Explained here.
But yesterday there was just a 2 point difference btw the price and my SL and yet it didn’t hit but today with a 5 point difference it hit and my entire trading mindset was thrashed for today. Bad Luck !!
It didn’t hit yesterday because price didnt your sl yesterday. Today Price reached your sl, even though it is not being shown on zerodha chart. You can call it bad luck or whatever but you should acknowledge to yourself that the price went upto your sl and only becasue of that it was hit.
Markets were very volatile today, so chances of something like this happening are high on such days.
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There is technical explanation of how Stop Loss orders trade liquidity in the market for the benefit of reducing the loss, in many Market Microstructure books. It involves considering the Limit orders and Stop Loss orders as short term Options… It can be confusing… Solution is to change the Question…
Question has to be “Why place the SL order in the first place?” To STOP… LOSS. Did it do that? It is not there to give profit, it is there to avoid losses when the market perception changes radically. Like it is happening in this week. I am glad, many have the habit of using stop loss.
One can use SL order to keep profit or break even, if the market moves in your favor by moving the SL with respect to LTP. Call it Trailing stop loss. There Stop loss can be used to give profit. It can be very profitable, if you have kept the SL at optimum distance.
Hope it helps. Happy Trading
Yes that happens, sometimes it happend for me and i cud see the charts were updated next day, sometimes it shows on tradingview chart differently than on zerodhas.
Many times this profited me lol my sl is triggered and it got filled 80 ruppes in my direction. And this happens many times in pre market limit order also, i got the fill where price never trades but sometimes its updated on chart next day sometimes it doesnt.
Happened to me on both sides Nithin Anna, SL hit without on chart and target achieved without on chart. Only question i have now is, this will happen with all broker or depends on orders from broker to exchange
This can happen with all brokers, as explained above, if a trade is executed you can be rest assured that the price was printed and it can be reconfirmed on the NSE Trade verification module within 5 days from when it was executed and you could also see the day’s range on the daily Bhavcopy and you will see your SL/Limit price within this range.
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same happened with me I bought call option of 67 on expiry it hit stop loss of 51…15 points downward while nifty even didnt move 15 points then after the sell it reached 100. more than 10 times happened with me
this is normal in options as options are most volatile product out there… even if underlying does not moving much, price of option can move due to various greeks and most important is that option prices are always losing value due to theta decay.
Okay, I understand this part. But does this mean the highs and lows of a candle might not have captured the entire price movement during that candle’s duration?
Exactly my question too. The reported HIGH of the Candle at which the trade was triggered is BELOW the price point where it was triggered. 1562 was the trade price and the HIGH is reported as 1561.90 (TradingView and others, and 1561.50 (Zerdoha Kite).
This is HDFCBANK on 2021.03.10 (today) at 12:00 on 1min Candle.
When I place a stop loss order,
- is the order in Zerodha servers until triggered or is it with the exchange?
- Can stop loss orders be seen if someone has access to tick by tick data?
With the exchange (Refer to this thread - Mechanism of Stop Loss - #2 by siva)
This is not possible as Stop loss order book is not exposed to even subscribers of tick by tick data (Refer to these threads - Is it possible to target someone's stoploss? - #2 by siva and Stop loss hunting - #22 by siva)
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Thanks Nithin. The real issue is when we dont see Highs or Lows reported by Tradingview on the Ticks API on Kite. I run a nodejs API that streams all ticks from Ticker (Kite Ticker) to a persistent message bus (Kafka) and then logs it asynchronously. I am not into High Frequency trading but I do have a system that requires each tick. Even if the tick is processes say 10sec after it actually happened I am fine. Now with Kite Am I missed lows on EICHERMOT and MUTHOOTFIN on 13-Aug-2021. I have maintained a log of the ticks from Kite If your Kite team is willing to investigate that would be really great. I am a big fan of KITE and wouldnt want to migrate to anything else just because of an error that can be resolved
Not possible with us, other platforms also won’t captures all ticks directly but data vendors refill in case it is missed based on OHLC received from market depth.
Thanks Siva. just for my better understanding, doesn’t Zerodha receive every trade info from NSE. in real time. so if a trade happens at a certain price don’t you get tick ?
Just to be super clear am referring to each trade that happens on the exchange and not the OHLC of any time frame.
There can be hundreds or thousands of trades every second, we or anyone will get only 2,3 ticks per second, to receive all trades one should be at colocation, via internet that is not possible, leased line is required to send that much of data.
Hi Nithin,
Let us suppose a minute consists of “n” ticks.
Why can’t the highs & lows of all “n” ticks cumulatively can give the high & low of that specific minute & thus a error free chart and error free minute data?
Just wanted to understand what is the technical challenge in publishing the chart/minute data error free?
Check out my first response.
There could be tens of thousands of ticks in a minute on the exchange, but as a broker, we will only get a subset of those ticks from the exchange (approx 2 to 3 ticks a second). A broker can only plot charts from the ticks received, not the ticks at the exchange.
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