Raymond went to minus 2.
It might be a glitch, but I won’t bet 2 cents on it cause full chance it could have really happened.
Are you saying the broker’s RMS is independent of MTM losses for a few seconds/Freak trades? Does it have any connection with spot movement if and when they do square off? I’m asking because I’m gonna go heavy in positional options and don’t wanna go bankrupt like those poor souls on freak trades. Hence the double confirmation question from my side!
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We run semi auto kinds if options or hedges are involved, we get alerts and then manually square off. So, no need to worry in this case.
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Thank you for getting back. Any update on the internal protection that @nithin had mentioned in the previous post - that Zerodha would implement to protect traders against these kind of freak trades?
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We are working on it, said that most effected are stop loss orders and we can’t really cover it as SL orders sit at exchange. Only thing is one should use SL limit orders instead market for now.
so if i dont use stoploss , zerodha wont auto squareoff for such freak trades am i right ?
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Another freak trades in indian market…
16700 ce weekly make a low of 6.50
Banknifty monthly 35500 ce high of 3200.
#nifty #banknifty #freaktrades #freaktrade
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Does RMS auto square off if freak trade happens in case of intraday short straddle/strangle? or auto square off only happens in real loss situations and not in any type of freak trades?
RMS won’t square off in case of freak trades, happens only in case of real scenarios.
That’s true. But if you do implement the internal protection - then at least anybody executing a trade / squaring off on market price can be saved from such moves.
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Siva sir market order band kar do kuch time ke liye, Bracket order bhi toh band hai volatility ki vajah se, agar BO band kiya ja sakta hai toh Market order kuch din band kyu nahi kiya ja sakta.
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Yupe, soon we will come out with market protection kinds for market orders.
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Siva sir how about a sl limit order with choice to select fill range such as 10 percent, 20 percent.
Example- if someome set a buy at Trigger 100 and preset a condition of limit 10 percent, the order will by default have a maximum range of 110, for trigger at 200 it automatically becomes 220.
Basically 2 advantages.
- Higher trigger gets higher fill range but the range never exceeds chosen percentage (say 10, 20 percent etc).
- Convenience of sl market order as only the trigger needs to be set and prechosen percentage sets the upper or lower limit of the order.
And of course saves everyone from freak trades, plus huge zerodha advantage over other brokers.
@nithin sir can you please discuss this with your team of developers, will be a huge fan moment for me.
We have already discussed this case, will check pros and cons of this and then decide.
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Thanku siva sir. U guys have been a great sport in handling all the issues.
This one is interesting, wonder who is gonna pay the balance amount.
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Very Bad , its new normal!!
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and we must still believe that NSE and SEBI have always stood for the retailers… from margin rules to everything 
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