a major news event that happens in the evening.

      Hope this clarifies.

      Cheers,

  51. sharekumar says:

    Hi,

    I know that this question is not appropriate at this post, but If you can give me Answer It will really help me.

    I am very confused about Options.

    I have search over the internet here and there and find out that — Option Buyer can get Limited Loss and Unlimited Profit, While Option Seller can get Limited Profit and Unlimited Loss.

    So As a Retail Costomer What I have to do.

    What I am thinking about Options is,

    1. If I am Bullish, I Buy Nifty 5600 Call Option @ Rs.50 and When Nifty go at 5800 Call Primium Price also go high @ Rs.70 and at that time I Place Sell Call Option Order to Square Off my Open position and book Profit.

    2.If I am Bearish, I Sell Nifty 6000 Call Option @ Rs.100 and When Nifty go down at 5800 Call Primium Price also go down @ Rs.80 and at that time I Place Buy Call Option Order to Square Off my Open position and book Profit.

    3.If I am Bullish, I Sell Nifty 6000 Put Option @ Rs.100 and When Nifty go down at 5800 Put Primium Price also go down @ Rs.80 and at that time I Place Buy Put Option Order to Square Off my Open position and book Profit.

    4. If I am Bearish, I Buy Nifty 5600 Put Option @ Rs.50 and When Nifty go at 5800 Put Primium Price also go high @ Rs.70 and at that time I Place Sell Put Option Order to Square Off my Open position and book Profit.

    Now In Above Mentioned Conclusions 1 to 4, How many are right ? And If there is something wrong

    Please tell me. And also Tell me Which strategies are less Risky in above 1 to 4 for retail customer.

    Please Clarify My doubt.

    Cheers….

    • Nithin Kamath says:

      You were right in what you said,

      1. If you bought nifty 5600call @50 and if market goes to 5800 this will be minimum @200(5800-5600). Yep at that time you can place a sell call option, you can actually buy it at 50 and sell it anytime you want. Since you are buying options in this case your maximum loss is just the 50 that you are paying.

      2. If you are bearish, instead of buying [email protected], you can sell 5600 calls. If the market as you expect comes down, the value of 50 becomes say 30, you can buy this back now to make a profit. Since you are selling/writing, if market goes up you make a loss and this is unlimited, for eg if nifty goes to 6000, you would have made 400 points loss.

      3. Yep if you are bullish, you can sell the nifty 5600 put options @ 100, if market goes up, the value of put comes down, you can buy back to make profits. If you are wrong, value goes up and you have to buy back for a loss.

      4. If you are bearish, you can just buy nifty 5600 put [email protected] and if market comes down put goes up and you make profits.

      Since you are a beginner better stick to only buying options rather than selling which carries unlimited risk. One of the rules of option risk management is to never take more than 10% of your trading account size in a single option buying trade. You can read this article pretty interesting

    • Nithin Kamath says:

      sharekumar Aug 12 2013, 10:51 am
      Thank You for Your detailed Answers.

      1.Now in below Example, Which is I have Asked You at Aug 10 2013, 3:33 pm

      For example,

      I Buy XYZ Stock @ Rs.100 and for safe side I put Sell Order In Stop Loss in Market Price Mode @ Rs.97

      Now Stock Price moves in my favour and LTP is Rs.106. I am still expecting that price of this Stock will go up ferther at Rs.110.

      But I do not want to Loss my initial profit / winning situation. So I Modify My previous Stop Loss Order and Put Price Rs.105 instead of Rs.97

      And also I Place Normal Sell Order @ Rs.110

      Now for any reason – Power Cut, Computer Problem – I am not able to cancel my remaining order.

      In above example, If Normal Sell Square Off Order executed @ Rs. 110

      So What will happen to pending Stop Loss Order. Will It executed As Short Sell Order If Price go down @ Rs.106 ?

      2.For Options

      Its Better for me that,

      If I am Bullish, I have to Buy Call Option and

      If I am Bearish, I have to Buy Put Option.

      Other Two Are more risky and not suitable for me. Right ?

      [ Click to thank ]Reply

    • Nithin Kamath says:

      1. Yes if the price goes to 110 and if your target is executed and if the price comes down to 106 the SL order will also get executed becoming a fresh sell order if you don’t cancel it.

      2. Yep, since you are a beginner stick to buying calls if bullish and buying puts if bearish and remember to not bet more than 10% of your capital on each trade while buying options as they can loose money fast.

  52. sharekumar says:

    Hi,

    1. I was searching over the internet, that any broker in India provides Intraday Trading in almost all Scrip of BSE and NSE. And then I read in one forum where they are claiming that Ventura and Angel Broking provides this facility. Zerodha way ahead in many aspects from all brokers. You have to provide this facility to us. And you can provide us limited leverage or No leverage on less liquid scrips. It will read help us.

    2. I was thinking, that is it possible to hold Intraday Position for more than One day whether it is Buy or Short Sell position without taking delivery of the Stocks. And then I found over the internet in one forum and they are claiming that this type of facility Sharekhan is provides and user can keep open their position for up to five days.

    Now, You where wondering that why I want to keep open Intraday Position for more than One day.

    You were well aware of Gitanjali Jems Stock. It’s keep falling but In reality We can not make profit from Short Selling of this stock, Because It goes everyday to it’s Lower Circuit price in Pre Opening Session of Market. So in this type of cases it will really help us.

    If this facility is possible, Please provide us.

    3. What is Pre Opening Session of Market ?. I mean, in 15 minute of Pre Opening Session there is lots of movements in stock prices. So who gets benefit of this price fluctuations.

    4. I am basically trading during first 1-2 hour of market opening. because in this time there is much price movements. So is there any way that I can assume that price of any particular stock will up or down in next couple of minutes. and on that basis I can place my Buy or Short Sell position. I mean, by viewing Buying Quantity, Selling Quantity, or anything else.

    Thanks….

    • Zerodha says:

      Hi Sharekumar,

      1) Zerodha provides Intraday Trading facility in almost 250 scrips. You can find the entire list by clicking on this link: https://www.zerodha.com/download/IntradayMargins.xls
      2) If you do a BTST (Buy Today Sell Tomorrow) transaction, then the stock would not be hitting your demat account. However there is a slight risk involved in doing BTST transactions… You can read more on BTST transactions and the inherent risk here: http://zerodha.com/z-connect/blog/view/btstatst-buyacquire-today-sell-tomorrow
      You cannot hold short sell position overnight. Whenever you do a delivery sale you are obligated to deliver the stock to the counterparty… How other brokers do it is maybe when you buy and hold it for more than a day, they would hold the stock in their own Pool account and let you sell the same on a later day… In this case the stock does not hit your demat account… At Zerodha, we do not hold back any shares in the Pool Account. The shares are transferred to your demat account on T+2 in case you have not sold them…
      3) Conducting a Pre-Opening Session is an initiative taken up by the Exchanges to arrive at the ideal opening price of a scrip for that day’s trading session… This is with the view to reduce volatility that accompanies during the beginning of the day…
      Pre Open Session Timings:
      Session
      Time
      What happens?
      1) Order Entry Session = 9:00 – 9:08
      Orders are accepted. Clients can place new orders or can modify existing orders placed. Orders acceptance stops randomly between 9:07 and 9:08
      2) Order Matching Period = 9:08 – 9:12
      Order matching for the accepted orders.Clients cannot modify/delete the orders in this period
      3) Buffer = 9:12 – 9:15
      Buffer for transition from Pre-Opening Session to Normal Session

      4) Normal Market Opening = 9:15

      4) It is not necessary that price movements happen only in the first 1-2 hours of the day… A stock can move anytime during the day giving you an opportunity to buy/sell…. It would depend on what strategies/ techniques you follow that would help take a decision whether you need to buy/sell a stock…

  53. Rvk says:

    hello,

    1.I want to know about AMO orders.
    what is the time in NFO segment ,can i modify or cancel such kind of orders,
    and Is any diffrent rules in which we have to know about.
    2.I don’t have demat a/c when i am trading in nifty futures the utilized margin
    deduct as of 8% ,how to get additional 40% which is provided by zerodha.

    • Zerodha says:

      1. AMO as the name suggests lets you place orders after market hours. You can place AMO on Zerodha Trader between 5:45 pm and 9:15 am for Equities and between 5:45 pm and 10:00 am for Commodities. After you’ve placed the order you can modify/cancel it. On market opening these orders would be sent to the Exchange. The AMO timings remain same for all market segment orders.

      2. You don’t need a Demat account to carry forward Nifty Futures position. Only if you are trading for Intraday you get the benifit of trading with 40% of Exchange specified margins. To carry forward position you need to have the entire margins.. At current levels, margin required for 1 lot of Nifty is 24000 (overnight) and 9600 (40% of 24000 for intraday)

  54. Pallavi says:

    I usually square off my trades manually from F11 (admin position).How do I place a target order in system. Is it from the same F11 screen or a fresh buy/sell order.

    • Nithin Kamath says:

      Pallavi, if you want to sell it at limit price, you have to just place a fresh buy/sell order with the price at which you want to exit.

  55. sharekumar says:

    Hi,

    1.When Market Opens most of Stocks are open with price differences and some time with big price differences.

    So is it possible to Buy or Short Sell any Stock @ Previous Day’s Close.

    2.Should I buy options that are In The Money , Out of The Money or At The Money ?

    3.How Open Interest, Implied Volatility and Option Price

    • Nithin Kamath says:

      Kumar,

      It is not possible to buy/short sell any stock at previous days close, you can only buy it at whatever price the market opens next day.

      What kind of options you want to buy will be based on your strategy, Check this blog one of our 60 day winners who trades on options .

      • Ramesh says:

        Hi Nithin,

        I understand exchange cancels SL orders EOD. But Zerodha can keep track of SL orders which are not processed on previous day and place them on next day right? May be as an option for user to enable it while placing orders? It would be great to have this feature. As a long term investor, it doesn’t make sense to me to check my stock every day and put stoploss.

  56. shiv says:

    HI i have some doubt on Sl..
    here is a scenario
    If i buy nifty future for e.g 5500 and want to sell it at 5550 and SL of 5490
    so i can do this in below steps
    1) use sl-l or sl-M
    2)add 5550 to the target price or price i want to sell
    3)add 5490 to the trigger price for the sl it may be sl-l or sl-M
    4)trail sl as it moves higher
    5) gud to use sl-M as it wud be executed for sure
    pls correct me if i’m wrong here

  57. AnantK says:

    Hello,
    Please let me know if the following is correct –
    Intent – For intraday trading in F&O, I want to purchase 1 lot (size 1000) at 300 and sell at 305. CMP is 298.
    I put the following order –
    1. In a Buy order, Use SL-M.
    2. Enter the Price as 300 and Trigger Price as 295 (my SL)
    3. The order gets executed 5 mins after placing it.
    4. I monitor the price and at price 304, I feel that the price may shoot up to 310
    5. I go to the order book and edit the order
    6. I now enter the Trigger Price as 303
    Is this the correct way of entering trailing SL manually? Will my position be squared successfully if the price falls below or at 303?
    Thanks!

    • Nithin Kamath says:

      Anant, you cannot enter and put a SL in the same order, it has to be 2 different orders.

      1. So for buying, use limit order and buy at Rs 300

      2. Once bought, keep a selling SL-M order with a trigger price of 295.

      3. When markets go up, go to order book and modify the trigger price of the pending SLM to say 303.

      And this would be a correct way of trailing manually and yes it will get executed if market comes down to 303.

      Cheers,

  58. GHANSHYAM says:

    WHAT SHOULD I TRADE AND POWER OFF YA OFF INTERNET?WHAT DIAL&TRADE NO.?AND NEST TRADER SOFTWARE SYMBOL TICK DATA OFTEN FREEZE WHAT TO DO?

    • Nithin Kamath says:

      Ghanshyam for call n trade call on 080-40402020. If your internet is fast, there should not be any issue with NEST freezing.

  59. Avinash says:

    Please pardon me if my below query is too long ๐Ÿ™‚

    Please provide your inputs for the below scenarios:

    1. I want to buy stock x which is currently trading at Rs 105 but i want to buy at Rs 100 and wanted to take the delivery of the stocks in my d-mat account.
    I have to put a limit order. right or wrong?
    a) If wrong, please tell the the correct way to do it.
    b) also, if after buying the stock at Rs 100, the price increased to Rs 103, so can i sell the stock the same day by placing a sell order. The point to keep in mind is that the product type should be same in both the orders otherwise if I buy as CNC and sell as MIS, then the sell order will be treated as a short sell and the buy order will not be squared off and get delivered into my d-mat account. right or wrong?

    2. For the same stock x whose current price is 105, i want to buy it at Rs 100 and at the same time in trying not make big losses, I want to set a stop loss of 95. Please keep in mind that I haven’t bought the stock yet but I want that once it is bought at Rs 100, if it comes down to Rs 95, it should be sold.
    To do so, I have to place 2 different orders.
    One a limit order at Rs 100 to first buy the stock and simultaneously a sell order SL with price at Rs 96 (the order will be sent to exchange when price come to 96) and trigger price at Rs 95 (the order will start executing when price comes to Rs 95).
    Right or wrong?
    a) If wrong, please tell me the correct way to do that. Eve if its right, is there any other way to achieve the objective stated above?
    b) Can i do that in a single order instead of placing 2 separate orders?
    c) Also, how to use sell order SL-M in this scenario?
    d) Also please explain the price and trigger price terms in SL orders in context of scenario 2.

    3. for the same stock x whose current price is 105, i want to buy it at Rs 110 and at the same time in order to not make big losses, i want to set a stop loss of 105. Please keep in mind that i haven’t bought the stock yet but i want that once it is bought at Rs 110, if it comes down to Rs 105, it should be sold.
    In order to buy the stock:
    I have to place one buy order SL/SL-M at trigger price Rs 110 to first buy the stock as the buy order will be triggered at Rs 110.
    But i am no sure how to put a stop loss at Rs 105 when the current marker price it itself at Rs 105 but my aim is to trigger the stop loss only when i am successfully able to buy the stock at Rs 110.
    The only way i think i can do it is wait first for the buy order to get execute and at that time the price will be automatically equal or greater than Rs 110 so then I can put the stop loss for Rs 105.Right or wrong?
    a) If wrong, please tell me the correct way to do that.
    b) Also, how to use sell order SL-M in this scenario?
    c) Also, what will happen if in scenario 3, I put both the orders simultaneously when the current market price is 105?

    • Nithin Kamath says:

      1. X @ 105, you want to buy for delivery at Rs 100.
      Yes put a limit order with product type as CNC @100, so u r correct
      Yes if stock goes to 103, you can sell it at 103 as product type as CNC and this will be considered as an intraday trade. Yep you are right about using the same product type.

      2. Guess you would have already figured this out, the order type is called bracket and presently not allowed. How you will have to do this is first place a buying at 100 and once it is executed place a SL at 95. If you choose SL-M, when 95 is hit on the exchange a market selling order is sent and if you choose only SL, you have to mention the price at which you have to send this as mentioned in the blog above.

