Zerodha....

[bestnifty]

1.If I buy June Nifty Futures @5000 and sell July Nifty Futures @5020 - how much money do i need to deposit for this spread of one lot ?
2. Same case with Options - Nifty Option Buy June [email protected] and Buy July PUT 120 -is spread applicable for this ? if so Margin needed ?

 

[Zerodha]

Hi Zerodha,

I have two queries . Could you please reply to these queries ? (I'm using nowonline and now mobile for equity shares trading)


(Q1) If I do a CNC SELL today when I shall get the cash ?

I am asking the time frame because I want to do a CNC BUY of another scrip as soon as I get the cash from the previous CNC SELL.

I'm not sure but does the money gets credited on the same day of CNC SELL and can I go for a CNC BUY with that money on the same day ?

Could you please explain this part. I find it confusing.


(Q2) If I do multiple CNC BUY of Equity shares ...how do I find how much Cash is available in the account after all order execution ?
Which menu and column/head to look at for balance in NOW ? You know, this will help me to decide whether I have enough balance to BUY more scrips .

1. When you sell CNC, we release funds immediately to you to buy new positions.. The money will come to your account only on T+2.. What it means is if you sell some shares on Monday, you can buy new shares with the same proceed on monday itself.. If you want to withdraw the funds you can do it only after Wednesday..

Under surveillance there is an option called Rms limits, go to this and say view limits.. You can see the balance in your account and how much money has been utilized..

 

[Zerodha]

Zerodha

as you mentioned that you hace received the exchange confirmation for Nest Trader, so can we expect that from next week we can see the integrated Z Trader combining all the exchanges in a single platform?

sr

7 to 10 days at the most..

 

[age_of_turbulence]

I don't know what you guys have against NOW. The only problem with NOW was connectivity problems for the last few days (which seems to have resolved) and charting (for which I use Amibroker even when I am trading on Share Khan TT). TT becomes so heavy on my system if I use more than 20 scrips, it becomes useless, and NOW does not even bat an eyelid with 55 scrips, and with the auto-trading feature its really fabulous. TT and the rest of Indian charting platforms are only good for beginners as a kind of introduction to technical analysis trading, but you got to move on to better charting and TA platforms like AB MS, etc for your TA and charting needs.

My gripe with NOW isn't the lack of charting - like you, I use Amibroker. But, the lack of reliability is a huge issue. It hangs randomly, it's lumpy and the lead time is insane! It's just a heavy, clunky software - even worse than other Indian s/w (which is a pretty low benchmark). Glad your experience has been better, mine has been pretty dire after the first few days.

 

[Zerodha]

Any reason for decrease in Banknifty jun12 fut discount reducing from 60 to 20 today?

Do check out if any bank stocks have gone ex dividend today.. Don't track the markets actively so can't comment.. But usually this would be the reason..

 

[Zerodha]

1.If I buy June Nifty Futures @5000 and sell July Nifty Futures @5020 - how much money do i need to deposit for this spread of one lot ?
2. Same case with Options - Nifty Option Buy June [email protected] and Buy July PUT 120 -is spread applicable for this ? if so Margin needed ?

1. What you are talking about is a calendar spread. Exchange gives margin benefit for this. You would require only one side margin to hold this position overnight.. So instead of 25 + 25, you will require only 25 for holding overnight.. If you want to take same position intraday, you would require 40% of this amount..

2. Buying june calls and buying july puts is not really any kind of hedge.. There is no margin benefit for this. You would require complete premiums to buy them.. If you bought june 5000 calls and sold july 5000 calls, this would again be a calendar spread and only one side margin(higher side) would be required..

 

[supaTrade]

Hi Zerodha,

I have never faced an over night meltdown like 2008. Hence, asking this question.

Suppose I do a calendar spread i.e. buy far month put and sell near month put
OR
I do a bear spread. i.e. but atm put and sell otm put.
OR
I hedge my long futures position with a put.

and I do any of the above with tight margin i.e. do not leave more than 1 or 2k for MTM.

Now we know that the exchange does not give monetary credit for long options in MTM.

Suppose the market tanks 800 points the next day i.e. open 800 points below. What will happen?

Since I have long puts for cover, will the position still be squared of? or will only the short positions be squared of keeping my long options as they are (or vice versa)? or will no action be taken?

or will it be different for the three scenarios above?

Please clarify.

 

[megapixel]

Please find my comments in BLUE

1. When you sell CNC, we release funds immediately to you to buy new positions.. The money will come to your account only on T+2.. What it means is if you sell some shares on Monday, you can buy new shares with the same proceed on monday itself.. If you want to withdraw the funds you can do it only after Wednesday..

I guess you mean I can do a CNC BUY ..right ? (I don't do intraday MIS)

Under surveillance there is an option called Rms limits, go to this and say view limits.. You can see the balance in your account and how much money has been utilized..

There are three fields

Cash Available

Margin Utilized

Net Margin Available


Which field you refer here in this case ?

 

[Zerodha]

Hi Zerodha,

I have never faced an over night meltdown like 2008. Hence, asking this question.

Suppose I do a calendar spread i.e. buy far month put and sell near month put
OR
I do a bear spread. i.e. but atm put and sell otm put.
OR
I hedge my long futures position with a put.

and I do any of the above with tight margin i.e. do not leave more than 1 or 2k for MTM.

Now we know that the exchange does not give monetary credit for long options in MTM.

Suppose the market tanks 800 points the next day i.e. open 800 points below. What will happen?

Since I have long puts for cover, will the position still be squared of? or will only the short positions be squared of keeping my long options as they are (or vice versa)? or will no action be taken?

or will it be different for the three scenarios above?

Please clarify.

Yes if the market goes against you, you need to make good of any mtm, especially on a day like what you have mentioned, we might ask you to make good your losses immediately..

SEBI today has put strict rules for short margin positions.. Profit from the positions which are profitable is considered as realized credit only tomorrow and if you hold a position overnight without enough margin it is considered as short margin.. In that sense SEBI has made the rule clear..

So, yes if you don't bring in enough money we would square both the positions off simultaneously if a situation like that arises.. It is the same for all the three situations because, profit from one position can't be used to make good the mtm loss of the other..

 

[prabit]

I don't know what you guys have against NOW. The only problem with NOW was connectivity problems for the last few days (which seems to have resolved) and charting (for which I use Amibroker even when I am trading on Share Khan TT). TT becomes so heavy on my system if I use more than 20 scrips, it becomes useless, and NOW does not even bat an eyelid with 55 scrips, and with the auto-trading feature its really fabulous. TT and the rest of Indian charting platforms are only good for beginners as a kind of introduction to technical analysis trading, but you got to move on to better charting and TA platforms like AB MS, etc for your TA and charting needs.

Hi GTji, can you pl explain the auto-trading feature in NOW, I am not aware of it.