I placed sell order today for Dena Bank-equity and it’s executed… now I’m unable come out from the postion… As there are no sellers in mkt. What will happen now? Please assist.
Since it was an intra-day position and you couldn’t close by EOD you would have to give delivery of the stocks but since you don’t own the stock it will result in a default and thereby a Short Delivery. Now shares will be purchased in the Auction Market to complete the delivery. More on this here.
How it will impact my p&l… ?
An online trading account is used for the purpose of intraday trading. While doing intraday trading, you need to specify that the orders are specific to intraday trading. As the orders are squared off before the end of the trading day, it is also called as Intraday Trading.
That would depend at what price the stock is bought during the auction.
U will incur some good amt loss sir…keep amount ready in trading account…how much quantity u placed?
.why in the world u shorted dena bank? Did not u see Bloomberg was openly telling about dena bank UC yesterday night itself…today even in pre market we could not buy dena bank…all people were unanonymous on dena upper circuit today…
Please do thorough research before shorting sir
Haha… Thanks for the info and suggestion… it’s 2000 shares i placed @ 19.05. Can you give me how much I am going to loose approximate figure.
Max draw-down will be 20% above Closing Price of Previous Day i.e T+2.( But it is quite possible that you may get a better price for exit)
I think u will get profit now…
It is trading low at 17 today morning. Did u square off any chance on ur own?
No profit, a probable break-even presumably. The profit from that trade, if any, will probably go to the Investor Protection Fund. Keep us posted as to what happens tomorrow.
@Bhagyaraja Even though you get profit It will go to IPF (INVESTOR PROTECTION FUND). If you get loss you have to pay.