      3. “I have to place one buy order SL/SL-M at trigger price Rs 110 to first buy the stock as the buy order will be triggered at Rs 110.” , yes you are correct. But as I said earlier, you can’t place 2 orders at the same time for examples that you have given. You have to wait for the first to execute and only then place the 2nd.
      As I mentioned earlier the difference between SL and SL-M is that when the trigger is hit in a SL a limit order is sent and in a SL-M a market order is sent.

      Phew!! Hope this clarifies. ๐Ÿ™‚

  60. naveenkumarcse647 says:

    sir i am new to currency future trading ..may be my question is silly but i need some details sir
    suppose i buy usd inr 1 lot at 61.00 today at 4.10 pm i put a stoploss at 60.40 …next day the market opens 60.80 and goes to the 59..in this time weather my order will be close at 60.40…because i put a stop loss in previous day..so it will valid today or not valid…
    if it is not valid kindly help me to put a stop loss for next day also…please forgive my poor english

    • Nithin Kamath says:

      Naveen,

      In India, all stop orders get cancelled at end of the day. So what this means is if you put a stop loss today, it won’t be in the system tomorrow morning. You will have to place this stop loss once again tomorrow morning.

      Cheers,

  61. sahib says:

    sir i am newly joined with Zerodha but don’t know about the zerodha’s software(on pc and Mobile as well), how to use. can u provide a demo by which we can learn to trade. just prove us the link about of intraday and normal orders, how to plave ordets, square off etc
    regards

    • Nithin Kamath says:

      Sahib,

      This section on Z-connect has explanation on each of the things required to know about the trading platform.

      We can have a demo arranged on remote, where someone from our team can call you up and show how to use all features on your system. Do share your client id and send us an email asking for a demo to [email protected]

  62. ethicaldeal says:

    Dear Zerodha

    I want to use a strategy for intraday stocks trading and also index futures. As part of that strategy I need to have a Long position and Short Sell position placed simultaneously. An eg. is such I want to Buy (Long) stock X at 100, I want to sell the X at 101, but want to save myself from loss in case the stock goes down after BUY is executed, so I want to put a Stop Loss.

    Also, simualtaneously I want the Short Sell also to be placed (means short sell if X hits 90, I want to buy to cover at 89 but want to save myself from loss in case the stock goes up after SHORT SELL is executed, so I want to put a Stop Loss

    How can this be done:

    Kindly explain in steps one by one (means 1. first place a buy order with SL-M, 2. after Buy order is executed then…… etc, etc..)

    Regards
    EthicalDeal

    • Nithin Kamath says:

      For your long position:
      1. Place a SL-M buy at 100
      2. Place a Limit selling order at 101
      3. Place a SL-M sell at 99( for limiting loss if executed).

      The issue with this is if your SL-M sell at 99 hits first, you will have a naked short position. So the best way to do this would be to first execute your entry order(point 1) and then place orders 2 and 3 above.

      Similarly for the short position.

      1. Sl-M SElling at 90
      2. Limit buying order at 89
      3. SL-M buying at 91(to cover your loss)

      But again the issue would be the same like above.

      Hope this clarifies.

    • ethicaldeal says:

      Dear Zerodha
      You mentioned “For your long position:
      1. Place a SL-M buy at 100
      2. Place a Limit selling order at 101
      3. Place a SL-M sell at 99( for limiting loss if executed).

      The issue with this is if your SL-M sell at 99 hits first, you will have a naked short position. So the best way to do this would be to first execute your entry order(point 1) and then place orders 2 and 3 above. ”

      In the above explanation, I would go and execute the Buy order at 100 (Per step 1)
      Then you mentioned I go ahead and place Step 2, and then Step 3

      But if I place a Sell -Limit order then it would be considered the “pair” exit order and hence no extra “margin” money would be required (for futures)
      But, somewhere in the Z-Connect blog I read that in order to place the SL-M sell I need to have margin money equal to 99(in this case), is this true ?

      If this is true (and considering I only have 200 rupees in my trading account) then would I be able to put the short sell (SL-M Sell)??

      Kindly explain with respect to margin money and also what happens if I apply this strategy to stocks (equity)?

      Thanks in advance
      EthicalDeal

    • Nithin Kamath says:

      Similar to futures, even when you trade equity no extra margin is blocked if you put 2 exit orders to 1 existing position.

      So if you have Rs 100 in your account and bought 1 share of Rs 100. You can place a target order at Rs 102 and SL order at Rs 98 as long as there is Rs 100 in your trading account.

      Hope this helps,

      • ethicaldeal says:

        Dear Zerodha

        Thank you for clarifying that.
        I had another continuing question, which I would like to ask with a scenario:

        1. If on 13/11/2013, I have 80,000 in my trading account.

        I went ahead and placed a BUY 3 Lot Limit Order (assuming 25000 for 1 lot so 75000 margin for 3 lots for NRML), it got placed but has not been executed.

        In the next second immediately after that, can I go ahead and place a SELL (SHORT) Order for 3 lots of NIFTY Futures ? Or does second SELL (SHORT) Order requires me to have another 75000 as Margin Money in my trading account ?

        Thanks in advance
        EthicalDeal

  63. ethicaldeal says:

    Dear Zerodha

    I thank you very much for clarifying all my question yesterday.
    I would like to place a trade today , basically BUY Nifty Nov 26 future (3 lots), on Product Code (MIS) for Intra Day. My plan is to keep it and if it does not rise, I plan to convert the MIS to NRML.
    I am confused about 2 things, kindly help me with these 2 items:

    1. How much money do I need to have in my Zerodha Trading a/c in case of me changing the product code from MIS to NRML ? (yesterday, it was showing something like 25,000 so for 3 lots it would be max. 76-77000) but now today it is showing something like 95,000 (Span + Exposure) .Kindly clarify what is SPAN and exposure also.

    2. What is the step by step process to convert my BUY (MIS) of 3 lots of NIFTY Future to NRML mode today ?

    3. What is the step by step process to SELL the 3 lots of futures tomorrow (or at a later date prior to expiry)

    4. After I sell the 3 lots (say at a profit of 1000 rupees for eg) then what about my original margin amount? Does this margin amount disappear from my trading account when I buy and then automatically show in my trading account after I sell ?

    I would appreciate your prompt response, since based on your advice I would like to make the trade today (8th Nov 2013) .

    Regards
    EthicalDeal

    • Hanan says:

      1. How much money do I need to have in my Zerodha Trading a/c in case of me changing the product code from MIS to NRML ? (yesterday, it was showing something like 25,000 so for 3 lots it would be max. 76-77000) but now today it is showing something like 95,000 (Span + Exposure) .Kindly clarify what is SPAN and exposure also. tandardized Portfolio Analysis of Risk. 2. What is the step by step process to convert my BUY (MIS) of 3 lots of NIFTY Future to NRML mode today ?tomorrowAnswer: Selling your existing buy positions is called as squaring off position, you can sell it in two prices, either at current market price or at a price higher that current market price. —–If you want to place a sell order higher that the current market price, you need to place a sell order from order entry window(F2). Enter the number of lots you would like to sell at higher price and select the product type as NRML, once the scrip trades at the price you have entered, your order will be executed.

      Hope this gives you the information required.

    • ethicaldeal says:

      Hello Zerodha

      Thank you very much for the detailed explanations, this has cleared all the doubts.

      Thanks
      Ethical Deal

  64. ethicaldeal says:

    Dear Zerodha

    1. My question is that can I short a lot (or 3 or 4 lots) of NIFTY Futures ?
    Means if on 12/11/2013, at 11:20 I buy 3 lots NIFTY futures for price = 100, then where should I look prior to buying to ensure I have enough SPAN and Exposure Margin Money ? Kindly tell me the exact place in NEST Trader.

    2. If I initiate a SELL-Limit at price =100 (or is a stoploss -M see order better?) for 3 lots with product code MIS and then say till 3:10 I see that price is going up (say it is at 101) then I wish to keep it overnight and try to buy back tomorrow. In order to buy back tomorrow (or after 3-4 days) can I do a position conversion to NRML ? If yes (where can I do that?)

    3. Tomorrow, if want to BUY back tomorrow, what are the steps ? Kindly tell the details ?

    Are there any other special requirements or things I need to take care of a SHORT SELL kept overnight ?

    Thanks in advance
    Ethican Deal

    • Hanan says:

      1. My question is that can I short a lot (or 3 or 4 lots) of NIFTY Futures ?
      Means if on 12/11/2013, at 11:20 I buy 3 lots NIFTY futures for price = 100, then where should I look prior to buying to ensure I have enough SPAN and Exposure Margin Money ? Kindly tell me the exact place in NEST Trader.
      Answer: Yes, you can short sell Nifty futures, if you have Rs. 24,765 for one lot, so for 3 lots you need to have Rs. 74025 (3*24765). This margin amount is the same whether you buy or sell Futures. So before you place a trade ensure you have the said margins and then place the order. The easiest place to check margins is here on Zerodha Margin Calculator. To know the margin available in your trading account on ZT, you need to click on Surveillance (you can see this on top of your trading terminal) – RMS Limits – View Limits. This tab of Cash Margin Available will depict your opening balance for the said trade date. In the same window you will see another tab as Margin Used. If the margin used shows Rs.74025 (for 3 lots of Nifty), this margin will be deducted from the cash margin available and the remaining amount will be your fund available for further trading. Click here, for more information on how to check Limit in Zerodha Trader along with snap shots.

      2. If I initiate a SELL-Limit at price =100 (or is a stoploss -M see order better?) for 3 lots with product code MIS and then say till 3:10 I see that price is going up (say it is at 101) then I wish to keep it overnight and try to buy back tomorrow. In order to buy back tomorrow (or after 3-4 days) can I do a position conversion to NRML ? If yes (where can I do that?
      Answer: If you want to hold MIS positions overnight, you can convert the position to NRML before 3:20 PM, if you have the said margin required to hold the position overnight as mentioned in point 1 of your query. If you have sufficient margin and these orders are executed today, you can convert the position to NRML in your Trade Book. Click here, to know more about conversion of position from MIS to NRML and vice versa with snap shots.

      3. Tomorrow, if want to BUY back tomorrow, what are the steps ? Kindly tell the details ?
      Answer: There are two ways to buy back your overnight short position.
      —-If you want to buy your short position at the current market price, you need to press F11 to open the Admin Positions window. Inside this window you need to select Show all Clients below User Option, your client ID is displayed below. Double click your ID, select Netwise from the Daywise/Netwise drop down on your right, and click get positions to see your overnight positions below. Select the position you’d like to square off at market price and click square off. You can see your buy qty and sell qty matching and Net Qty will show NIL.
      —-If you want to place a buy order below the current market price, in your market watch click on the scrip and press F1 and enter the number of qty and price and click submit, the order will show as pending in your order book. Press F3 to check the order book. The order will be executed when the market price reaches your limit price.

      Are there any other special requirements or things I need to take care of a SHORT SELL kept overnight ?
      Answer: For Futures, short sell or buy, you need to have sufficient margins to hold overnight. Kindly note margins are updated on a daily basis, so suggest you click here. Get yourself updated on margins before you place your trade. Hope this gives you the information you require.

      • EthicalDeal says:

        Dear Hanan

        Thank you very much for the clarifications.
        By the way, the links in your reply are not visible/enabled, looks like Zerodha has redesigned the ZConnect blog, maybe this is missed out.

        Thanks
        Ethical Deal

  65. ethicaldeal says:

    dear zerodha

    Please tell me where in NEST system (or anywhere in the internet space) can I get the following at 10 AM of a day:
    1. Previous Trading Day’s Highest
    2. Previous Trading Day’s Lowest

    Thanks
    Ethical Deal

  66. ethicaldeal says:

    dear zerodha

    If I want to SHORT SELL 3 lots of NIFTY at a price ,say 6100 (assuming the SPAN Margin required for NRML transaction is 75000 and total money in my trading account is 90,000), then I would first press F2 and enter a NRML SELL order for 150 quantity. Assume the order is currently not executed (now the price is at 6130 for example) and it is an Open order.
    Question 1
    —————-
    Now, I also want to simultaneously place a BUY 3 lots of NIFTY at 6190, so can I place a BUY order now itself or would the system reject saying that I need to have another 75000 to place this BUY order ?

    Question 2
    —————-
    From one of your previous explanations, I did understand that as soon as a short sell is executed (as above), then the system will allow me to place 2 exit orders simultaneously (i.e. 1 after the other within a couple of seconds difference only), one the Target BUY order and the other is the Stop Loss. The system would not say that I need another 75,000 to place the second exit order (i.e. the Stop Loss) , is that understanding correct?

    Kindly guide me here.

    Thanks
    EthicalDeal

    • Question 1: Since the first order is still not executed, if you place another order for buying at 6190 it will be rejected saying not enough margin.

      Question 2: Yes your understanding is correct.

      Cheers,

  67. ethicaldeal says:

    Dear Zerodha

    Please tell me the exact steps to see the 1 min chart (on NEST PLUS inside the NEST Trader software) for the current trading day, current trading day – 1, current trading day -2. I want to see all these 3 days :
    1. Alone (means, say at a time only want to see current trading day – 1)
    2. Together (means all 3 days chart together)

    Thanks
    EthicalDeal

    • Ethical,

      All charting queries are answered in this Section.

      We show you intraday chart for upto 22 previous days. Click on the contract for which you need to see the chart and click on Shift+P, the intraday chart will open and then you can zoom in and out to your specification. Explanation is on that section of Zconnect…

  68. ethicaldeal says:

    Hello Zerodha

    For the Contract Notes which I get for each trade day, I would like to know the following:

    1. What are Turnover Charges ? What is the basis of its calculation ?

    2. In one of the Reports in the Back Office, I did see a “JV Charge” what is this “JV”?

    3. Could you please let me know the formulae for calculating
    a. Stamp Charge
    b. STT Charge
    c. Service Tax
    d. Education cess
    e. Higher Educational Cess
    f. Turnover Charges
    g. SEBI Charges

    Are all these (3a to 3g) calculated on a per trade basis (BUY Trade or Sell Trade) or on a Per Day basis (for eg. in a day you have placed 2 trades, 1 Buy and 1 Sell )

    Thanks in advance

    EthicalDeal

  69. sandeep says:

    I am new to stock market. Can you please tell me how to place an equity order for bse or nse in the zerodha mobile trading application. Thank you

    • Hanan says:

      Its very easy to place orders on Zerodha Mobile.
      1. Login to the mobile app and tap on the Market Watch icon. If you do not have a market watch icon, simply tap on the Buy/Sell icon.
      2. Choose the scrip you’d like to trade and tap it. A new window opens where you can select buy.
      3. Fill in the data as per your choice and tap Submit.
      This will get your order through.

