I wanted to do the following trade
SELL Nifty 18 Jun 10400 CE
BUY NIFTY 18 Jun 10650 CE
This was on 05-Jun-2020, when Nifty was on 10140,
When i tried to do transaction #2 first (buy 10650 CE), it failed with an error, that these strikes are not allowed, choose a strike closer to the market price.
What are the rules on which zerodha decides what far OTM options one can buy and sell ? Does it depend on how far are we from expiry of the option being brought ?
A proper explanation will be of great help.