Zerodha....

[murthyavr]

NEST Plus add-in in the existing NOW application consumes lot of bandwidth
of your broadband connection.

The log in window contains a checkbox to launch NEST Plus, and the checkbox
is enabled by default.

With my 512kbps connection, today I observed that the quotes from the RT Data
provider were getting abnormally delayed and thought it was a problem with the
data vendor. It was only after an hour or so, that I realized that NEST Plus was
responsible for this. I logged in afresh without NEST and the quotes were coming
in just fine.

Please watch out..

 

[sumosanammain]

NEST Plus add-in in the existing NOW application consumes lot of bandwidth
of your broadband connection.

The log in window contains a checkbox to launch NEST Plus, and the checkbox
is enabled by default.

With my 512kbps connection, today I observed that the quotes from the RT Data
provider were getting abnormally delayed and thought it was a problem with the
data vendor. It was only after an hour or so, that I realized that NEST Plus was
responsible for this. I logged in afresh without NEST and the quotes were coming
in just fine.

Please watch out..

Nest Plus is a nightmare.... The machine also almost freezes up, and everything just goes crazy. Thank God there is a button that allows us the option of not loading it at startup.

 

[pakatil]

There is also a Menu Item in NOW, from where u can close NESTPLUS.

 

[msa5678]

Originally Posted by MansiVarma


Hi Zerodha ,


This question might seem weird but plz consider this case. Suppose i have 50K in my Trading account and i short 2Nifty futures. NExt day 20% upper circuit is hit and i m not able to square off my position(nor the brokerage itself cud). HEre effectively my loss wud be more than 50K. Now next day another 10% circuit is hit. NOW what? My loss another 25K. Now how will this be settled. Suppose 50K was the only amt i had, then will i have to do away with my family assets?

This question might look confusing but just consider 18th May2009 , suppose i wud have been short on 17th then what cud have happened then.

Thanks.

 

[rishikesh_m]

Have these guys started with the commodities services ?

 

[hc9001]

Re: Upper Circuit & Huge Loss..(How to Recover?)

@msa5678
Ur question is not confusing at all and this situation is more common when trading with individual stock future. Always Risk is more for 'short seller' whenever they are in wrong side, bcoz, they have to bought @higher price (required margin also increases in that case).

Sadly, I know more than one, who faced similar situation in 2008 Jan (They bought Futures & faced huge loss) when trading with 'Individual Stock F&O' & lost enormous amount of family assets.

I think the Only Remedy for every f&o trader (who don't have sufficient money to compensate loss) is "Hedge with Options".
For Example, If u SHORT 2 lot Nifty Future, BUY also 2 lot Deep Out Of The Money Call (Cost is very little). Do opposite, when LONG @Nifty i.e BUY Deep Out Of The Money Put. Then Risk will be very limited & mind out of Fear. Definitely Trading will improve. :clap:

-----
However, Your question is very good, waiting for answers from Zerodha also (How they recover), so that everyone must know that, F&O trading may be injurious to Health & Wealth (Family Assets too) without Hedging.

 

[msa5678]

Re: Upper Circuit & Huge Loss..(How to Recover?)

@msa5678
Ur question is not confusing at all and this situation is more common when trading with individual stock future. Always Risk is more for 'short seller' whenever they are in wrong side, bcoz, they have to bought @higher price (required margin also increases in that case).

Sadly, I know more than one, who faced similar situation in 2008 Jan (They bought Futures & faced huge loss) when trading with 'Individual Stock F&O' & lost enormous amount of family assets.

I think the Only Remedy for every f&o trader (who don't have sufficient money to compensate loss) is "Hedge with Options".
For Example, If u SHORT 2 lot Nifty Future, BUY also 2 lot Deep Out Of The Money Call (Cost is very little). Do opposite, when LONG @Nifty i.e BUY Deep Out Of The Money Put. Then Risk will be very limited & mind out of Fear. Definitely Trading will improve. :clap:

-----
However, Your question is very good, waiting for answers from Zerodha also (How they recover), so that everyone must know that, F&O trading may be injurious to Health & Wealth (Family Assets too) without Hedging.

Hi hc9001,

The query was actually posted by MansiVarma in the thread "NIFTY FUTURE TRENDS" . There were many answers to that posts by many a reputable members of the forum including SG. I reproduced the query here with the consent of the originnal post initiator, to get Zerodha's Comments.

Hope by the time he comes online this post will not be too deep to go unnoticed.

 

[saji oommen]

Hello hc9001 or any other member of traderji

What would be the best way to hedge a buy position of Call or Put options for overnight risk. i am only talking of buy positions in options since i do not short sell options.

Say for an example i want to hold overnight either a buy of call option strike 4800 or buy option of put strike 4900( either one buy position of call or put only) then what is the best and cheapest form of hedge .

I have read that you can hedge using same quantity of buy positions or should hedge positions should be of more quantity considering the beta factor.

An answer with good example including strike prices will be very helpful.

Thanks

Saji

 

[murthyavr]

Hello hc9001 or any other member of traderji

What would be the best way to hedge a buy position of Call or Put options for overnight risk. i am only talking of buy positions in options since i do not short sell options.

Say for an example i want to hold overnight either a buy of call option strike 4800 or buy option of put strike 4900( either one buy position of call or put only) then what is the best and cheapest form of hedge .

I have read that you can hedge using same quantity of buy positions or should hedge positions should be of more quantity considering the beta factor.

An answer with good example including strike prices will be very helpful.

Thanks

Saji

The following thread of AW10 would be helpful to you, IMO:

Low Risk Options

 

[Zerodha]

Originally Posted by MansiVarma


Hi Zerodha ,


This question might seem weird but plz consider this case. Suppose i have 50K in my Trading account and i short 2Nifty futures. NExt day 20% upper circuit is hit and i m not able to square off my position(nor the brokerage itself cud). HEre effectively my loss wud be more than 50K. Now next day another 10% circuit is hit. NOW what? My loss another 25K. Now how will this be settled. Suppose 50K was the only amt i had, then will i have to do away with my family assets?

This question might look confusing but just consider 18th May2009 , suppose i wud have been short on 17th then what cud have happened then.

Thanks.

Guys,

Job of being a broker is a pretty dicy job...

If there is even 1 small extra debit, we will have the client go out and shout out to the whole world. Which you may not have heard with us, but is a common parlance with other brokers.

But, what you need to understand is, there are a lot of cients who default and unfortunately we brokers can't really cry about it.. ... When you take a position, by law you need to make good any marked to market losses. So when nifty gapped down, you have to bring in mtm losses on the next day, if you don't the broker will probably give you sometime, but if not fulfilled can take you to NSE for arbitration. I also know of brokers who give these kind of cases to recovery agencies, who necessarily don't use the right ways to recover.

NSE arbitration will give an order which the broker can have executed by the court. Yes, your or your family property can get attached to the order if you don't have the money to make good for the losses.

Hope it clarifies and hopefully no one has to go through this stress ever. Guys, the trick is to not over leverage. Ensure you don't bet more than 20 to30% of your trading portfolio on a single trade...