At 9:15 opening , lakhs of orders are getting executed from different brokers , HFT , prop firms , fund houses , etc. They are obviously Colocated so they get first priority.
But as retail traders in Zerodha which is the most efficient way we could get the fast execution at Market open for the F&O segment ? @nithin
Should we just focus on market orders at 9:15 or should we do AMO or should we do Pre market session ?
Which is the optimally execution order type so we can get the best possible price at 9:15?
Colocation contributes maybe only 30% of trading volumes on exchange.
As a retail trader, I think the best thing to do is place the order at the market open. There is no pre-market session for F&O. Btw trying to get this first few ticks of the day is luck of the draw. Also, there could be stray ticks that can cause you large losses. The best thing to do is wait for a minute and then place your order.
Yeah, wait for the market to settle down and then place an order. On certain days you might want to enter or exit at open because you feel market can go up or down due to some overnight news, but remember what you know everyone else knows as well. If there are a bunch of people trying to enter and exit right at the open there can be stray trades way away from actual market price.
and for the first 1 min candle at 9:15 the OHLC is 100 , 105 , 95 , 99.
Given Zerodha’s efficient charting software ,
could we say the range at which our market order will executed will roughly be between 95 and 105??? @nithin
Thanks a lot for your time and patience .
This was very helpful.
I’ve been back testing a couple of strategies and been trying to figure this out.
This clears all my doubts.