  70. ethicaldeal says:

    Hello Zerodha

    This is regarding issues I faced with SL-M Buy order today:
    1. I placed a SL-M Buy order for a stkfuture for trigger price 36.20, at the time I submitted it was trading at 35.80 range, as soon as I submitted the order got executed and I got the BUY done for 35.80 ! This is not what I had wanted to happen. What was the problem that happened here ?

    2. Later in the day, I placed another Buy order (SL-M) for the stkfuture with trigger price 35.90 , at that time the it was at 36.20 and it got executed immediately. What was the problem that happened here ? This is a very dangerous situation for me and I am much concerned.

    Please also answer the following queries (I require these for tomorrow’s trade):

    1.
    a. If a stock is trading at 100 but i want to buy it only when it reaches 102, then what order should i put ?

    b. If I got the above BUY executed at 102 and I want to sell at 104 (and only at 104 not more) then what order should I put ?

    2.

    a. If a stock is trading at 100 but i want to buy it only when it reaches 98, then what order should i put ?

    b. If I got the above BUY executed at 98 and I want to sell at 99 (and only at 99 not more) then what order should I put ?

    3.

    a. If a stock is trading at 100 but i want to short sell when it reaches 95, what order should i put so i get it at 95 only?

    b. If I got the above short sell executed at 95 and I want to sell at 93 (and only at 93 not more) then what order should I put ?

    4.
    a. If a stock is trading at 100 but i want to short sell when it reaches 105, what order should i put so that i get it at 105 only ?

    b. If I got the above short sell executed at 105 and I want to sell at 102 (and only at 102 not more) then what order should I put ?

    Kindly assist me to resolve this situation, since if the basic BUY and SELL orders are a problem then it is an issue.

    Thanks
    EthicalDeal

    • Ethical,

      The first order that you placed, SL-M buy with trigger of 36.20 when the market was at 35.90 is the correct way of doing it. The only way this can get executed is if the markets was illiquid and price moved to 36.20 and fell immediately to trigger your buy order.

      The second SL-M order you placed was a wrong order. If market is trading at 36.2 and you place a SL-M buy order with trigger at 35.9, your order will get triggered immediately since the price is lower than your trigger price and will get bought at the best available price. In this case all you had to do was place a limit buying order at price 35.9

      1.
      a. Buy SL-M with trigger 102.
      b. Sell limit with price 104

      2.
      a. Buy limit with price 98
      b. Sell limit at 99.

      3.
      a. Sell Sl with trigger 95.05 and limit price 95. (This because you said you don’t want to place market at 95, but want to sell at exact 95)
      b. Buy limit at 93

      4.
      a. Sell limit at 105
      b. Buy limit at 102.

      Before you trade futures, give it a shot with equity shares, so you can figure this out with practice.

  71. Vijayakumar says:

    Hi Zerodha,

    I was trying to place a sell order with trigger price. But its not getting executed though the market price reaches the trigger price.

    I placed buy order at 9.90 and immediately created sell limit order at 9.95. Though the price reached 9.95, the order is not getting executed and it remains there in open orders list.

    Could you please let me know how to make the order trigger at 9.95?

    Thanks,
    Vijay

  72. Hi Vijay,

    There may have been other orders in queue before your order could get executed, to know for sure if a sell limit order has been executed it has to cross the price ur trigger limit is set at…

    For further info so we can look at your specific case please contact 080-40402020 Ext 106 (RMS Team)

    • Vijayakumar says:

      Hi Nikhil,

      Shouldn’t the order be triggered when the price reaches our trigger price?

      In my case, I placed by limit order at 9.90 and sell limit order at 9.95. After placing the limit order price touched the trigger many times but it did’t get executed.

      Thanks,
      Vijay

      • Vijay,

        When you place a SL limit, there is no guarantee of execution because the order that is getting placed is still a limit order. Only if this limit order is filled completely are you guaranteed execution.

        I’d suggest that if you are trading a liquid stock/contract always use SL-M as mentioned in the blog above. You have a guaranteed execution as soon as the trigger is hit.

        Cheers,

        • Vijayakumar says:

          Hi Nithin,

          Thanks for your response.

          Here is what i want to achieve,

          1) Price is at 9.50 or 9.55. Want to buy when the price reach 9.50 next time.

          2) Price is at 9.50 or 9.55. want to sell when the price reach 9.55 next.

          Please tell me which type i need to use for both buy and sell.

          Thanks..

          • Vijay,

            Just a normal limit order to buy at 9.5 or normal limit order to sell at 9.55 respectively is enough.

            The only issue though is that your order will be in queue at buy 9.5 or at sell 9.55, unless all the orders ahead of queue are executed your order can go pending.

            Hopefully this clarifies

  73. pramod says:

    dear sir, have read above posts and am still in need of some help – trading in equities only.

    have just started to trade on sbicapsec, in stop loss order form there is no option for market or limit so i assume that it has to be limit??

    would the following be a correct way to enter trade for a long position, add SL, trail and exit.

    1. ENTER – Can one enter with a stoploss?

    eg. LTP – 100. i want to enter when it drops close to 98. target is 102.

    i place ORDER 1 – BUY SL with limit price at 98 and trigger 98.25

    correct?

    or do i just place a limit order for 98?

    what should be the difference between the trigger and actual price to make sure trade goes through?

    —- once the above trade is executed – —

    2. ADD SELL STOP LOSS – i place ORDER 2

    trigger price 96 limit price 95.75

    correct?

    3. TRAIL SL – if price moves up i trail up my SL ?

    —–once target achieved—-

    4. i place ORDER 3 – SELL at limit or market price?

    would the above be correct for long positions?

    for GOING SHORT – LTP – 100

    ORDER 1. – SELL SL- L 102, TRIGGER – 101.75 (or just place a SELL limit order)

    —above order executed—

    ORDER 2. – BUY SL- L 103.50 TRIGGER 103.25

    trail SL if price moves down

    —target achieved—-

    ORDER 3. – BUY at market or limit price?

    would the above steps be correct???

    would ORDER 3 be the square off page?

    can order 2 and 3 and trailing SL be on the square off page itself????

    pramod

    • Pramod,

      Don’t know how it works at SBIcap, the blog explains about when trading at Zerodha.

      1. If you want to enter at 98 when market is at 100, you just need to use limit buying order at 98. If you want to buy at 102 when market is at 100 ,that is when you need a SL to enter. When you place a SL order with a limit price there is always a risk of order not getting executed if the price moves suddenly above your limit price. So keep the limit price as far away from the trigger as possible to get guaranteed execution.

      2. Correct. If you want to get guaranteed execution keep trigger at 96 and limit at 90 or something like that.

      3. Yep, you can manually trail by changing your trigger price.

      4. If you want to sell at a price above the market price, just use selling limit order at 102 and you can modify this limit as and when.

      For Short,

      1. Place a limit selling at 102

      2. Buying SL at 103.5 with trigger at 107 or any price much higher than 103.5.

      I haven’t used SBI, so don’t know if it is square off page or not.

      Hope this helps,

      Cheers,

  74. Chandrashekar ganapathyraman says:

    Mr.Nithin, I have been in the market since 1988. I am interested only in Nifty Futures, I have enough experience in F&O. I can get minimum 50-100 points per week. Please suggest, which option margin will be suitable for me : nrml, mis, co. What is the minimum capital required for Nifty index futures. Please reply

    • Chandra,

      If you are 100% intraday trader use the option MIS or CO because you get extra leverage, you need around 10,000 for nifty futures if you use MIS and 8000 for CO. But with both these products you can trade only till 3.20pm and not hold positions overnight.

      If you want to hold positions overnight, use the product type as NRML, requires around 25k per lot.

      To see margins you can visit Zerodha Margins.

  75. pramod says:

    i think i have got the above wrong ๐Ÿ™‚

    so basically to enter a long position above market price and to enter short position below market price – i need a stop loss. in reverse scenario i only need limit price.?

    1. trigger price is higher than limit price in buy stop loss (going long)

    2. trigger price is lower than limit price in sell stop loss (going short)

    and the above two statements hold true also to exit trades on a stop loss??

    please do be patient with me ๐Ÿ™‚

  76. Abhinay says:

    Hi Nithin,

    I have a trading account with zerodha and i use ZT for trading in equity and futures. I have a query regarding placing a stop loss order for short selling a scrip. lets suppose there is a sctock which is currently trading at 101 and I wish to place a stop loss order at 100 using SL-M so that my short sell order gets executed when it touches 100. But when i place this stop loss order it gets executed at the current price of 101. Could you please explain with the help of my example how to place a short sell order which in my case gets executed only when the price drops to 100.

    Regards,
    Abhinay

    • Abhinay, what you are doing is correct, can you double check if you are doing this:

      1. Market is at 101 and you want to sell if price comes to 100.

      2 You place a selling SL-M order with trigger price as 100..

      This is correct, can you try this with a stock tomorrow, and let us know if it didn’t work properly. Will get someone to call you back from our support team.

      Cheers,

      • Abhinay says:

        Nithin, I am doing like the same that I illustrated you above and i did it twice today and at both times my short sell order got executed at the current price and not at the mentioned trigger price when I would have wished the orders to get executed. Could you please help me out with it as it didn’t worked the way I thought. My mobile number is 8446109694.

  77. S.Vasudevan says:

    On 12th Dec I had bought Nifty at 6297 and had put stop loss sell order a little later at 6284 limit and 6285 trigger.But immediately order got executed at 6295 .As market was falling my loss was limited to only 100 but how come order got executed at 6295.I checked order book which said order rate as 6285.

    I wonder if putting limit/stop loss order in system is risky..

    Again if somebody had put buy order at 6285 ,will the system match his buy and my stop loss sell and execute the order at 6285 even though the prevailing rate is 6295.(I had such experience with another broker in options and complaint against broker to SEBI was waste of time as broker reply came to me through NSE and SEBI!)

    • Vasu,

      The only way this SL order that you placed would have gotten executed is if by mistake you had placed the trigger price as 6295 or anything higher. So what would have happened is your trigger would be hit and a selling order of 6285 would be sent to the market. Since the market is at a higher price, it will get sold at 6295, but your order will show as placed at 6285.

      Hopefully this clarifies, if you face this issue again, shoot an email to [email protected], with the snapshots, we will call and help you understand how this works.

      Cheers,

  78. S.Vasudevan says:

    Order book shows trigger price and not limit price….
    No comments on next two paragraphs….
    Not isolated case,look Abhinay above.Thought reply will be after checking pravailing price,order placed etc.Not difficult to trace account no. with email i.d…….

    Hmmm cheers for mechanical reply!

  79. vinu says:

    Nithin
    suppose i put SL-M 101 on say Nifty 6300PE my order will executed immediately at market rate once the price goes down 101.00 rs
    pls clarify

    vinu

  80. Srinivasa m j says:

    Please add stoploss entry in buy /sell window itsself.

  81. Krish says:

    What is the difference between a normal LIMIT buy order and Stop Loss(limit) buy order?
    Lets say a share X is currently trading at price 100, now I want to buy it once the price reaches 105. For this I can place a normal LIMIT buy order with LIMIT price 105 OR I can place a SL-L order by setting the trigger price at 104 and limit price at 105 ? isn’t it correct?
    Can I place a Stop Loss alone for buying share for the first time -I mean without placing a normal order can I use stop loss orders for buy/sell – is there any restriction?

    Also please can you help with the below requirement:

    Share X
    LTP 343

    1. I want to buy X if it goes up to 346 and put a sell SL-L 343 and exit sell LIMIT order at 350
    2. I also want to short sell X if price comes down to 341 and buy SL-L 343 and exit buy LIMIT order at 337

    For 1, my idea is
    Place a normal LIMIT buy order with a LIMIT 346
    Place a sell SL-L order with a Trg Price 344 and limit price 343
    Place an exit order with LIMIT 350

    However it may happen that the price reaches 344 and Stop Loss gets triggered first( as i believe the SL doesn’t have any dependency whether the normal order was executed or not) , so I’ll be left with Short sell position -isn’t that correct?

    • Krish,

      If a share is trading at Rs 100 and if you place a normal limit buying order at 105, it will get bought immediately at market price, and hence you need to use SL for such situations where you have to buy above the market price of a stock.

      If you keep trigger at 104 and limit as 105 for your SL order, what this means is that as soon as the price of the stock goes to 104, your buying order is triggered and a buy order with limit price of 105 is sent to the market. If you do that, it might just get bought at 104 itself. If you want to buy only above 105, you need to keep the trigger price at 105, and limit at probably 105.05 or use SL-M with trigger as 105.

      Share X, LTP at 343,

      1. SL buy order with trigger price at 346. And only once this buy is executed should you place the others, which is Limit selling at 350 and SL Selling at 343.
      2. SL selling order with trigger at 341, and only once this is executed, Buying limit at 337 and SL buy order at 343.

      Hopefully this clarifies

  82. TheStockaddict says:

    HI:)
    Suppose I bought a stock at 100.

    1. I want to place a SELL order at 103.

    If the stock quickly moves up quickly above 103,

    a. What are the chances that a LIMIT SELL order at 103 will not be executed?
    (Since i heard LIMIT orders are in a queue and are first come first serve)

    b. What are the chances that a SL SELL order will not be executed with trigger at 103.05 and LIMIT price at 103?
    (Since this is only a 5 paisa difference and can still be skipped)

    c. Is it safer to put a SL SELL order with 103 trigger price and 102 LIMIT sell price?

  83. Harry says:

    Hi Nitin,

    I am into commodity trading having experience of around 3 yrs with several brokerage firms. As I was looking into Zerodha’s pricing structure in the commodity segment, I found it strange why the company is charging service tax (@12.36%) on the so-called “Total Transaction Charge” (which for MCX, is simply Turnover Charges and not liable for taxes by law). Only the Brokerage amount needs to be taxed as per the rate of 12.36%.

    Can you please help me understand why is this unnecessary taxing of the Turnover charges being levied by Zerodha ?

    Note – 12.36% is the combined tax (Service Tax + Edu. Cess + Higher Edu. Cess)

    Thanks!

    • Harry, Service tax is charged on any fees that is charged as a service, so this includes both brokerage and other charges. There is no tax on a tax, hence there is no service tax on STT or CTT. The total transaction charges include, exchange charges and clearing member charges. We are not clearing members at the exchange, and use a third party (ILFS) for clearing services.

      Service tax of 12.36% is on every service, by the broker, by the exchange or the clearing member.

      • Harry says:

        Nithin,

        Thanks for your quick response !!

        Now your business model makes more sense to me, as you use a third party ILFS service, hence the transaction (read turnover) charges are also where you are actually making some bugs, apart from the minimal brokerage charge (40 per round trade – buy and sell).

        As per MCX circular (http://www.mcx-sx.com/downloads/Circulars/CircularDownloads/Circular_1006.pdf), the max transaction charges (if monthly traded volume < 1000 cr) are Rs. 400 per crore + 49 (@12.36% taxes) = max Rs. 450 per cr.

