I have a query, Can I put counter trades simultaneously to protect my account from losses? Suppose I put a long trade on nifty50 futures in intraday, then I suddenly put a short trade to protect my account from losses. Is this legal and does zerodha allow this?
You can, especially by employing options. You can construct a synthetic long or short position to mimic the futures position. Check this for more details - http://zerodha.com/varsity/chapter/synthetic-long-arbitrage/
Can we execute Synthetic long arbitrage on intraday basis, i.e., not waiting till expiry date?
Yes, you can. However, from what I’ve seen, these trades take time to revert to mean and the desired outcome occurs over a couple of trading sessions.