Holding Shares already. What if I sell those as CNC and buy the same day (CNC or MIS)

General
1

I am holding 1000 shares of ABC in my demat.

Scenario.

1. I sold all 1000 as CNC on a particular day.
2. The same day price was low for an instance (could be prior/after selling all) so I bought 1000 again as CNC or MIS.

Will it be considered an Intraday (short-sell) or the Holding would be sold first and new bought would be allocated in T+2 days.

Eg : 

I bought (CNC) 1000 on say 1Jan2016, and sold today 15Sep2016 (CNC).. 
Now, I bought (CNC) 1000 again on 15Sep2016.

As per the logic of Buying-Selling (CNC) same day it is treated as MIS Intraday, so shouldnt it be the case in the reverse? Selling-Buying (CNC) on sameday

2 Likes
2

hElLO tRaDeR,

The record keeping system follows a FIFO system.

If you have used the CNC option on your First SELL order, it will be recorded as a delivery sale completed.

Holdings sold first and new MIS short sell when you convert.

(This applies to holdings in T2 or more, T1 CNC sale is considered as an intraday sale anyway )

1 Like
3

Following your example,

      If you bought shares on jan 1 2016 then shares should be in your demat. So on 15th sep if you sell them as CNC then it is a delivery transaction, but you again bought shares of the same company on same day( price less or high) using CNC it is considered as intraday. Shares in your demat does not get debited.

Just make sure you sold and bought with CNC as product type.

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4

Can i sell the stock which i bought selecting CNC on the same day ?
Similarly, Can i buy and hold the stock for long term if decide not to sell the stock on the same day using the MIS option.?

5

yes you can sell the stock same day except shares of T and Z group. it will be intraday brokerage SAME WAY if you bought and do not sell by end of the day it will be a delivery trade with delivery brokerage.

6

What is T and Z group shares?

7

T and Z group shares are defined by exchanges on regular basis and at a given time there are more than few hundred shares in T or Z group . in these shares no intraday is allowed means 100 % delivery and maximum circuit allowed is 5% and can be even 2%. most important thing in case of short delivery by seller ,there is no auction in such shares as like normal group shares but compulsory square off of the trade wherein the buyer of shares do not get shares but his purchase value return with some extra money say 15-20 % debiting the account of seller…thus heavy loss in case of short sale.

8

What if trader have 20 share on 1 jan 2016 and he buy 30 share as CNC on 15 sep 2016 and on then he sell 40 share on the same day.?? Please reply

9

Selling holding shares and buying the Same shares again the same Day

Assuming.

I am already holding shares ABC for almost a month.
I sell ABC shares today and after selling the price of the share ABC has declined is it possible to purchase the same share back on the same Day of selling for a lesser price? Is it possible?

10

Yes, it is possible to buy back the shares same day after selling them from your Holdings, this will be considered as Intraday trade and will be charged accordingly.

11

Can someone answer my question please?

  1. I bought shares xyz last Monday under CNC with 3X leverage. My fund was, say, 30k.
  2. next day, Tuesday, I was in profit but I couldn’t sell it because of rules.
  3. next days I was in loss and on Thursday last, my broker sold two thirds of my holding, reducing my leverage from 3X to 1X. At the point of sale, I was running around 2k loss. Still I had 28k in my account.

My question: even if I have sufficient fund can the broker sell off his leveraged part?