        Note – Rs.450 is the max turnover charge any brokering house is charging currently.

        The transaction (or turnover) charges that Zerodha is charging is Rs. 440 per crore + 54 (@12.36% taxes) = around Rs. 494 per cr.

        So overall in % brokerage terms, Zerodha comes out to be offering the brokerage of 0.0035% or Rs.350 per crore of volume. This may not be the least brokerage in the market but is certainly an amazing discount offer to any newie trader.

        Hats off to you for providing a brilliant opportunity to all traders!!

        • Harry says:

          Correction…

          At present, the MCX is charging turnover charges (incase monthly trading volume < 1000 cr) = Rs. 200 + 30 (taxes) = Rs 230 per cr (at max)

          I am sure Zerodha's trading volumes are easily greater than 1000 cr on any normal trading day, so these charges are further reduced.

          Although you are actually charging the traders Rs. 494 per cr i.e. much more than even double the actual turnover charges taken by MCX.

          There is certainly a big room for the company for further reduction in charges and still be much profitable.

          What do you think on that ?

          Thanks!

          • Harry,

            Commodities turnover on the exchange itself is around 30,000 to 40,000 crores, out of which 70% of turnover would be arbitrage and prop trading. We are no way close to 1000 crores per day on commodity. As I mentioned earlier, we use a 3rd party for clearing services and there is a clearing member charge which is charged over and above exchange charges. But yes, as and when our volumes pick up, this charge will definitely drop..We are hoping the volumes will pick up once we launch our new trading platform.

  84. prabhath says:

    Hi Nitin

    Is there a way to SL order on the underlying instrument and not the premium? Eg. Nifty spot price is 6266 and I want the SL to trigger if the price falls to 6200 regardless of the premium. Is it possible?

    thank you

  85. Peter says:

    Someone help I want to place AMO with stoploss order

    Here is my problem :

    I have 6300CE and 6400CE, because of some meeting I could not watch market on Friday… LTP of 6300CE is 32.50 and 6.40 for 6400CE, so if I place AMO order with SL-M trigger price 32.50 for 6300CE and 6.4 for 6400CE, What price it will be sold on monday ? I feel market won’t grow since global market is red and sgx is at 6180. Whether I get 32.50 and 6.4 since its AMO order ? if I would have seen market on Monday would have sold it.

    Please someone reply me before Sunday night (26-01-2014)

    • Peter,

      If you place SL-M as an AMO, when the order first goes to the exchange on Monday morning, it will be like a market selling order if markets have come down as you have expected. What price it gets executed, will depend on the price of 6300 CE and 6400 CE when opens monday morning. So if 6300CE opens at Rs 28, your order will get executed at 28, so there is no guarantee at what price it will get executed as it will be just like a market selling order. Hopefully this clarifies.

  86. Peter says:

    Thank you so much Nitin.

  87. kishan says:

    can u place entry order if i can how can i do it. for example i want to place entry order to sell nifty at 6060 and stop loss at 6070, can i get information regarding this

    • Kishan check this blog, yes you can place both these orders at the same time, but you will need margins separately for both these orders. Once your selling at 6060 is executed, there won’t be any margin blocked for the stop loss order. But until your sell at 6060 is executed, you will need margin for both orders separately. So all you have to do is Choose Sell limit order keep limit price at 6060, and Sell SL-M order with trigger price 6070.

  88. c.n.krishnamurthy says:

    Is there a facility for placing trailing stop loss order ? If available, how to place it /

  89. Nithin ..i have one question…

    Fir instance, say i buy Nifty futures at 6000 … i want to sell it at a profit of 50points…
    I place a sell order at 6050 …but at the same time, i want to limit my loss to 20 points… so i put a SL at 5980 …

    say i have to go out for some work, I leave the order as is,…now if 6050 comes and i get in profit of 50points,,,and then nifty falls 100 points to 5900 …does the SL order also get executed??

    If yes, should’nt one order get cancelled if other hits? Pleas clarify …

    • Ritesh,

      Yes once your target is met, and if the price drops your SL at 5980 also gets executed. That is the limitation.

      The order type, where one cancels other that you are talking about is called a “Bracket Order”, and unfortunately exchange considers them as an algo, since one automatically cancels the other. We have been fighting out at the exchanges saying it is an important feature to have, and hopefully we will get approvals for this one day.

      Cheers,

  90. vivek says:

    this might be a stupid question but anyways, for eg: larsentoubro futures are trading at cmp= 1020 rs and i plan to buy when it reaches 1030 so i put in an SL-M buy order with the trigger price of 1030, now can i also enter a stop loss SL-M sell order at, say 1025 rs, the time of entering the buy order. And of course this order (the one at 1025)should stay dormant and invisible until the market goes up to 1030 and my buy stop entry is activated. sort of like one-activates-the-other order

    • Vivek,

      Not a stupid question ๐Ÿ™‚ , presently this would not be possible, but we are launching a new order type where you should be able to do this. Do follow Zconnect, we will be announcing this very soon.

      Cheers,

  91. Todd says:

    Hi Nithin, ist of all thanks alot for clearing my many doubts related to Stop loss !!

    My question may be sound same as ” pradi ” asked Earlier for “Future”.
    But Need to have a clear idea before execute Stop loss, in case of ” Equity “.

    Real time Example(This Execution not related to any NFO/CDS):

    i am using product type CNC ( EQ – Equity).
    ==================================

    Bought 10pcs SBI @1487 . will be selling in the same day.

    *** The price has gone up in my favour . Current LTP is ( Trading price ) Rs. 1495.

    Now i am predicting the LTP may hit 1500.

    inspite of using Limit can i sell it using SL/ SL-M ?

    i.e. – if i put a stop loss (SL) with trigger [email protected] & Sell price [email protected]

    will it be a valid SL submission ?

    if yes :
    =====
    Tried couple of times on NSE Now platform with Zerodha.
    Result i am getting is :

    The execution getting converted to ” LIMIT ” Sell @1494 .
    Lost booking higher Benefit Couple times as it was sold @ 1494.

    If No:
    ====
    Please Suggest a the solution under this scenario.

    Hope you would be kind enough to discuss it clearly considering “Equity trading under product type CNC .”

    If possible please Put light on ” Trailing” Stop Loss in Equity. Specially How to submit it in Zero, using CNC?

    • Todd,

      Once you have bought at 1487, if you want to exit this at a higher price, you need to use a sell order and not a SL order. So in the example when it was 1495, you just need to place another limit selling order for 1500.

      SL/SL-M orders are used to limit losses, so for example if at 1495, you want to make sure that if the price comes down to 1490 you want to exit, place SL-M with a trigger price of 1490. If you place SL in such a case with a higher trigger price which I guess you have done, it will automatically become a limit selling order with the trigger as the limit price.

      It doesn’t matter if you enter a position using limit/market, you can exit it either using Limit/Market/SL.

      Hopefully this clarifies.

      • Also, it remains the same immaterial of what you trade, equity, futures options, commodities, or currency. The same rule above applies.

        Trailing stop loss is basically if you have bought at 1487, and LTP is 1495, you place a SL at 1490 so that in case the stock starts going down you get out at 1490. If the LTP is now 1500, you change your SL from 1490 to 1495, this is called as trailing a stop. Presently it has to be done manually, but we will soon be launching a new order type, where it can be done automatically.

        Cheers,

  92. Vinodh says:

    Hello,

    If I do short sell in options is there any time limit to buy back that stock or I can hold it till expiry… More information needed in this topic… Thanks in advance…

  93. shashankde says:

    Hello,

    In Tradeexpress , m not able to place “SL-M” order. The available options are “Limit”,”Market” and “SL-L”
    is SL-M type not supported in tradeexpress ?
    Even the AMO page is not showing the “SL-M” option ?

    Thanks,
    Shashank

    • Hanan says:

      We’ve rechecked your account and you should be able to place SL-M orders through TradeXpress now. Check it out. If it doesn’t work, do call us during market hours itself so we can have this fixed immediately for your account.

  94. GPbhat says:

    Dea zerodha team,

    I am using now platform in android, and my trading segment is option.
    I have problem…….
    Buy 12200 [email protected] 160 was executed and current price of the position is 170.
    I would like to put 2 order… 1. Target of sell 180 and 2. SL of 165. so that I will not make any loss.

    out of the 2 option I am able to do only 1 whereas zerodha support team says without margin block I am able to put 2 sell order.

    The error I am getting is the 2nd sell order asks 1:8-9 times margin and its rejected.

    Kindly clarify.

  95. Prabhu Ram says:

    What is the difference between Order No and Trade No in the Contract Note and their rationale and numbering system?
    From the Contract Notes, I infer Trade No is the sequential number assigned to stocks for the day while Order No seems to be connected either with the stock or the dealer. Information on how they are allocated would be quite useful.

    Also, regarding the time of execution of order, could I get the milliseconds data at which my order gets executed (I only get the time only up to the nearest second)

  96. Determined says:

    I have been reading all the past posts. Many of my questions are already answered above, but still 4 clarifications I would request you to provide:

    1. On March 5 above, Mr Nitin Kamath suggested that Zerodha is coming up with a new order type, where there can be a dormant order, which can become activated after another preceding order gets executed. Suppose NIFTY is at 6850, and I have already placed a SL Short order when it hits down 6830. Can I also place another Buy/Cover order NOW, to be activated when Nifty comes back to 6850 after the Sell [email protected] gets executed? Will this be possible in the new Order Type, and when can we expect this?
    What I intend to do is to always have NIFTY LONG positions > 6850 and NIFTY short positions < 6830.

    2. You also suggested some months back that right now it is NOT possible to place Bracket Orders (Buy, Target, SL) wherein after squaring off a position at Target Price, the SL order (to restrict downside loss) automatically cancels. Will it be possible anytime soon?

    3. You provide Cover Order Margin Reduction facility on Futures. Is it for Intra-Day only, or for overnight covered holdings also?

    4. Is the Margin requirement Reduction facility for Cover Orders available in OPTIONS writing also?

    Thanks.

    • Yes you can have a SL selling with trigger at 6830 and SL buying with trigger at 6850, the only thing that will happen with this is that margin will be blocked extra for the second exit order.
      We have already launched Bracket and Trailing SL, check this blog.
      For intraday only.
      Yes margin reduction on cover orders is for option writing also, check our calculator.

  97. Jayasri says:

    Hi Nithin,
    Can you tell me how to place AMO & PMO in mobile app.

  98. Krishna says:

    hi nithin,
    can I modify trigger prize of cover order if so please explain.

  99. nirbhay kumar says:

    sir i am buy a share i100 per piece sir hum profit 5 lena chahte hai aur loss ho to 3 toh kaise stop loss market lagayenge

  100. Bethu Krupa says:

    Dear sir,
    How to exit/square off existing options positions (Puts and Call) using SL orders.

    • Can you be a little more specific with the question, probably with an example?

      • Bethu Krupa says:

        1.For example I bought some xyz option call @ 50 and I want to square of the same @70 using SL order.
        2. Some xyz option call present price is @50, I want to put a buy call which should be executed @ 70. Is it possible, pls explain me.

        • Bethu Krupa says:

          Sorry,

          1.For example I bought some xyz option call @ 50 and I want to square of the same @70 using SL order.
          2. Some xyz option call present price is @50, I want to place a buy call which should be executed @ 70. Is it possible, pls explain me.

          • 1. If you have already bought at 50 and want to exit at 70, you just have to place a normal selling limit order with price at 70.

            2. If you haven’t bought anything yet and want to buy [email protected] 70, then use Stoploss buying order with trigger price as 70. Your order will be sent to buy only when call option trades at 70 or above, you can choose if you want this order to be sent as Limit or Market by choosing SL or SL-M respectively. If you choose SL, you will have to mention the limit price.

          • Bethu Krupa says:

            Thank you sir,
            But i have some doubts about margin money on first point.
            If i bought one lot of Nifty 6750 CE at 250, the amount will be 250X50. I want to square off the position when price goes to 275 by Stop Loss order. As per above conversation, I have to place Nifty 6750 CE sell order at 275, the amount will be 6750 X 50. Is it right? if not pls explain me with example SL sell order.

  101. REHAN KHAN says:

    Hi,
    for ex..
    if i buy a stock for 100 and i place a target order at 105 and i place a SL order at 95 and 94, market rate is 100..
    suddenly if the price falls to 90, my sl will be pending.. as it dint came to my price range i,e 95-94..
    now ther will be two target order will be pending…. what happens in this case.
    and if i ve margin then will my both the orders will get executed

    • Rehan

      When the price falls to 90,if you have a stop loss market order (SL-M), your stop loss will get executed at best market price once the price comes below 95. But since you have mentioned 95 and 94, I guess you are talking about a normal stop loss with a limit price. Yes in such a case both orders will be pending and if you have enough margin and you don’t cancel them, both can get executed.

  102. pankaj says:

    I purchased 200 stock @100 and after sometime the current price is @110 and I’m expecting it will go to @120

    Now how to set the SELL order for this as I will not monitor the stock for few hours
    SELL 200 stock if price comes down to @105
    SELL 200 stock if price goes to @120

    LIMIT SELL order will not serve the purpose as it may not sell the 200 stocks

    • The only way to do this would be

      1. Place a Limit selling order at 120 (there is no other way to do this, if you think not all 200 will get executed at 120, place it a little lower say at 119)

      2. Place a SL or SL-M order at 105

      The only thing that you need to remember is that if one of the above gets executed, the other doesn’t get cancelled automatically, you will have to manually cancel the other pending order.

  103. ravi says:

    Suppose i bought @100. i want to put SL-M @95, & at same time i want to enter in a fresh position of [email protected] 95 .Is this possible? can i combine 2 sell order @ 95 in a single order? what ud be margin requirement? i am talking of MCX .

  104. sunny charak says:

    if i want to buy a call above 17.10 and stoploss is 15.15 and present cmp is 16.7 then how to place order

    • If you want to buy above 17.1, you can place a SL-M(buying) with trigger price as 17.1. This order will get bought only once price goes to 17.1 or higher.

      Once this order is executed, you can place a SL-M (Selling) with trigger as 15.15, this will not act as a stoploss order.

      Both of the above can’t be placed at same time.

  105. Praveen says:

    hello sir sorry to ask u this type of silly question but i have doubt in stop loss buy or sell orders

    Please tell me what will happen in this case

    Lets say ICICIBANK is trading at 1470. I want to buy it only above 1480 or i will short it only below 1460. Now let say i put a SL buy order of 50 shares of ICICIBANK at 1480 and put another SL sell order of 50 ICICIBANK at 1460. Now lets say both of my orders are pending but after 1 hour buy order got activated then will my SL short order will act as target order, because i bought ICICI at 1480 and system may think my Stoploss short order as target order and sell my ICICIBANK shares at best 5 bid offer then i will suffer a loss.

