General Trading Chat

PreSap

Well-Known Member
The best part in trading stocks (in cash market) is that you can trade exactly that much quantity as your risk management allows. For e.g. if your trading capital is 1lac and risk per trade is 1% or 1000, and your stop loss in Tatamotors is 2rupees away, you can trade 500shares.
Percentage risk is same.
In stock futures however the lot size is fixed, so your risk will vary as per your SL.
The leverage in cash market you get is 10 to 11x.
In futures leverage is 55x for MIS (Zerodha)
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Hi Vivek,

Thanks for the quick reply. I haven't traded in the cash market. Not that I have traded a lot in futures either .
But what happens if you want to carry forward in such a case. Is it the same sort of transaction you would carry out as you would do to invest in long term but just close out before the end of the day?

Thanks!

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vivektrader

In persuit of financial independence.
Hi Vivek,

Thanks for the quick reply. I haven't traded in the cash market. Not that I have traded a lot in futures either .
But what happens if you want to carry forward in such a case. Is it the same sort of transaction you would carry out as you would do to invest in long term but just close out before the end of the day?

Thanks!

Sent from my A0001 using Tapatalk
In case you want to carry forward (in F&O), you would need NRML margin.
Go through this link:
https://zerodha.com/margin-calculator/SPAN/
in case of carry forward in cash market you will need full margin (CNC) e.g if you buy 100 shares of ABC each of rs.10, you will need 1000. Can't short and carry in cash market.
 

vivektrader

In persuit of financial independence.

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