Good afternoon…
Suppose I have a running multi leg hedge position. And I want to exit my hedge and want to make the position naked shorts.
I want to know before hand how much margin requirements will increase if I exit the hedge leg?
I just want to ensure that my margins/available cash don’t become negative…
Secondly, if I exit the hedge leg on expiry day, and after exit my available cash and margins are both positive, are there any chances that they may become negative after trading hours?
Someone please guide…
Thank you
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There are few ways to track this:
When you’re placing an exit order, the order window will display the margin required, indicating that after closing the specified leg, the portfolio margin utilized will increase by that particular amount. Explained here.
Alternatively, you can check the margin requirements using the basket order feature on Kite or on the margin calculator page.
Once the positions expire, the margins will not change.
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Thank you Sir…This was helpful…
@ShubhS9 If I am trading in 0dte expiry day options.But still i am getting margin shortfall after 5.30 PM update from NSE. Will I be penalised for short fall? Since the the contracts expired at 3.30 PM itself.
PS: All my positions/trades are 0dte.