    • Hanan says:

      Praveen, if you have put in two orders, a SL Buy and SL Sell order in the system at 1480 and 1460 respectively, and if 1480 gets executed first then the SL Sell order of 1480 will be your Stoploss for your buy position. You will have to place a fresh target order for this.

  106. Rahul says:

    I read all the above posts but still I have some queries

    CMP=100
    1)Suppose I want to buy stocks only if it crosses 110 and pay not more than 120
    As of now my understanding is as below
    Trigger price=110
    Limit = 120

    I am right or wrong. If wrong then please suggest the correct way

    2)Suppose I have bought stocks at 110
    I want sell it it crosses 90 and incur loss(pay) not more than 80

    Trigger=90
    Limit=80

    I am right or wrong. If wrong then please suggest the correct way

    3)Think I have bought same company stocks at two different times
    First time 10 stocks of ABC company at 100
    Second time 10 stocks of ABC company at 140
    Now CMP=200 and I want to sell 12 stocks of ABC company.
    I want to place sell order such that 10 stocks of Rs 140 is sold and 2 stocks of Rs 100 is sold
    How to do this?

    • 1. Yes you are correct, you need to use a buying SL order
      2. Yes you are correct, you need to use a selling SL order
      3. When you have bought 10 + 10 stocks, your account will have 20 stocks at an average price of Rs 120. There will be no way possible for you to differentiate which was bought at what price. So in your example, since you want to sell 12 shares, you just have to place a limit/market order to sell at whatever price you wish.

  107. soumik says:

    HI nithin,
    As i understand that while buying a stock using zerodha i have to give 3 orders separately
    1.Buy order
    2.SL-buy order
    3 SL-Selling ordere
    however in some trading platfeorm we can give these order simultaneously
    is it possible to give these 3 order at a time in zerodha?
    plz clarify. thanks for your prompt response every time

  108. Priya Agarwal says:

    Sir i have bought some stocks of a particular company at rs 3.60. Now i want to place a stop loss order. i was unknown to it earlier. I want if the price goes down below 3.10 the stock got sold automatically. How can it happen??

    • Priya, the blog post explains how to use it, place a SL or SL-M order with trigger price as 3.1 , remember that all SL orders get cancelled by end of day. If you use SL-M, as soon as 3.1 price comes on market, a market order to sell is placed and if you use SL along with trigger price you need to mention a limit price below 3.1 at which you want the order to be executed.

  109. AG says:

    Hi,
    I am a equity trader. And wanted to trade options and my search for a cost effective broker brought me here. I have already downloaded and mailed my Ac opening form to you.
    Now I have a query regarding risk management in options :

    primarily I want to trade options on the buy side and my query is how to decide the stop loss ?

    Suppose I see Nifty (at 7500) and feel it would go to 7700 and decide to buy OTM call of 7600 at say 20 (hypothetical). How do I decide the stop loss? Say if the underlying goes to 7400 I would quit.

    So How do I decide the stop loss : Do I use the underlying price of Nifty as exit or stop loss and if so then how do I decide my risk per trade.

    Basically if I buy a call at 20 and then how I decide the stop loss and target with reference to this price of 20 .
    As I cannot tell how much the option will quote once Nifty touch my Stop loss of 7400. This makes risk management redundant or is their something I don’t know. Please clarify.

    • AG,

      If you are buying out OTM like you have mentioned, most of the premium is the time value as there is no intrinsic value to the option. So it is very tricky to put a SL on the premium based on how the price of underlying moves. There could be times when market falls but call premium doesn’t because the volatility of the market would have increased. So you will have to keep a SL on the premium itself based on the risk you are willing to take.

  110. Subin Babu says:

    Hi Nithin
    Can I place stop loss for Cash And Carry tades??How I can trail my stop loss in Cash And Carry??

    Appreciate your help
    Thanks
    Subin Babu

    • You will have to put a SL order every day. So assuming you have 100 shares of Reliance bought at 1000 and you want a SL of Rs 50 or 5%. Everyday, you will have to place a new fresh SL order with product type as CNC and for 100 shares and trigger price of Rs 50 or whatever you choose below the previous day market closing price.

  111. nilima says:

    Hi,

    please explain me , For SL/SL-M which product i have to type CNC or MIS to buy stock nd for selling SL stck

  112. nilima says:

    Hi,
    please explain me i have 1000rs and i would like to buy stock which are 50rs and i would like to share 20 . so in this cause i axpect to loss 5% only. than how would i enter the money in buy order & sell order with SL please explain me with simple method.

    • 1st step, use a buying order (F1) to buy your 20 shares at Rs 50.
      2nd step, once the above order is executed, use a selling order and in the dropdown where you see limit,market,SL,SL-M, choose either SL or SL-M and enter a trigger price. Since you want to stoploss at 4%, your trigger could be Rs 48 ( 5% reduced from Rs 50). You can’t mention trigger in %’s

  113. nilima says:

    thank you Nithin

  114. Ajay Bhatia says:

    Sir, I am positional trader. I have open position in say 8 commodities. Every morning I wish to place my SL orders and Sell/Buy to cover my position level orders.
    My question :
    Can I place these orders before market opens? If yes!, where in queue is my order? And at what earliest time can I do it ?
    If I cannot place orders before market opens, then is there any method by which I can keep all my orders ready to be placed and do it in One go all the orders for 8 commodities once the market opens. I have been told that in CME one can place orders for multiple items in one go through a software wherein you can prepare and keep the levels ready to be placed!
    Can I place these orders just before the market closes and keep it valid for next day?

    • Ajay, yes it is possible, check this post on how to use AMO orders.

      Even if you want to place orders for multiple stocks at a time, it is possible via basket orders. Check this for basket orders.

      It is best to place AMO before market opens or after market closing. In both the above orders, when placed first thing at opening there is a huge rush in the market and you would be in queue for orders to be placed. Can’t really say where in queue will be your order.

  115. Anjani says:

    What is the difference between SL and SL-L?

    • Anjani SL and SL-L are both the same, where you need to mention the trigger and limit price.

      SL-M is where you need trigger price, but orders get executed at market when trigger is hit.

  116. babloo_mistri says:

    Theres no SL-M, currently visible on my BSE sell order, After repeated mails(support request #544862) and one final call to customer care 10 mins ago, what response i got was SL-M is not available for BSE!!!….seriously this is just plain disturbing on so many levels

  117. abhishek shah says:

    Please help on following scenario:

    Suppose usd/inr cmp is 60.24

    Now I wanted to put in two buy/sell trades

    1. Buy at 60.32 [email protected] [email protected]

    2. Sell at 60.09 [email protected] [email protected]

    Question:

    (A) How to place this both order…
    (B) which order type is suitable SLM or limit or SL
    (C) how to give order price, target & stop loss at once ??
    (D) how much no. Of order I have to place 2 or 4 ?

  118. prabhath says:

    Can I place separate buy and sell limit orders on the same instrument?
    Eg: buy Nifty futures @7800 SL 7700 target 7825
    sell Nifty futures @7780 SL 7880 target 7755

    I want these two orders to be two separate transactions. i.e. if my buy order gets executed @ 7800 and then the price drops to 7775 it should not get squired off because I have a separate Sell order @ 7780. This order should get executed as a separate transaction. In effect I will have 1 lot nifty future bought and 1 short sold at the same time

    Is this possible?

    • Prabhath,

      This will be possible if you can run one trade using product type as MIS and the other as product type as NRML. If you are trying to run using the same product type, opposite positions will cancel each other out and is not possible. But note that all orders placed as MIS get squared off at 3.20pm, so even if you do something like above, it will be possible only for intraday.

  119. VamsiKiran says:

    Let’s say, Now the current market rate is 100, I have placed a SL-M order with trigger price as 105.
    Will you please explain me what happens in this situation?

  120. Milind says:

    Dear Sir,
    How can I convert margin trade (MIS) to cash and carry (CNC) to avoid immediate loss. In ICICI Direct there is one button “convert to delivery”. please explain in buy as well as short sell condition
    Milind

  121. Milind says:

    Can I put order for selling shares which I bought in cash and carry (CNC). the order should remain live until execution “good till execution” irrespective of time horizon

    • Milind all orders are GTD (good till day), so if your order is not executed by end of day, it will get cancelled. Exchanges in India still don’t accept good till cancelled orders.

  122. VIJAYAN says:

    Nitin ji,

    I believe that you are working on a system where one can place Bracket order with SL-L option. Currently, a bracket order can be placed with Limit order only. Please update on this.

  123. nishant garg says:

    sir , today my adviser told me to buy uco bank which is trading at 102 , above 103 because if it goes above 103 it will give the movement , sir the question is which type of order is to used so that my order will automatically gets executed at 103 when the stock reaches 103 , { i tried limit order but it does not work because uco bank got buy at 103 even when the stock is trading at 102 ]

  124. Sajeev says:

    For stocks can SLTP be setup through After Market Orders for the next day’s trading… For eg. Reliance has closed today at 1006 and if it goes above 1012 tomorrow then it should be bought…. Also can After Market Order SLTP be set up for T2T stocks?

    Thanks,

    Sajeev

  125. raj says:

    is it possible to set a trigger on share with both limit..i.e-share cost is 100/- setting limit is 95/- and 115 upper limit…..on same if share goes high on 115/- it is purchased and 95/- to selling …is it possible????? on the same share at one time…

  126. raj says:

    one more question………who is better for online trading ventura or smc??? plz tell me …i am a student and i want to invest small amount of money as a learner to see market ….what things to keep in mind…??? plzz sir i will be thankful to you….

  127. raj says:

    okk fine sir….with respect to say…will u please tell how u r better than smc or ventura….as i have mentioned that i m a begaineer,so i m researching which one is better….may be u r fit for me …but i want to detail..how u r better than above…….plz sir i will happy to join u…bt clear my doubt

  128. Arun Mathur says:

    on above all queries can u make a video (Bigners Bible ) which helps to understand more easy.

    to cover north make it in Hindi

    Warm Regards

    Arun

  129. virender kumar singh says:

    Sir I placed sell stop loss limit order for aluminium with limit price 126.6 and trigger price @126.65. The sell order executed at 126.65 instead of 126.6 as the order is limit not market.

    • When the order is triggered if price available in the market is higher than your limit price, you will get the benefit of it. So in your case, when the trigger was hit at 126.65, a limit selling order at 126.6 would be sent to the market. When the selling at 126.6 hits the exchange, if the best bid is 126.65, your order will get sold at 126.65 as it is a better rate.

  130. raj says:

    Sir ,if one share price Rs10. it is showing 52 week low and the face value of the share is 15 rupee, so if company will delisted from nse than it is possible that someone get 5rupee profit on per share……or any other thing will happen tell me sir……

    • Raj…though the Face Value (nominal value) is Rs.15, the open market is valuing the company at Rs.10.

      That apart when a company wants to delist its shares, the shareholders will benefit because by regulation the company is supposed to buy back shares at a significant premium. Have a look at this – http://www.sebi.gov.in/cms/sebi_data/attachdocs/1293085858352.pdf

      Because of this clause, lot of companies find it easier (financially) to stay listed than de-listing their shares. Classic examples – Honeywell Automation, Coagra etc.

  131. raj says:

    and also in some cases i have seen that it is written company is not trading in NSE …what happen if some one purchase share below face value after that this line is quoting “”Company is not trading in NSE””” only in BSE……what can some one do…plzz reply both doubt……..thnx in adv

  132. raj says:

    okk thnx …..it means NSE share can be sell at BSE……….sir , i have more doubt will u clear it on phone call…..as i am a fresher…

  133. raj says:

    will you tell me if some share is quoting 52-week low after some time start increasing……it is showing whole day at a fix point no flactuation……what does it means……..can we buy or sell that type of share for delivery……Best Example :-C Mahendra, Bhusan Steel….plz clear my doubt …………..thnx in adv……

  134. raj says:

    tell me sir can we buy or sell..

    .if a share is showing whole day at a fix point no flactuationโ€ฆโ€ฆwhat does it meansโ€ฆโ€ฆ..can we buy or sell that type of share for deliveryโ€ฆโ€ฆBest Example :-C Mahendra, Bhusan Steelโ€ฆ.

    given link is ambiguious…where to ask…where to get ans…… so plz reply sir…..
    i will be thankful to you……plzzzzz

    • Raj, every stock has a circuit limit (stocks which don’t trade on F&O), for example Bhushan steel presently has a circuit limit of 5%. This circuit limit is put by the exchange to ensure there is no manipulation in stocks, it is usually a 20% limit, but as the volatility increases it can come down to 5%.

      What this means is, if Bhushan Steel stock price is Rs 100, the price for the day can’t go either above 105 or below 95. If assuming during the day it goes to 105, it is called as hitting the upper circuit. So unless people sell shares, the price will stay constant at this price without fluctuation for the rest of the day. This is what you are seeing on these two stocks now.

  135. raj says:

    thnx……sir ….important answer

  136. raj says:

    r u providing android apps for trading on mobile???????/

  137. S Roy says:

    Does Stop Loss trigger on quoted price or on LTP?

  138. varun raj says:

    sir,i have few queries…1)can we place a buy/sell order for intraday trading during pre-opening session(btw 9-9:08)?
    2)is it possible to do the same if we use margin(buying/seeling with margin(as in sharekhan))?
    3)can we place limit orders in pre-open session?

  139. rahul says:

    Hi nithin, I am shocked using ur mobile platform nest trader for trading. Crompton greaves nse was trading around 205 . I set the buy call with Sl-M option having trigger price as 204.86. But when this transaction was executed my average buying price for this stock is 208.1 . Could you please explain me what went wrong. Below is the order id ID141009000011162

    • Hanan says:

      Well, this is because you had placed a SL-M order. This usually happens if there is lesser liquidity on a particular scrip and there are no counter parties at the price you saw. On the screen you’d have seen 205 and placed a SL-M, but the actual seller was available only for 208.1. I would suggest you place a SL-Limit order to avoid such variance in price.

      Check this out on Trading Q&A.

  140. Pramod Kumar says:

    Hi Nithin,

    I just joined Zerodha and i am new in this world. I have some question regarding Stop Loss.

    1. I bought some Share(say x @Rs 100) and want to keep this for some more week.
    Currently it is trading at say 106 and i do not want to lose my gain margin say below 104.
    For that i placed a SL-M sell order with trigger price of 104 on 13/10/12, so this SL-M sell order will be valid for next coming days also or i have to put one new fresh SL-M order next day?

    2. How to put bracket order on Zerodha platform? Is it also valid for delivery based Equity or only valid for intraday?

    -Pramod

  141. milan says:

    Hi

    I want to place buy market orderwith stop loss of 95(cmp : 100). Can I do this is one trade itself? Or I need to seperately put stop loss order of 95? Is margin blocked seperately for both? Or stop loss order is not charged any margin?

