In Intraday Trading Can We Place Stoploss Order Before Placing Corsp. Buy Or Sell ord

[Ganesh543]

In Intraday Trading Can We Place Stoploss Order Before Placing Corresponding Buy Or Sell order to avoid sudden fluctuation of price to avoid loss ?

For example before buying 100 shares @Rs10 (long position) can we place its SL sell order @Rs9 for 100 shares before actual buying of share at Rs 10 ?


Thanks
Hare Krishna
Ganesh

 

[trade4putuval]

Re: In Intraday Trading Can We Place Stoploss Order Before Placing Corsp. Buy Or Sell

Hi,

I doubt if it is possible. It depends on the kind of broker you are dealing with.
Basically, there are three options with my broker, LIMIT, MARKET, STOPLOSS.
I have not tried the stoploss part in the trade without performing the trade, but I doubt if it will allow because there might be some logic to check if there is already a trade for which the SL is applied.

Also, technically, why would you place a SL unless you have traded?

 

[BrokerJi]

Re: In Intraday Trading Can We Place Stoploss Order Before Placing Corsp. Buy Or Sell

Hi Ganesh,
Depends on the way your trading platform handles orders, in case of ICICI, If I place a order in Stock A of sell @ INR 9.00 and then go on and place the order of buy @ INR 10 then I have to put margin for both in the beginning as they are independent orders and then as soon as my Buy order will get hit, the margin for sell order will be released as that will be considered as "cover" order now. Infact you can go on and change the same cover order of sell to sell @ INR 11.00, which means practically your long position is naked.
I have not covered the concept of stop loss trigger here and with that things can really be different as assuming the kind of volatility you have given ( 10% in a moment ) price can even go down your cover order limit and you'll be left deep in loss.
Regards,
BJ

 

[Ganesh543]

Re: In Intraday Trading Can We Place Stoploss Order Before Placing Corsp. Buy Or Sell

Hi,

I doubt if it is possible. It depends on the kind of broker you are dealing with.
Basically, there are three options with my broker, LIMIT, MARKET, STOPLOSS.
I have not tried the stoploss part in the trade without performing the trade, but I doubt if it will allow because there might be some logic to check if there is already a trade for which the SL is applied.

Also, technically, why would you place a SL unless you have traded?

Yes I will check it tommorrow in market I want to do this since today I short sell a share when it suddenly increased from 2.5 percent to 5 percent of previous day close but as soon as I short sold the share increased by another 5 percent with in one minute and I was shocked as I did not have time to place stoploss order

Anyway thanks lets us see tommorrow I have account with Religare and one specialist of Religare says it is possible and other says it is not possible ..

My whole day earnings were smashed to loss of 43 rupeese at the end of day my heart was weeping I said it is new lesson from GOD

Thanku
Hare Krishna
Ganesh
Take Care

 

[Ganesh543]

Re: In Intraday Trading Can We Place Stoploss Order Before Placing Corsp. Buy Or Sell

Hi Ganesh,
Depends on the way your trading platform handles orders, in case of ICICI, If I place a order in Stock A of sell @ INR 9.00 and then go on and place the order of buy @ INR 10 then I have to put margin for both in the beginning as they are independent orders and then as soon as my Buy order will get hit, the margin for sell order will be released as that will be considered as "cover" order now. Infact you can go on and change the same cover order of sell to sell @ INR 11.00, which means practically your long position is naked.
I have not covered the concept of stop loss trigger here and with that things can really be different as assuming the kind of volatility you have given ( 10% in a moment ) price can even go down your cover order limit and you'll be left deep in loss.
Regards,
BJ

Hey but how come you place sell order at Rs 9 when share price is at 10 it must be a stoploss order else you will sell share at Rs 10 although u mentioned 9 as selling price since LTP is 10 .Only Sl order can be placed to buy a share at Rs 9 even when its LTP is say Rs 8 and place Sl order to sell a share at Rs 10 when its LTP is Rs 11 anyother type of same order will be immediately executed at LTP I think

I will check and see if it works in Religare Race Pro platform in tommorrow 's trading session

Thanku
Hare Krishna
Ganesh