Trade Smart Online

[cloudTrader]

Hello Leonid,
Seems like we got your question. In case our answer is not satisfactory please let us know and we'll try another shot at it.

Since there is not exposure margin in MCX, you have to maintain the entire margin (i.e. span margin) in order to avoid a penalty for margin shortage.

Please let us know if you meant to ask something else.

Okay , thats fine, I will re-frame my question to get more clear about things. Your answer has made things clear but just for my knowledge I would add something more.

Scenario :

Capital In my account : 40,000
Long Trade Crude Oil 1 Lot, Margin Blocked : 25,000

My Buy Price : 2572
LTP: 2448

Capital Minus Margin Blocked= 15,000 [Available Balance]

Current Loss In Position = -12,400

Available Balance - Loss = 2,600 [Amount left as free capital]

26 points of 1 Lot Crude Oil = 2,600

If tomorrow Price of Crude Oil Goes down more than 26 points then will I have to add more money tomorrow or there is something which I am missing ?

Thanks.

 

[Fundootrader]

Okay , thats fine, I will re-frame my question to get more clear about things. Your answer has made things clear but just for my knowledge I would add something more.

Scenario :

Capital In my account : 40,000
Long Trade Crude Oil 1 Lot, Margin Blocked : 25,000

My Buy Price : 2572
LTP: 2448

Capital Minus Margin Blocked= 15,000 [Available Balance]

Current Loss In Position = -12,400

Available Balance - Loss = 2,600 [Amount left as free capital]

26 points of 1 Lot Crude Oil = 2,600

If tomorrow Price of Crude Oil Goes down more than 26 points then will I have to add more money tomorrow or there is something which I am missing ?

Thanks.

Standard with nay broker - you will have to add more money and you should do it now.

Broker may square off your position in case the market moves beyond 26 points in crude

I would advise you to add more funds right away in case you plan to carry on with trade.

 

[cloudTrader]

Standard with nay broker - you will have to add more money and you should do it now.

Broker may square off your position in case the market moves beyond 26 points in crude

I would advise you to add more funds right away in case you plan to carry on with trade.

Your reply is perfectly practical.

This is the reason TSO didn't bother to reply.

Thanks.

 

[TradeSmartOnline]

Okay , thats fine, I will re-frame my question to get more clear about things. Your answer has made things clear but just for my knowledge I would add something more.

Scenario :

Capital In my account : 40,000
Long Trade Crude Oil 1 Lot, Margin Blocked : 25,000

My Buy Price : 2572
LTP: 2448

Capital Minus Margin Blocked= 15,000 [Available Balance]

Current Loss In Position = -12,400

Available Balance - Loss = 2,600 [Amount left as free capital]

26 points of 1 Lot Crude Oil = 2,600

If tomorrow Price of Crude Oil Goes down more than 26 points then will I have to add more money tomorrow or there is something which I am missing ?

Thanks.

Hi Leonid,
Sorry for the delay in reply.

Yes you are correct. Additional money will have to be added. For a small shortfall we'll not ask you to square off the position immediately. However, for ay end of the day shortfall there'll be a margin shortfall penalty as per the SEBI regulations.

Since the penalty is quite steep it would be the best to avoid it. In case you have any questions about the same please refer to our knowledge base article What is the margin shortfall penalty and how it is calculated?

 

[cloudTrader]

Hi Leonid,
Sorry for the delay in reply.

Yes you are correct. Additional money will have to be added. For a small shortfall we'll not ask you to square off the position immediately. However, for ay end of the day shortfall there'll be a margin shortfall penalty as per the SEBI regulations.

Since the penalty is quite steep it would be the best to avoid it. In case you have any questions about the same please refer to our knowledge base article What is the margin shortfall penalty and how it is calculated?

Now I feel good with your reply. The link you gave was also of good help as it explained what exactly I wanted to know.

Thanks TSO... :thumb:

 

[Fundootrader]

TSO

I want to open an account to trade options only

- Whats your account opening process - What all documents required (KYC already done)
- Pricing for options only - No other instrument will be traded and no other optional
required

 

[TradeSmartOnline]

TSO

I want to open an account to trade options only

- Whats your account opening process - What all documents required (KYC already done)
- Pricing for options only - No other instrument will be traded and no other optional
required

Hello Fundootrader,
Thanks for your message.

Please find the information below.

1. To open an account with us you can either fill the online version of the form and then take a print or take a print and then fill it in pen. In case you have any questions, you are most welcome to call on 022-42878000 or fill up your info on our website and someone from our end will give you a call.

2. Please refer to the list of documents required for account opening. Since you have already done the KYC, if your address is the same no need to send the PAN and address proof copy.

3. Since you wish to trade only in options demat account may be skipped and you can open only the trading account. Please refer to our knowledge base post which might be relevant for this.

4. We have three different pricing plans each suitable for different trading requirements. Since you wish to trade only in options, we'd suggest you go for either Power Plan (Rs 15 per executed order) or the Infinity Plan (Monthly subscription charges of Rs 3999 for unlimited trading).

Please let us know in case you have any other questions.

 

[Fundootrader]

What happened to your Rs. 99 unlimited plan for options - is that discountinued

 

[TradeSmartOnline]

What happened to your Rs. 99 unlimited plan for options - is that discountinued

Seems like there's some misunderstanding. We never had Rs 99 per month for unlimited trading. We need to be able to make money to be able to provide a high level of service to our users.

 

[lvgandhi]

Nest is not starting in all my pcs, laptop. Shows initialization error.