  142. Robin says:

    Hi Nithin.
    Please introduce Trailing Stoploss also. (as currently available in Bracket Order)

  143. vishyvishy says:

    Hi there,

    I want to create a shortcut key for SL-M Buy Order as Shift + F1
    Similarly I want to create a shortcut key for SL-M Sell Order as Shift + F2

    I want this customization in Zerodha NEST Trader.
    Is it possible? If yes then please tell how?

    Alt + H is leading me to Nowhere.
    So please guide

    • Hanan says:

      There’s no shortcut option for you to buy/sell as SL-M. However, there’s always a workaround…

      1. Go to Preferences… Ctrl + P on Zerodha Trader.
      2. On Preferences, choose Order from the left side menu.
      3. On Order, choose “Exchg Seg” drop-down on top. Choose the exchange you wish.
      4. On the right side, under “Default Values” choose order type as SL-M.
      5. Click Apply and OK.

      Now all your orders will go as SL-M into the system.

  144. Girish says:

    In options, suppose if index nifty CE 8500 is trading @114, I want to buy it when this value goes up to 120. As per the articles n explanation provided on ur website, I understand that I have to use SL-M for this kind of order, so system will buy it when the value clicks on 120.
    My doubt is why use SL-M and why not SL-L? Whats the basic difference between SL-M and SL-L? As said value is at 114 and if it reaches 120, logically Market or Limit order should not matter is my guess. Please guide.

    • If you use SL-L at 120 trigger and a limit price of 120.5, when the trigger is hit a buying order is sent with a limit price of 120.5 and since it is a limit order, there is a chance that the order can go pending if there is a big move in the market. But with SL-M when 120 trigger is hit, a market order is sent, so guaranteeing you a fill.

  145. amit says:

    sir
    i am learning the basics of trading right now

    my query is regarding placing a profit order in case i am unable to attend to market but has some open position

    i bought bpcl 150 quantity at 765 levels ….i expect the stock to move to769.5- 770 levels..is their any way to place a order that bpcl got sold once it reaches the target levels

    plz reply thanks
    amit

  146. Sukesh says:

    Hi,

    If i place a buy/sell market order, is it matched with only other sell/buy limit order?

    I am just curious to know can a buy/sell market order be matched with another sell/buy market order?

    If 2 market orders can be matched and a trade can be executed, what would be the price at which the trade gets executed?

    Thanks

  147. Sukesh says:

    What will be the execution price if at any point of time say the best bid is 101 and the best ask is 100?

    • If you sell it will executed at 100 and if you buy at 101.

      • Sukesh says:

        Hi Nithin,

        Probably i didn’t express my question clearly.

        In the example i have given the seller is willing to accept 100 for the share (Ask Price) while the buyer is ready to pay 101 (Bid Price).

        Will there be a trade executed in this case (not entering any fresh order in this scenario).

        Thanks

        • Yes it depends on which order was put first, and there will always be a time difference even if it is in milli seconds. So if ask at 100 was put first and then someone placed a bid at 101, the order will get executed at 100.

  148. manju says:

    Last paragraph, last prices shud be 26.

  149. Fahad Malik says:

    Simple Example
    [email protected] 3700
    F1(Buy)-(MIS)-(SL-M)
    Price @ 3705 and Trigger Price @ 3695

    is it correct for long?

    Simple Query i want to buy Crude @ 3705 and Manage Loss of 10 points say 3695

    Now Crude @3705 and Buy order executed, if it fells to 3695 wil SL trigger ???

    My question is i want to place Buy order with stoploss…..and vice versa …

    • Ah, you will not be able to do that with SL orders. If you want to buy above 3705 and also put a stop at 3695, you will have to place two orders.

      First place a SL-M Buy with trigger at 3705. Once market goes there, order gets triggered and it gets bought at 3705, you have to place second order.
      Second order is SL-M Sell with trigger at 3695.

      • Fahad Malik says:

        means first i place Limit Buy(F1) order @ 3705 so it will execute when it reaches 3705 , then SL-M sell(F2) order at price 3715 and trigger Price @ 3695

        so if it reaches 3715 it will execute Sell order with 10 Points profit
        if it reaches 3695 it will be executed as trigger hit with 10 points loss

        • F1 is correct.

          Once F1 is executed,

          F2, a limit selling order at 3715
          F3, a SL-M Sell order at 3695.

          That is like placing 3 different orders. also once either F2 or F3 gets executed, you will have to cancel the other one manually.

  150. Sukesh says:

    Hi Nithin,

    Will a stop loss – Market order always get executed within the set trigger price?

    Example: I am long on 100 lots of X contract. I place a sell stop loss – market order for it @ Rs:99.

    Suppose the contract starts trading at or below 99 my stop loss get executed and the sale of my contracts starts
    HOWEVER
    suppose after selling about 25 lots out of the 100 lots i have (75 lots yet to be sold), the price comes back above Rs:100

    What will happen in this case? Will all my contracts get sold even if the price is above my stop loss trigger price (Rs:99)?

    OR

    Will the sale of my contracts get stopped once the price come above the trigger price?

    Thanks
    Sukesh

    • In a SL-M, with trigger price at 99: as soon as market goes to 99 or lower, a market order is sent to the exchanges to sell your long options. Since it is a market order, it will get sold at whatever price available in the market when your trigger is hit. Since it is a market order, there is no question of your order going pending or stopping.

  151. Janardhan Reddy says:

    Hi Nithin,

    I have a question, for example if I had bought a stock of 100qty at 50rs/share. now I want to place a sell order at 60rs. I place a limit order for 60rs but I also want to put a stop at 40rs and trigger at 45rs. is there anyway to do this?

    Thanks,

  152. Sukesh says:

    Hi Nithin,

    Earlier i was trading in Nifty F&O however i realized that BankNifty is much better for my strategy and started trading in BankNifty now.

    Few issues i face with BankNifty is that it is not as liquid as Nifty. There is a huge difference between the 1st and the 5th best buy/sell prices.

    I plan to trade in huge number of lots, here my concern is that i am not able to see the best buy/sell prices for 6th & above best buy/sell due to which i am scared to place a market order on huge number of lots however my strategy requires that i place a market order itself (as i have to enter and exit all hedging positions at the same time).

    Usually would there be a huge difference in price between the 5th & 6th best bid/offer prices? (Specially for BankNifty).

    Is there any suggestion/work around you would like to suggest for my problem?

    Thanks
    Sukesh

    • Sukesh, there is no way to tell how much liquidity is at the 6th best bid/offer. But if you look at the market depth window for a few seconds you will be able to figure out. Usually 6th to 10th best bids/offers are quite close to the 5th best bid/offer.

      • Sukesh says:

        Hi Nithin,

        You mentioned that we can estimate the liquidity above 6th best Bid/Offer by looking at the market depth window for few seconds. Could you please explain how to analyze this?

        Thanks
        Sukesh

        • If you look at the market depth, as and when the price changes, the best 5 bids and sells also change. When this changes, you can see bids/offers either end of these 5 best bids/offers.

  153. Naveen says:

    I’ve got a quick question. Suppose i buy 100 shares of company ‘X’ under CNC and i want to sell it in on MIS…will i need to do position conversion from CNC to MIS n sell or can i sell it from CNC to CNC. Plz note I ve few shares of company X in my demat acc which was bought earlier.

  154. madhu says:

    Hi,

    I’m currently using one of the discount brokerage , 95% of the time i use mobile platform
    I would like to know Whether the ,
    1. Trailing stop loss orders feature and
    2. bracket orders available in Zerodha
    3. Are these features available in the Mobile platform.

    Thanks
    Madhu

  155. Nurith says:

    Hi
    I have a question about SL-M
    I placed an SL-M order at 255.80 when the stock was trading at 255.50, I see the order in my open order but the price in the open order shows 279.65, Why is it showing a difference of more then 25 points.
    And if i dont cancle the order at what price will the buy order get triggered.

  156. Nurith says:

    I placed the order thrice and cancelled it at 279.65, (SL-M at 255.80)

  157. Rohan says:

    Hello Nithin,

    Suppose Current price of a Nifty Future is 8950,I want to take short position at 8964,
    Could it be possible through Sell Stop Loss Order or Stop Loss Market Order.
    And also Could you Let me know on Availabilty on Bracket Orders on Commodity Trading.

    Regards.
    Rohit

  158. givemered says:

    Hi!

    I am relatively new to Zerodha. Can you please help me with my query:

    Suppose I have to punch an intraday order for, say, Gold on MCX. Let’s say that I want to enter at a price above 27800. I also want to put a stop loss to it at, say, 27710. Now, suppose I am aiming for a target of 28100 and above, how do i put the
    (a) buy and
    (b) sell
    orders for this situation?

    I’d be really grateful of you could tell me what amounts to put specifically for the buy and sell orders, respectively.

    Regards

  159. ds4205 says:

    i am not able to place any gtc/gtd orders in mcx.
    please rectify it sir

  160. raj kumar says:

    Sir i have doubt about mcx market place the order
    for suppose copper running at price 354 but i want sell below 352 only how can i place the order sir??? can u give me reply as soon as possible sir

  161. Arun KS says:

    Just want to clarify my understanding.
    I bought a share at 100. Now i want to square-off my trade if it goes below 95 or goes above 105.
    What i m going to do is, to
    put a SL-M sell order in 95
    put a SL-M sell order in 105.

    Is that correct?
    Thanks

  162. ds4205 says:

    i placed a limit sl of infi with 2015 and sl of 1990.
    the limit of 2015 was executed and as d price went down through 1950
    still d sl of 1990 had not executed.
    i am facing this problem with all nse/bse/mcx.
    stop loss isnt getting executed.
    pls comment on it.
    is my way of placing is wrong or what?

    • So you place a limit buy at 2015 and SL-limit Sell at 1990 (what is the trigger price?)

      My guess is that you are not placing the SL the correct way. When you place a SL-limit, there is a risk that your order may not get executed as the SL is a limit order. If you want to avoid that place SL-M with trigger price, so the SL will definitely get executed.

      • Nilesh says:

        Dear Sir,
        Sorry for putting question here. But, I do not get exactly about SL-L sale order. If I bought at 100, and put SL-L sale order at 94 with trigger price 94.1, what is a risk here? Why can’t my limit sale order be executed? Is it like even if price goes down to 90 without my limit sale order execution? Confused. Please, clarify.

        • Nilesh, in a SL your order is not active until the trigger price is hit. When the trigger is hit, the actual order goes live or sent to the exchange. In a SL (limit) it is a limit order and in SL-M it is market. So when the stock is dropping very fast from 100 to 90, as soon as the price hits 94.1 your SL limit order at 94 is sent to the exchange. But if the stock has already say dropped to 93 by then(market can move in fractions of second in times of volatility), then this order will remain pending.

  163. Peter says:

    Can someone clear my doubt, I am still confused about SL-M and SL-L, I am using ZT web based system.

    Assume, I got 9000CE at the price of RS 190, after some time say after 10 minute, same 9000CE price becomes RS 205, I actually want to sell it at RS 215, if I place SL-L order with trigger price RS 203, and price RS 215 will it execute my order ? whether trigger price always should be less than purchased price ?

  164. Ashutosh says:

    Dear sir, when I try to use SL-M option to buy, it gives following error: :STOP PRICE IS NOT REASONABLE. Noting that I am using CNC method and giving the Trigger price below the CMP appropriately.

  165. NAVEEN says:

    Dear Nithin,
    Can I use AMO to set up my stop loss?

  166. ds4205 says:

    thank you nithin for your reply i got to know my mistake of sl.

    and can you tell me what is that now launcher which is available at downloads
    i installed and tried longing in but error user does not exist

    • We offer 3 desktop applications ZT/NEST(platform built by Omnesys/TR), NOW(NSE’s platform), and PI (our new in house platform which is currently in Beta).

      You would be enabled on NEST/ZT by default, so you will not be able to login to NOW. You can request for Pi beta, check this link.

  167. ds4205 says:

    thanks for your reply nithin.

  168. Karthick says:

    Hey Nithin,
    I’m using pi. In that can I place both trigger price and stop lose in same window in two order. Because I’m placing trigger in one window and stop lose in another. Some time my accuracy is missed in that time. Any Help

  169. Nagesh says:

    Dear Zerodha,
    Please clarifty me the below:-
    SCENARIO :-
    For example, let’s say you are long 100 shares of XYZ Corporation. You bought the shares at $20, and now they are trading at $30 per share. You want to continue holding the stock so you can participate in any future price appreciation it may see. However, you also don’t want to lose all of the unrealized gains you have built up so far with the stock, and you would want to sell out of your position if XYZ shares fell to $25.

    For the above Scenario, My Questions to you:-
    1) In Zerodha Nest Trader, I will hit F2 Key, then What should be the
    a) Order Type.
    b) Tr. Price.
    c) Price. for the above scenario…
    Please be very specific as i lost nearly 1 lakh rupees. I hope you will enlighten us with right knowledge and won’t disappoint zerodha traders. Please answer me sir, please…..

    • ๐Ÿ™‚ Nagesh, this is explained many times in this post and in the Q&A, anyways

      1. You press F2 (open the sell order)
      2. In the order type choose SL-M
      3. Trigger price as 25.

      That’s it. But what you need to remember is that this stoploss order will be valid only for that day.

  170. JAYDEEP says:

    QUERY REGARDING SL-M,

    nifty FO current price is 8675,
    i want to buy nifty at 8656
    which order i put, SL-M or SL-L,
    because i put SL-M, trigger price at 8656 and my trade execute at 8675(current market price).
    pl. guide me in this case.

    • If you want to place a buy order below the current market price, just place a normal limit order. So place a limit buying at 8656, use SL or SL-M to buy only if you want to buy above the current market price.

  171. JAYDEEP says:

    sir, yr Zerodha nest/Mow is not working in proxy netwrok… i am using a net with proxy …so any other options for trading??? pl. tell me

  172. ashutoshphatak says:

    How do I know the exact margin money left before I trade? Thats because the backoffice takes time to update it.

    • Check this post. If you want to see the balance intraday for trading use the view cash limit option.

      • ashutoshphatak says:

        Thanks Nitin sir, but I only use web platform for trading and I noticed that the available margin limit does not get real-time updated. As a result, I need to manually calculate (The available limit it displays) minus (how much I just used) to check the balance I have at the moment.

        • Hanan says:

          If you use TradeXpress or Z5, you should be able to see realtime margin updates on it. If you’re using only the web version you may not be able to see margins updating realtime.

          You can also use the refresh button if you don’t see the updated amount.

  173. ashutoshphatak says:

    Also, I bought share x at 100, set a sell SL-M order at 95. Then I wanted to set sell limit order at 110 and got an error:
    Message :RMS:Rule: Check holdings for entity account-xxxx across exchange across segment across product Request ID : 1 NEST Order No : xxxx with For Account : xxxx For User id : xxxx Exchange :NSE

  174. SUDHANSU says:

    Dear Sir

    Please explain between SL,SL-M & SL-LIMIT order.

    my concern:::::suppose nifty is at 8850.
    I want to buy it iff it touch 8870.If it moves but not touched 8870(it jumped from 8869 to 8872) I have no problem. I wish to forget the order.
    vice versa for sell order.
    I wish to buy/sell in my trigger price only.If the price will jump without touching my given price let the price to move but I want to cancel my order.

