Hi, When the user wishes to convert intraday buy position into delivery, would all the quantity will get converted into delivery? How the exchange will find quantity for delivery as the original position was intraday? Thanks.
For the exchange, there is no difference between an intraday buy order and delivery one.
The broker(Zerodha for instance) will offer different products such as CNC(Cash and Carry), MIS (Intraday), etc. The broker provides additional leverage for intraday products to you as the position will be closed before market close and avoid overnight.
If you choose delivery, the broker has to pay the full purchase amount on T+2 days to the exchange. Hence, you are charged full amount upfront.
Once you convert your intraday position to delivery, the position won’t be marked for auto-squareoff.
Hi, thanks for the reply. May I know how the exchange will find stocks for delivery as the original position was intraday? Or is it that a new trade happens when the user goes for convert to delivery? Thanks.
Like I explained, your stock purchase using intraday/delivery doesn’t affect the exchange. As long as you still buy and hold the quantity you purchase till the end of day, it will be delivered to you.
Hi, what will happen if I sell some qty of any stock in intrday mode and at the end I convert that to delivery mode