Bank Nifty Basket Execution

[DogsAndMe]

Hello Sir @siva @ShubhS9 @nithin
I have a query & would love to get it resolved by you.

Bank Nifty currently go their max quantity down from 2500 to 1200. Which means that I will be able to buy max 1200 BN Options in 1 trade.
No lets assume, I Create a Basket & add TWO Same Instruments for Bank Nifty 36000 CE Buy Order & execute it at Limit Price / Market / SLM Price.

1. Bank Nifty 12 August 36000 CE Buy - 1200 Qty @ Rs.500
2. Bank Nifty 12 August 36000 CE Buy - 1200 Qty @ Rs.500

Queries :

1. Once I click on Execute, will both the 1200 + 1200 Qty will get executed simultaneously?
2. Will I be able to place Stop Loss once they are executed ? Also is Stop Loss Market Buy Orders allowed in baskets or only Market & Limit are allowed ?
3. In Orders / Positions Tab will they show TWO Different Orders with 1200 + 1200 Qty or ONE Single Order with 2400 Qty.
4. I believe at any given point of time, I won’t be able to sell 2400 Qty together. Am I correct ?
5. So now based on Point 4, If the price is at 510 or 490 & I want to book my Profit / Loss will I have to execute TWO different sell orders of 1200 Qty each or ONE Single Order of 2400 Qty ?

Thanks,
Rana Pratap Bhattacharya

[ShubhS9]

@DogsAndMe

Once I click on Execute, will both the 1200 + 1200 Qty will get executed simultaneously?

Yes, once you click the execute button, both the orders will be placed simultaneously.

@DogsAndMe

Will I be able to place Stop Loss once they are executed ? Also is Stop Loss Market Buy Orders allowed in baskets or only Market & Limit are allowed

Yes, you can place stop-loss order once your orders are executed.

You can place market orders for index options.

@DogsAndMe

In Orders / Positions Tab will they show TWO Different Orders with 1200 + 1200 Qty or ONE Single Order with 2400 Qty.

In orders, it will show as two orders. In positions it will show as one position of 2400 quantity.

@DogsAndMe

I believe at any given point of time, I won’t be able to sell 2400 Qty together. Am I correct ?

Right. As quantity freeze limit for Bank Nifty is 1200, you won’t be able to place order for quantity above that.

@DogsAndMe

So now based on Point 4, If the price is at 510 or 490 & I want to book my Profit / Loss will I have to execute TWO different sell orders of 1200 Qty each or ONE Single Order of 2400 Qty ?

You will have to place two orders of 1200 quantity each.

[DogsAndMe]

@ShubhS9 Thank you so much Sir for your help. Really appreciate. Cleared all my doubts

Sir, ONE Silly Question,

1. Lets say Bank Nifty 36000 CE is trading at 550. And I want to buy it at 500 when it comes down
   So,
   A. Do I need to place a LIMIT ORDER of 500
   or
   B. Do I need to place a SL-M Order of 500

Point to be noted, CMP is higher than the price at which I want to buy.

Plz help Sir.

Thank You.

[ShubhS9]

@DogsAndMe

1. Lets say Bank Nifty 36000 CE is trading at 550. And I want to buy it at 500 when it comes down
   So,
   A. Do I need to place a LIMIT ORDER of 500
   or
   B. Do I need to place a SL-M Order of 500

Point to be noted, CMP is higher than the price at which I want to buy.

If you want to buy below the current market price, you need to use a limit order. Stoploss order is used for buying above the CMP. You can check out how the limit order works here and how the stop-loss order works here.