Mistake in order placing


#1

Suppose Nifty is trading at 11000, while placing Nifty Future sell order @11,000 by mistake I type @1,100 & place the order …will it get placed /executed or gets rejected?


#2

Limit Sell order means the minimum price you want to sell at

So if you put 1100 as Limit sell price, it will execute at any price equal to or above 1100

So it will get executed at the market bid price

But sometimes there is restriction based on price. It is there in options. I dont know if its there in futures or not.


#3

My worry is if it gets executed @1100 I immediately loose Rs 7,42,500… @siva can you pl clarify it


#4

it will get rejected because 1,100 is out of trading range


#5

What’s the trading range for Nifty?


#6

It wont get exectuted, if u place sell order , it will sell only to higher bidders near the spot price


#7

Why… If somebody has placed Buy Market price order… So 1100 will be the lowest sell order price(i.e. My order)


#8

It will have circuit limits, so it won’t be any problem in this case, also if price is falling within circuit then there is something called execution range, if it is falling out of it order won’t be executed, also nifty is very liquid, if you place sell at any wrong price at worst it will hit best available bid.


#9

@siva … Assuming nifty is standstill @11000, so on KITE at the 1st instance my wrong SELL Order @1100 will get rejected OR it will get placed but not gets executed.

I understood flg from your reply, pl correct if I am wrong
If I place order which is outside the NIFTY Circuit Limit, Kite will Reject this order


#10

nope it will always choose best bid or offer for you


#11

@vishnux… If someone from other side is placing MARKET BUY order, for him it’s a best bid(lottery)… so there is no question of best bid for me!!


#12

Your order wont even be in market depth , it will already sell you for best bid available , if u want to test do the following

spot price - 11001
best bid - 11000
best ask - 11002

you put limit order sell for 10997 , your order will be executed at 11000 sell order.


#13

It won’t go to exchange, will be rejected at RMS level.


#14

Thx @siva for clarifying, I was lot of worried that if some time in panic wrong order price gets place then I may suffer a huge loss


#15

even if you put order 50 points below , which is in circuit limit , u dont have to worry , kite wont reject but see my explanation.


#16

spot price - 11001
best bid - 11000
best ask - 11002

Considering your above example, Now if by mistake I place Sell limit order @10950… So best ask will become 10950…so why it will get executed at 11000…what you say?


#17

as I told it wont even be in bid ask list , you will already executed sell at better price which is 11000 , urs is not SL order , urs is limit order , its like market order with LIMIT

In other words LIMIT order means I WANT TO SELL AT ANY PRICE , BUT NOT LESS THAN 10950