    For the the above concern which order type I have to follow.

    • You can use stop loss limit order. So keep your trigger at say 8869.9 and limit price at 8870. As soon as 8869.9 hits, a limit buying order at 8870 is sent to the exchange. IF the market jumps, your order remains pending. But remember that it remains pending and doesn’t get cancelled. Same thing vice versa for the sell order.

  175. Milan says:

    Hi Nithin,
    I have some queries… Please help me out for this…. Suppose i have bought xyz company shares at 100. And i place sell order for 105. And for stop loss again i place SL order 98. For the 2nd order it will need some margin am i right ? … So how to calculate that .. If i want to place SL order what margin is required ? …. And if my SL order triggered than my sell order will be cancelled in Z5? …..
    2) trailing SL is possible in Z5 ?
    3) if i buy shares as MIS , and 3.15 pm … I have convert those in MIS or NRML ?

    • 1. If you are doing this as an intraday trade (using product type as MIS), it will not really ask for any additional margin to place both SL and exit orders (you need to ensure that there is atleast Rs 1 more than the margin required to enter the first position). But if you are trying to do this for delivery trades (CNC), you will not be able to place SL and sell order, it will ask you to check your holdings.

      2. Trailing SL not on Z5
      3. Equity trading for intraday the product type is MIS and for delivery it is CNC. So if you are trading stocks/equity then you have to convert to CNC (to do this, you will need 100% money required). If you are trading F&O, then you need to convert to NRML.

  176. Kumar says:

    Hi,

    Why Z Mobile not throwing error if i keep a Sell SL-M order which is above current price? [example – Nifty current 8345, sell SL-M 9345 [mistake]…ideally need an error message,but order is traded at market price].

    Regards
    Kumar

    • Hanan says:

      The mobile or regular trading system doesn’t have an alert if you place a SL within the permissible values. It gives you an alert only if it is outside the permissible values. For example, if you placed a Sell SL-Limit order and your trigger price was below the Limit price, it would’ve alerted you. However, if you place a Sell SL-M order and the CMP is already below that trigger price, your order will get executed immediately.

  177. AN_Pb says:

    What i have under stood after going thru this blog is that when i place MIS- Buy order (Limit or Market ) i have to place a counter SELL order (SL or SL-M) to set Stop Loss for my respective Buy position. This will complete my one full transaction i.e Buy MIS with a stoploss. Kindly confirm.

    Also , do i need separate margin for that SELL order (placed to activate Stop Loss).

  178. dgbnaidu says:

    Hi,
    Whether stop loss is to be put for every trading session if it is not executed in previous session?

  179. PARVISH says:

    Dear Sir
    1) example Today morning I buy or sell futures seg. (NRML MARGIN) can able sell same day before closing market if yes above type same day I get my margin amt whatever I paid be cause i need amount next day using?
    2) In case I am not buy or sell same day when I get my trading account on this script on (incase If need next day buy or sell)
    3) Today I bought futures example : ABC my cost is 100 my target is 115 and also ready sell minimum expect on 110 price also move up or not so how to mention this amount both 110 & 115 for sell position which type I need to use limit order or stop loss and how?

    • Vikas says:

      Hi Parvish,

      1) first of all if you have sufficient fund then only zerodha will allow to buy in NRML and you can sell same day or any other day. yes you can use profit amt if any next day.in less fund zerodha do allow trading via mis or cover order.. see section on the same in same zconnect.
      2) if you do not square your position same day ..corresponding P/L will be adjused in your ledger based on your trade and last closing price.
      3) you can not set 2 tgt for sell 1st at 110 and other at 115..either of it is possible.
      if you are willing to sell at 110 – just put limit sell order and if your confident to get 115 then set limit sell order for same.
      Hope i answered your queries , right.

  180. PARVISH says:

    Hi Vikas
    Thank you so much your reply I need some more details pls help me first of all I am private employee so unable to monitor stock market in full time also not possible intraday trade I have limited time only morning watch the stock trading up to 10.30am so this this situation
    EXAMPLE : morning 10.00 am I will short ABC future contract and select (NRML ) margin in my SELL price is 100 after I fully confident that price go down up to 90 in same day so I want to buy price at least when is going 95 TO 90 so how is possible on same day ? Please note I am not able to watch on live market full time so this situation which option I need to select means LIMIT ORDER or STOP LOSS or SL-M and how to put the above price?
    Incase this price not reach after put the BUY order in above options itโ€™s automatically cancel or not?
    Also note already I have amount in my trading account Incase this price not reach Iam ready to pay MTM amount and I need continue next day. So how to do this pls help me

    • Vikas says:

      Hi Parvish,

      First of all – if you sell future at 100 with intention that price will go down to 90.
      then just put NRML buy order only at 90. if price strikes 90 rate then your position would be squared intraday with profit. and if not then that order will be cancelled for that day.
      but if move in other direction – then pts moved * lot ize will be deducted from your account that is called MTM loss.
      yes next day – same story repeats untill you square off your position.
      you can keep this future trade for that month i mean carry forward your trade without any issue till end of last thursday ie expiry day.
      Regarding your morning trade and office – what i suggest is trade in morning via pc and watch in office via mobile. but that will not allow to concentrate in office work! so close your position before you leave for office.

      Based on your question it seems that you are new in trading, what i suggest is future is very risky, it eats u all your capital in blink of eye. so what i suggest is first have dummy virtual trade for at least 6 mnths … keep journal of profit loss account. have some confidence then plunge in this financial jungle.
      It is so tempting that in 1 sec only we can earn big amont but opposite is true as well.

      have discipline in trading and become consistent that is only mantra for success.
      Best luck.

    • You need to put a limit buy order at Rs 90. Yes if this buy order is not hit during the day, it will get cancelled by end of day (if NRML). As long as you have sufficient margin, the position won’t be squared off.

  181. Vaibhav says:

    @ ZT Team

    I bought nifty 7000PE @ ….. without SL in NRML & now i want to sell can you please let me know what is the procedure to sell all traded quantity.

    • The same way you placed a buy order, place a sell order with product type as NRML.

      • Prakash Karande says:

        Hello. Sir. Aap india se hai? OK no mention. Lekin aap ka zeroda bahut badiya hai. Forex trading dekha Maine. Exness broker me mera trade chalata hai.exness broker jab outcountry ka hoker har country language me aap user manual banata aur aap Hindi me aap/user manual nahi bana sakate?sorry esliye india picche hai brother aur outcountry wale aage. Aapko nahi lagata national language me rahane aapke aur customer badenge.

  182. Chowparan Saha says:

    How to place an intra-day order which buys at limit and also has a stop-loss attached to it.

  183. ManishAstral says:

    Excellent tutorial on Stop Loss. The only thing lacking is the ability to place GTC (Good Till Cancelled) or VTC (Valid Till Cancelled) type of orders. Cause right now i have to place the same stop loss orders at the beginning of each day, which can be a pain and also very very risky if the market starts coming down all off a sudden. So all i would suggest is that it would be very beneficial to all the traders if there was an option to place GTC orders, esp. for SL-M , which once place would remain intact until cancelled “manually”.

    • GTC is not supported by NSE, but we have thought of a work around. Instead of you placing it, we can do it on your behalf automatically at end of every day. We will announce something soon.

      • ManishAstral says:

        Yes that could work by simulating GTC type of orders. The only concern right now is that it gets really tedious placing same orders everyday. Its like a routine , each morning wake up , brush up, have some tea and place them SL-M orders again. ๐Ÿ™‚ . Anything that can circumvent this by automating it properly will be a great boon. Again thanks for your support. I really appreciate it.

      • Senthil Nathan says:

        Yes,.. GTC is one that i miss from my other broker. Hopefully you get it soon. ๐Ÿ™‚

      • Nataraj Tangudu says:

        Hi Nithin,
        Any update on below proposal of simulating GTC order type? Many people especially employees like me need this badly. Any tentative time frame you have in mind?

        I am planning to open myvaluetrade account just for GTC order facility otherwise I am happy with zerodha.

        “GTC is not supported by NSE, but we have thought of a work around. Instead of you placing it, we can do it on your behalf automatically at end of every day. We will announce something soon.”

        Regards,
        Nataraj

        • Some technical roadblocks. We are working on it.

          • PR says:

            I have an account with kotak securities that allows GTC. A workaround actually. Basically they place the order everyday till its cancelled or until specified date. It is this important feature that prevents me from getting oboard with zerodha.

            For an investor, by allowing GTC – kotak is kind of justifying its towering costs compared to zerodha.

            • Yes GTC is on our list of things to do.

              • Sankar says:

                Dear Nitin

                You are running out of time
                Its more than six months (half-year) since your reply
                We all like and love to trade here but if we have
                1. GTC enabled
                2. Trailing stop loss for GTC
                Then nothing like that and
                We can be on top of our trades
                Please try to get this asap

                Regards
                Sankar

                • sridhar says:

                  Hi Nithin,
                  I used many other accounts of other brokers. I like zerodha because of brokerage. However, you are losing edge over other competing brokers by not implementing GTC orders. I seriously feel it is very much required for retail customers.
                  Cheers
                  Sridhar

  184. Bharath Raju says:

    Greetings Nithin and Team,

    I have been trading for some time with Zerodha now using mobile app and I really do not know how do I place target sell order and stoploss sell order on this app, or for that matter on the HTML trader as well…I was told initially that I have to place 2 orders, i.e., one as a target sell order and one as stoploss sell order and have to manually cancel the other…but the problem I faced when trying to do is that once I place target sell order, the stoploss sell order is taken in as shortsell order and gets rejected citing margin exposure exceeds cash balance…..I would really love someone to clarify on this…and would help me a great deal in booking profits as I trade only options where I have to act very quickly to cease an opportunity.

    Thanks much in anticipation….

  185. Jay says:

    I could not understand your last paragraph
    “SL orders to enter new positions:
    Assume Nifty 5700 puts is trading at Rs 25. You want to buy this option only when it goes to 26, how do you do this? Because if you put an order to buy at 26 it will get executed at the market price which is lower than 26. In such a scenario you can use SL orders to enter a fresh position. So what you could do is to put a buying SL/SL-M with a trigger price of 25. What happens now is that only when the put option goes above 25, will your trade get executed. This feature can be used by people who like to take trades only when a particular stock/contract moves in your direction.”

    1. I think trigger price is not 25 It should be 26. Am I correct?
    2. If Trigger price is 26 and currently trading at 25. when the price reached 26 then the trigger will fire. But the question is at what price sytem will buy. Market price?

  186. Vivek says:

    hi,

    I got my account opened with ID RV1398 some 6 months back but i am not able to trade till now. I am trying to use Z5 but the screens does not seem to be user friendly. Is it possible for you to share some kind of user manual on how to trade in Future and equity market using Z5 of Zerodha.

    Regards,
    Vivek

  187. Shri says:

    Appreciate if you can clarify my basic doubts:
    1) I need to short a Stock option say at 100 (expecting the underlying to fall below 100). What are the values to select for Order Type,Prod Type and Validity ? (I need to hold the position till expiry or until SL =105 is met)

    2) To have a SL for the above position, do I need to create a second order now ? Will that be a Buy order and what are the values for Order Type,Prod Type and Validity ?

    So,the question is if I need to take a short position,does it require 2 orders (to have SL) or a single order of order type=SL or SL-M. Thanks !

    • 1. If the current value is below 100
      You place a limit selling at 100. Product type is NRML since you want to hold it till expiry.
      If you the current value is above 100
      You place a SL-M selling with trigger price as 100. Product type is NRML. Because you want to sell at a price lesser than the current price, you have to use a trigger.

      2. Yes to have a SL, you have to create another order now. It is best to create this order once the original order is executed.
      Yes this will be a buying SL-M order with trigger price as 105.

      To take a short position you just need one order as explained in point 1. But if you want to take a short and also place a stoploss order, it requires two.

  188. A. Kumar says:

    Hi..

    In “After Market order” am bullish on index and I buy a [email protected] and for safe side a [email protected] I placed the SLM order for call 35 & for put 25 . The call opens @50
    and [email protected] .
    My questions is that
    1. Is my SLM order is possible in “After market order” or in “Pre Open market Order” for the same trade in options,
    2. If yes my put option will trigger in which price SLM placed value 25 or opened price 22.

    If you are getting my point. Please tell me its possible or not and how its works. If no please suggest me some other way for same kind of trade.

  189. swastik sahu says:

    What is the validity of STOPLOSS?? IS it only for intraday or will it work for delivery also??

  190. […] Stop Loss orders โ€“ Limit/MarketZ-Connect by Zerodha | โ€ฆ โ€“ Traders, What is a Stop Loss order? When you are holding a particular stock/F&O/commodity, you fear the losses that can happen when the price starts […]

  191. Manoj says:

    How to place sl order while square off the order in pi software …i find only to options market price and LTP

    • Manoj to square off an existing position you can just take an opposite position to what you are currently holding. To place a stoploss order, what you see on the post above is exactly the same way to place on Pi as well.

  192. ID says:

    I have given a stoploss order , but it is expiring at the end of the day .
    How can I make stoploss orders sustain longer ?

  193. Nishant Raj says:

    Hi Nitin,

    Suppose I do positional trade, then how can I put stoploss?

    Regards,

    Nishant

  194. ShreyaDR says:

    From given explanation what i understood is, if i wanted to sell / buy at particular price then i have to use SL /SL-M order type to get my order executed at my expected price. now my query is, is it possible to 4 place SL-M orders for any scrip as follow?

    say scrip x is trading @100, it’s Day range is 102 – 99. now i want to buy it if it moves past @102.5…..then book a quick profit @105

    1st Buy SL-M trigger 102.5
    2nd Sell SL-M trigger 105

    now if it moves below 99, i want to short @98 and to cover it @95

    3rd Sell SL-M trigger 98
    4th Buy SL-M trigger 95

    what i am expecting is only respected order should get execute, when market scrip reaches to that particular price. why i want this is, i may not track scrip/s for all the time when market is open. hence wanted to know, is this possible?

    • Shreya,

      1st Buy SL-M trigger 102.5, but selling is just a simple limit sell order at 105
      2nd Sell SL-M trigger 98, but buying is a simple limit buy order at 95

      The issue with this though is that once one gets executed, the other won’t automatically get cancelled. You will have to manually cancel. To place these 4 orders, you will also times the margin of placing one order.

      • ShreyaDR says:

        Mr.Nitin,

        Yes i m aware of the fact that other orders will not get cancelled automatically, also these 4 different orders will require more margin. But just wanted to confirm that i can place all 4 orders(limit and/or SL-M as directed by you) one-by-one. Without having to execute 1st for placing 2nd & without having to execute 3rd to place the 4th one And all they remain open since X is still trading @100.

