CHARGES FOR TRADES

Hi Guys, Kindly look at my charges and the P&L. How do I overcome this situation? I mostly do swing trading, but sometimes I buy a share and sell it on the same day (selecting CNC). Rest are swing or delivery trades on Zerodha. Any tips to reduce the charges??

Til d time u have confidence of trading bigger qty switch to paper trading or single stock

Depends on the script. If it’s a small value script like MTNL, I buy many, like 1000 or even above that. Actually this is for the entire span from September 2020 till now. I started learning about Trading from a friend in the month of August and I did paper trading. Then I started in September. I think I started off with a capital of 1 Lakh INR. I made a huge loss in the first month. I took many trades per day. Couldn’t trade well because of internet connectivity in my native place. Later on, I started taking fewer trades from Dec 2020 and Jan 2021. I even withdrew my money for an emergency. I didn’t trade much for the next few months. This month again I have started trading with a capital of 1 lakh from May 10th after joining a course. Had to sell a few shares that were not performing. Then topped up to 1 lakh from the balance. Right now I buy each script for 20k or 25k max. So I split my money into 4 or 5 scripts, not that I buy 4 or 5 always. My doubt has always been about how to reduce the charges. If you see the breakdown of the charges, you can see that the STT charges are super high. Why is it so?? How do I reduce the STT?

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I was in same situation last year. STT charges are fixed in terms of % depending of type of trade. Intraday has 0.025% on sell side, delivery has 0.1% both side.
When going for quick profit, these charges will eat up your profits. From the screenshot, I can see that you are not holding stocks for more than couple of days. Aim for min 5% profit for swing trades and select stocks accordingly.

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It’s not about charges. Your trades are not profitable enough. Charges are not under your control, and they are what they are…and with discount brokers they are alright. If you never make losses, you can take home smallest of profits, but that’s not going to be the case. So you have to cut losses and aim for higher profits. Easier said than done I suppose.

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Yes. His profits are small or his capital is very small to trade.

Hi Nitheesh,




To give you some good enthusiasm towards, swing trade I’m sharing one of my recent trades. The capital invested is around 50K on 2021-05-27. Exited on 2021-06-3 with 16.53% profit. See the charges (Tax+ DP charges only)

I’m not here to say that I’m an excellent trader but, right stocking picking, a good entry n exit point always lead to you a valid profit. Definitely, we can’t make this much profit in this short time (4 trading days) always. So give quality time on stock analysis, hold it tight (as every social media Crorepati says). It will increase the win rate ​automatically, cut down unnecessary charges. Have a good day.

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Thank you for the suggestion, bro. Will definitely try implementing this.

Alright bro. I guess I am a bit unlucky when it comes to holding on to stocks. I end up losing the profits too… lol. Anyway will take your feedback. Thanks a lot.

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Trying bro. Just not working out well. :sweat_smile:

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Congrats for your skillset. But it was no helpful for me at least. All I see is 16% percent profit. Could you please care to share the , buying price, selling price, stop loss , delivery quantities, STT etc to understand and follow the logic.

It will help people like me big time

You should keep the target big.
Smaller stoploss and smaller target increase the trading cost. Despite being profitable, we are not able to extract profit.
And in the delivery trade, almost half the profit is eaten by STT alone.
Take Less Trades, Bigger Targets, if swing trade then take profit at least 2X of your Risk.

In this I did test for intraday from 1000 rupees. If I had done the same trade in delivery, all the profit would have been eaten by STT.
You are doing delivery. Increase your target. Not to quantity and risk.

Look at the expenses. By increasing the capital, my brokerage will be fixed at 40 and profit will increase.