Are MIS orders not allowed in FINNIFTY? Last Tuesday Zerodha was not allowing me to place MIS in Finnnifty.

But the margin calculator page in Zerodha says all strikes with OI above 500 lots are allowed in MIS

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We started allowing MIS orders for FINNIFTY from 1st February onwards.

MIS orders will only allowed for FINNIFTY contracts with Open Interest of more than 20,000 quantities [500 (lots) * 40 (lot size)]. More on this here.

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@ShubhS9 @nithin
When would ZERODHA start market orders for all strike prices ?
Don’t you think its liquid enough ?

12,68,57,379 was the total quantity traded on 31-01-2023 (EXPIRY) on par with NIFTY on Expiry

@ShubhS9 @nithin ???

Hi @dtyxg, apologies for delayed response. Most of the trading in FINNIFTY happens around ATM strikes. The strikes that are away aren’t much liquid. Hence we allow market orders for strikes that are upto 1% ITM/OTM.

You can also place limit buy order higher than the CMP and limit sell order lower than the CMP, these will execute like a market order but not beyond the price specified by you and also work as a protection.

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Let me share you some details

Yes we can do that, been doing that.
But that takes lot of time.
At least review data among yourselves and allow market orders for strikes that are upto 2% ITM/OTM.
It helps a bit.

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Hey @dtyxg,
We have been following the increase in volumes. We will start allowing market orders for FINNIFTY if the option contract has an OI of X lots, just like we did with MIS.

While we could increase the % of ATM strikes from 1 to 2%, it will be difficult for clients to know which strikes have market orders allowed and which don’t. We understand this wasn’t the optimal solution, but we had to offer it then due to some constraints.

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Ok Cool.

But I still have use LIMIT ORDER for hedges probably.

Nevertheless can I know the specific reason why MARKET ORDERS are blocked for all strike prices ?

This shouldn’t be the reason as VOLUMES ARE BETTER THAN NIFTY ON EXPIRY FOR 20-0-20 STRIKES.

Hope you start MARKET ORDERS soon

Long Live Zerodha :two_hearts:

For FINNIFTY, as I explained, market orders were limited because not all strikes are liquidity. We are expanding the range as the liquidity improves.
For Stock options, market orders are blocked from the exchange.

Any update ?

We will be updating this by tomorrow.

Any update ?

This change is live now. Market orders are allowed for FINNIFTY option contracts whose Open Interest is over 500 lots.