Would like to understand how margins work in cash intraday.
I have a capital of 1,000. I would like to go long on Infosys. My buy price is 630 and 1 quantity.
It would generally cost me Rs. 630 to enter the trade.
Now as per the Margin Calculator page of Zerodha, for Infy MIS Margin is 12.5 times and for BO its 15.2 times.
Cost as per MIS - 630/12.5 = 50.4
Cost as per BO - 630/15.2 = 41.45
- If I enter the trade, let’s say in MIS, then I would enjoy the 12.5x margin? Meaning, Out of Rs.1000, Rs.50.4 would be margin used and Balance Rs. 949.60 would be available for me to trade, right?
- In case the price moves up by Rs.10 and I exit my order at the same time and i now have realized Rs.10 profit on my trade.
When does the profit of 10 gets credited to my funds and when would I be able to withdraw the same?
- On the very next day, how much money would I be able to trade with? Is it Rs.949.60 or Rs.1000 or Rs.1010?
- What is my withdraw time for an intraday’s profit? Is the Margin used reset the day after so as the complete fund can be used?
Please help. Thanks.