Beware Angel Broking Will Cheat You If You Leave Open Short Position For Next Day ?

[Ganesh543]

I am using online trading services of Angel Broking .

On 4th January I short sold 57 shares of tatamotors @820 rupeese

On 4th January their application Angel diet stopped working at 3:27 pm and it did not allow me to squareoff 7 short position of Tatamotors @ 820.I was lucky to buy rest of 50 shares back on 4th January 2010 out of total 57 shares before 3:27 pm .

As the application stopped working at 3:27 pm I had no option left but to carry forward the 7 short position of Tatamotors for next day that is 5th January 2010

On 5th January 2010 I was advised by Angel Broking to buy 7 shares back from cash market and I brought 7 shares at 830 rupeese on 7 th January I found that Angel broking credited 7 shares @870 rupeese on 7th January 2010 saying me that these are shares you brought from cash market on 5th January and price is of auction market so dont confuse it with price you are charged 830 rupeese for shares you brought on 5th January and 870 for those 7 short shares brought from auction market .

That means Share with LTP of 785 was sold to me by Angel broking @ 870 rupeese saying its auction market price

And Angel broking even misguided me to purchase back 7 shares next day in lieu of 7 short position finally crediting those shares to my demat account at 830 rupeese as delivery shares .

Even today I have 7 share of Tatamotors in my account with last traded price of 692 I kept them with hope Angel broking will take these shares back but it refused after initial assurance and I m facing loss of 830-692 *7=966

I m lucky that I was able to buy back rest 50 shares else I need to multiply it by 50 .

Just see how mischeivious and misguidance Angel broking do to earn money from its clients so beware and never leave short position if you have account with Angel Broking as it is likely to cheat you and put you in double sided losses as it did to me

It was my first time I ever left short position open that too since their application stopped working at last moments of market .

I do welcome any advise or comment from your side
Hare Krishna

Ganesh






















So Beware Angel Broking Can Cheat You If You Leave Open Short Position For Next Day ?

 

[karin_jack]

Re: Beware Angel Broking Will Cheat You If You Leave Open Short Position For Next Da

hello sir there is nothing wrong with angel.... its actually the 7 share sell went for auction after T+2 settlement cycle and auction cycle take T+5 days......

in india one cant carry short sell in del.

would say get knowledge frm the mistakes done....

regards

 

[Ganesh543]

Re: Beware Angel Broking Will Cheat You If You Leave Open Short Position For Next Da

hello sir there is nothing wrong with angel.... its actually the 7 share sell went for auction after T+2 settlement cycle and auction cycle take T+5 days......

in india one cant carry short sell in del.

would say get knowledge frm the mistakes done....

regards

Yes I had big lesson from that mistake but Angel broking in my view is not less than any fraud organisation in world of share trading although I have minimum loss due to misgudiance it did give to me and its application that failed at last moment .


It was my first time I carried short position But my concern is why Angel broking advised me to buy back 7 hort shares on 5th Jan from cash market if they could only br brought back from auction market ?

I know from auction market we get expensive share with penelty upto 20 percent but it all happend with fault in their application and mis guidance done to me by Angel broking


Hare Krishna
Ganesh

 

[sbhav]

Re: Beware Angel Broking Will Cheat You If You Leave Open Short Position For Next Da

hi ganesh
it is better to square up positions before 3.15 pm to avoid such bad luck.
you can't do anything about that now,better look for your next trade with better plan and confidence

 

[Ganesh543]

Re: Beware Angel Broking Will Cheat You If You Leave Open Short Position For Next Da

hi ganesh
it is better to square up positions before 3.15 pm to avoid such bad luck.
you can't do anything about that now,better look for your next trade with better plan and confidence

Yes thanks for your suggestion I will definelty keep that in mind I raised this discussion to save others getting into situation I went through

Hare Krishna
Ganesh

 

[GURUJAYA]

Re: Beware Angel Broking Will Cheat You If You Leave Open Short Position For Next Da

I also had same experience last month with SBI 10 shares of short with another broker.

Next day I bought 10 shares from cash market, still they broker bought 10 shares from auction at higher price and sold the same after couple days with Rs 30 loss in auction.

Lesson learned-squre off before 3pm on each trading day.

GURU

 

[sumosanammain]

Re: Beware Angel Broking Will Cheat You If You Leave Open Short Position For Next Da

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[tony_marcus]

Re: Beware Angel Broking Will Cheat You If You Leave Open Short Position For Next Da

While I understand that you had to buy 7 shares in auction,I cannot understand why you were advised to buy the shares from the market.It is only the broking house,in this case Angel Broking, that participates in the auction. I think there may be an error in the perception of what you were advised to do.
Further,most brokerages adjust shares from some other account if you have sold short and not covered.This depends on the scrip and its availability with the broker and your value as a client.Which means that your shortfall does not go to auction and they later simply buy the scrip from the open market and recredit to whichever account they took it from.Not legal but common practice.

 

[ping_manoj]

Re: Beware Angel Broking Will Cheat You If You Leave Open Short Position For Next Da

"in india one cant carry short sell in del."

This is the precise reason I always say Short Selling in India is not a good strategy. Infact I go to the extent of saying that this kind of protectionism and these laws & framework are indeed the fact that our markets do not fall very sharply and then we boast about our growth and financial strength!

Instead of increasing the market trading hours we must allow short selling in the equity side!

 

[ping_manoj]

Re: Beware Angel Broking Will Cheat You If You Leave Open Short Position For Next Da

in india one cant carry short sell in del.

This is the precise reason I always say Short Selling in India is not a good strategy. Infact I go to the extent of saying that this kind of protectionism and these laws & framework are indeed the fact that our markets do not fall very sharply and then we boast about our growth and financial strength!

Instead of increasing the market trading hours we must allow short selling in the equity side!