        If yes, can 1st & 3rd will act as each other’s stop loss orders?

        You never know which way the scrip may take turn. But any side it may turn, at least order of one side may get executed.

  195. DHEENADAYALAN says:

    Sir I want to know about SL limit and SL market in Tamil can u arrange a call back from tamilnadu by a Tamil guy

  196. Raj421 says:

    HI i have some doubt on Sl..
    here is a scenario I got in SMS for put option –
    “RECLTD290PE ENTRY 3.5, EXIT 10.0, Stoploss 2.0 ”

    Now can i trade it in the normal way as we do in call option ?
    (buy at 3.5, sell at 10 and stop loss at 2)
    Regards.

  197. renjith2589 says:

    Hi,
    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? )

    So,

    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.

    Regards,
    Renjith Pillai C

    • Yes scenario 3 is possible. It will all be treated as 3 separate orders and hence 3 different margins. Once your entry is executed, you will not need margin for one exit order. You will still need margin for the second exit order (either target or SL). So if you place all the 3 orders, u need Rs 15000, for placing 2 after entry is executed u need Rs 10000.

  198. renjith2589 says:

    Thank you Nithin.

  199. chella says:

    In the aforesaid example given by Shri Renjith Pillai, where it is intended to buy the stock when it moves above 102, with a target of 110 and stop loss of 95, whether it is possible now to place the order such that when the price moves above 102 the stock is bought and only if the stock is bought, automatically position is closed if the target price of 110 is reached or the stop loss 95 is hit. This doubt is because earlier in these blogs it is mentioned that automated trading is not allowed to retail customers.

    Imagine that when the price moves above 102 and immediately within a few seconds target price of 110 is reached and retraces quickly it may not be possible to place manual orders. Whether algo trading helps in such a scenario.

    • Venu Madhav says:

      You can place a buy SL-M entry order with trigger = 102. This way the stock will get bought at market rate when the price goes to 102.

      Subsequently you’ll have to place a SL sell order and a limit sell order. These orders won’t get placed automatically.

  200. chella says:

    Thanks, But please state whether ‘algo trading’ helps when fast movements are expected.

  201. Rajesh verma says:

    Hi nitin
    Suppose I have brought a stock at 320 and its. Currently trading at 344 and I want to keep a Stop loss of profit of 340 means if stock come at 340 and hit it.
    How will I place an order for stop loss of profit

    • Venu Madhav says:

      Press F2 to place a Sell order. Select order type as SL-M. Select the trigger price as 340. Hit Submit.

      This will ensure stock gets sold at market price when the price drops from 344 and hits 340.

  202. uma says:

    Being a new client, a little guidance is needed on the following aspect. Mainly I want to trade in Nifty futures. Consider the following scenario:-
    When Nifty Oct Futures was trading at 8190 around around 1:15 PM suppose I wanted to buy with a target of 8240 and Stop loss of 8170 and if the stop loss hits to take a reverse position with a target of 8150 and stop loss of 8180. Can order be placed for aforesaid scenario?

    • No, all these orders can’t be placed together. You can buy at 8190 and place target of 8240 and SL-M selling at 8170. You can also place another SL-M sell at 8170, another buy at 8150, but you can’t place another SL-m sell at 8180. Also note, all these positions will need separate margins.

  203. vinod1704 says:

    Hi all , Newbie here
    Anyone Please let me Know . What is the difference between Exit and Square off ?

  204. Arun Kumar Kushwaha says:

    I placed a Sell SL-M order for Menthaoil at that time (16-Oct-2015) Mentha was trading @ 881..
    and i placed this order with the assumption that if price will go up @886 it will get Execute..
    but it got execute at the same time when i placed it @881…
    may i know then what is the significance of that SL-M order…??

    • Venu Madhav says:

      Depends on what your trigger price was. If it was trading at 881 and you want to sell it at 886, you have to place a limit order not a SL-M order.

      For a Sell order, you would use the SL-M order type if you wish to sell below what price its trading at in the markets. Eg: If it was trading at 881 and you wanted to sell it at 876, you would use SL-M.

    • If you want to sell at higher price than the current price, you just have to place a normal selling limit order at 886. If you place a SL-M it will be sent to the market immediately.

  205. Arun Kumar Kushwaha says:

    Thanks Both of U , @ Venu Madhav & Nithin Kamath Sir…
    i got it….
    Sell SL-M is for Selling Below the CMP..
    and
    Buy SL-M is for buying Above the CMP… with the desired trigger price…..

    Thanks for your Explanation ….

  206. Ramesh says:

    1)what will b orders for following cases assume current market price of share is 100 rs
    case1: buy only when, price>101 but not more than 101.5
    case2: sell only when price<99 but not less than 98.5

    i want to trade high breakout and low breakout by AMO.i know trigger price but notice here my buy trigger price is greater than current market price i dont want execute my order even i am getting best price

    2)can i sell already bought shares by AMO

  207. chella says:

    Nifty November futures lot size is 75. Whether increase in lot size affects liquidity? That is to say, subject to availability of margin, if I place a buy order for 40 lots of Nov futures whether it is fair to expect execution of the order within a narrow price range?

  208. Satish says:

    Hi,

    I have a query. With Stop-loss limit order can I place a price range.For example my Trigger price is 100 and my limit price is in range 100.05-100.25. I see other brokerages provide such facility..

  209. uma says:

    A similar issue as raised in the query above. When Nifty futures was falling I intended to short at Rs.7990 and placed SL-M order with a trigger price of 7990. But the qty of 750 was sold in the price range of 7987.35 to 7987.60. What shall be done, suppose, to restrict the transaction within the price range of 7990 to 7989. What is the relevance of disclosed qty and how to use the tool.

    • Uma, a SL-M means a market order is sent when the trigger is hit. So when market orders are sent, it can execute at any price. If you want to restrict the range, place a normal SL order with trigger at 7990 and limit as 7989. Disclosed quantity is only for equity trading, no use in F&O. You can decide how much of the quantity you are buying/selling you want to disclose and how much hidden.

  210. Ajay says:

    Respected Sir, I have some query relating to SL-L and SL-M orders please help me understand it .
    I am not available during the market hours to track the entire market , so what i basically do is, i use the past data of some selected stocks and calculate a buy and sell level for the said stocks, for the next trading day .
    Now , what i want to know is that suppose for a stock XYZ i want to place a AMO buy order @800 and a AMO sell order @803 simultaneously, for intraday , then how can i do that??. Please remember that i strictly want my orders to be executed at this rates only or else it should be pending , then which order should i place SL-L or SL-M and at what rates ?? , to meet the above buy sell levels.
    Moreover ,as i said that i will not be available during the market hours so i am ready to bear the loss if my sell triggers @ 803 but not the buy level and at 3.20 p.m. the price moves up ,and vice-versa for buy level.

    Please reply and clear my query , this question may have been put forward to you in past also , but please do reply as i have not gone through each and every post above. It’s important for me please reply.

    • You didn’t tell me what the current price of the stock is. Assuming it is between 800 to 803, u just place a MIS AMO buying limit order at 800 and sell limit at 803.

      If it is trading below 800, you place a AMO SL-M buying order with trigger at 800, and sell limit at 803.
      IF trading above 800, you place a AMO SL-M selling order with trigger at 803, and buy limit at 800

      • Ajay says:

        Thanks for your quick and prompt reply sir , just a small doubt in relation to above , you have replied my question for all the three scenarios that can happen , i,e. if its trading above my buy sell levels (which i will be placing for the next day) , in between those levels and if it is trading below the above said levels, now what i want to know is that what CMP i should take at the EOD, in order to place the above orders for the next day, whether it should be the closing price for the day or the last traded price for the day ??

  211. Devender Pal Singh says:

    Sir,
    I am a new investor. I placed some SL-M orders over a month ago. I am currently interested in long term holding and am incurring some losses due to minor market fluctuations. I was wondering how I can change the stop loss limits on those orders? Also, I am not able to view the initial stop loss that I used when I bought those stocks. I am using Pi version 1.0.0.0.

    • Devender, all orders that you place on the platform are day orders only. This means that any pending order at the end of day gets cancelled. Good till cancelled orders are not supported by Indian stock exchanges.

  212. S Kulkarni says:

    I am trading with icicidirect.com for a long time and would like to open a/c with you.
    I have found that your brokerages are quite low compared to them.
    I trade in options , and want to know the margin for intraday sell order, say nifty 7700 call sold @120.
    Icicidirect has introduced very less margins in their option plus category. Do your margins match theirs?
    Which are the banks with which you have tie up?

  213. Rajesh Singh says:

    Can a trailing stoploss be set on equity and f&o already bought/sold?

  214. Achintya Gupta says:

    Hi Nithin,
    I wanted to place an SL-M order for Usha Martin, but I’m getting an error “Security is not allowed to trade in this market”. May I please know the reason. On Friday last I was able to place the stop loss order sucessfully.

    Thanks,
    Achintya

    • Hanan says:

      Achintya, you’ve tried to place orders before market opens which is why it got rejected. If you want to place an order before the market opens, choose the AMO order type. This will send your order through to the exchange at the time of market opening.

  215. Jayacharan says:

    Sir i bought 20000 shares of birla cotsyn at rs 0.05 for rs 1000.today i have proposed a limit order of selling 10000 shares @ 0.10rs,but even though it has reached the order has not executed.now i am unable to trust the market order because the stock is highly volatile and want to come out with profit.can i use any other mode like SLM OR SL(stop losses),orelse is there market protection order??.please help me sir i am stuck.

  216. Nayan Medhi says:

    Hi, I gather that the limits get cancelled by 3.20 pm. What I wanted to know is at what time can be added in the morning. I trade in FnO.

    Cheers

  217. I had been trading earlier with u and like to restart.

  218. VIKRAM SINGH CHAUHAN says:

    Hi, Today I placed a SL Limit buy order with trigger price as below:
    Trigger Price : 64.90
    Limit price : 65.00

    However when market opened, system rejected my order with following error:
    STATUS MESSAGE
    16418 : Order with Invalid attributes rejected by the system.

    Am I doing anything wrong here.? I am novice to the trade. Any suggestion would be a great help to me.
    I would also like to know when to enter trade.
    Whenever I place market order, I don’t get desired pricing. And when i place limit order, it does not get executed at all…..
    ๐Ÿ™

  219. Sakthivel says:

    Hi,
    I am a intraday trader in equity with a capital of 50k. I purely trade in intraday with SL and Target in one or two stocks tell me which will suit my style. a) Bracket order b) Cover order or c) Stoploss order.

  220. tausif says:

    Dear Nitin sir if I buy sun pharma at price 790 using MIS with SL 785 .will my stock get sold as the price hit as 785 automatically and if I do same with SL-M what would b the difference?

  221. tausif says:

    What about price limit given in mobile app I don’t understand trigger and price limit difference and do I have to place two orders for buying and selling , can’t I do it with single order placing

  222. tausif says:

    Thanks , beginner needs more clarification sorry again for bothering but I want to know how to do short selling in equity

    • Use product type as MIS, and place sell order on any stock that you think is gonna go down. To cover this position, you have to simply buy back whenever you think the time is right. All short selling positions are allowed only for intraday, so if you don’t square off/cover, the systems will automatically do it by 3.20pm.

  223. k.karthik says:

    i have got several doubts ;ike-

    1) regarding stop loss order sir. if i bought a stock @ 100 and placing my target order at 110. and then the stock rises to suppose 105 , then can i keep my stoploss sell order at the price of 103 to lock the profit. is it possible to do that.
    2) how much do you charge in nifty options if i buy call today at xyz prices and sell after 4-5 days. i mean is there any charges for carrying the position. if yes then how much.
    3) the charges mentioned is rs.40 for buy and rs 40 for sell = rs 80 or is it rs.40 flat including both buy and sell.
    4) how much money shall i need minimum to play in stock futures

  224. Ananth says:

    Hi Nitin,

    Can you please upload a video showing most of the examples on Stop loss? It would be easier to refer the video recording rather than going through this page. You can upload in YouTube and attach it here.

    Thanks
    Ananth

  225. k.karthik says:

    sir, i would also like to know that
    1) is it possible to place a gtc order via zerodha so that my order remains at a price untill it gets executed
    2) suppose if i place an amo order and it does not executed on another day then shall i need to place it always everyday.

  226. SACHIIEN says:

    please some one tell me, how to modify a stoploss of executed/completed buy order…i’m using pi terminal right now and unable to modyfy…

  227. AmitM says:

    Suppose Bank Nifty Is Trading 17800

    I Want To Put Two Different Orders Same Time Buy Order @ 18000 (To Go Long)

    And Sell Order @ 17600 (To Go Short)

    Whichever Way Market Goes…..That Particular Order Will Be Executed.

    Can I Put Two Different Orders To Buy And Sell Banknifty At Same Time In Sl-M Orders. Will It Require Double Margin For Two Orders Or Single Margin Will Be Required.

  228. Soumya Deep says:

    Hi Nithin, Venu, and other awesome people at Zerodha,
    Indian trading platforms are a bit different than US ones.
    I am using Kite as I work on Ubuntu. So no Pi for me.
    By what I understood by reading the blog and all the comments (phew !!) is that-

    Situation: Stock is trading at 100 INR. I am doing intraday.
    1. AIM1: To buy 200 of the stock with stoploss at 98 INR and take profit at 106 INR.
    Steps: 1. Go to Buy, put 200 in quantity, Select MIS, Click “Place”
    2. Again click on Sell, put 200 in quantity, select MIS, select SLM and enter 98 INR as trigger price. Click “Place”.
    3. Again click on Sell, put 200 in quantity, select MIS, select LMT and enter 106 INR. Click “Place”.
    out of 2 and 3, whichever gets executed first, manually cancel the other.
    Is that right?

    2. AIM2: To short 200 of the stock with stoploss at 102 INR and take profit at 95 INR.
    Steps: 1. Go to Sell, put 200 in quantity, Select MIS, Click “Place”
    2. Again click on Buy, put 200 in quantity, select MIS, select SLM and enter 102 INR as trigger price. Click “Place”.
    3. Again click on Buy, put 200 in quantity, select MIS, select LMT and enter 95 INR. Click “Place”.
    out of 2 and 3, whichever gets executed first, manually cancel the other.
    Is that right?

    3. AIM3: To buy 200 stocks only when the price goes up to 102 INR, with a stop loss at 100 INR and take profit at 108 INR.
    Steps: 1. Go to Buy, put 200 in quantity, Select MIS, click on SLM and enter 102 INR as trigger price. Click “Place”
    2. Once, 1 is executed, Again click on Sell, put 200 in quantity, select MIS, select SLM and enter 100 INR as trigger price. Click “Place”.
    3. Again click on Sell, put 200 in quantity, select MIS, select LMT and enter 108 INR. Click “Place”.
    out of 2 and 3, whichever gets executed first, manually cancel the other.
    Is that right?