Well, that’s what we need! Basket orders with margin benefit! Please start it from next week or as soon as possible!
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Thousands thanks to you, Siva ji.
Just for a single answer we were hitting our head for so many days but nobody cared to clarify this…
Now we are relieved.
Yes, of course, restrictions should continue as usual for single buying without selling beyond the range. That will be beneficial for the sellers to hedge.
That is why we love Zerodha so much you know…
Ureka!
@siva You are not getting the point here.
For these shorts to be there we need HUGE margins.
In basket orders let us put outside range buy first, and let it execute. This will enable the margin benefit for next sell order in the basket.
To sell (with margin benefit ) you ask for buy first. To buy you ask for sell leg first.
Simply put with of without basket orders , if I wanna trade 40 spreads far OTM, you are asking to bring in 40 Lakhs to short first and then buy the hedge.
That’s not what @siva said.
Even in basket. If your first order is Buy outside range - it will get rejected.
If your first order is sell - it will get rejected due to insufficient margins as no buy position is there.
@siva to clarify if I am wrong
One more query Siva ji,
In the basket we hope the total required margin will be displayed as it is being shown now while we are going to order…
Please let us know.
For basket, what we understand is that you will place order for all legs with a single click. What Sensibull is doing now. And Siva is confirming that we will get the margin benefit upfront. So if we place market orders then there’s all possibilities that all the legs will get executed comfortably. But if we place limit order then any leg may not get executed instantly which may impact the margin benefit or lead to cancellation of other orders, if amount is not sufficient. What the system will do, I guess that it reads basket whether it is allowed for taking buying positions first in lieu of selling then will execute only buying position and then selling, in this process it will automatically squeeze out the margin benefit upfront. But the buying position must be executed first. So it will be safe to place market order instead of limit.
That is my take here.
@Siva ji, would you correct me if I’m wrong here?
@Tapastanay the later part of the statement is self explanatory - but to allow to buy all options outside range then first shorts should be there - means even in basket orders buy legs will get rejected.
And they cannot execute sell legs with reduced margins if buy leg is not already in position, as this will violate SEBIs upfront margin rule.
Just out of curiosity as I’m new here, how do basket orders placed from NEST trader work? I believe a couple of years ago Zerodha used NEST and in that case were sell orders executed first and then the buys? Or did all orders in the basket get executed at one go?
And my other query is how does Orbis solve this issue? I mean if after a few months the number of clients at orbis increases substantially, they too would hit the OI limit and impose the same restrictions? So this is only an interim solution right?
OMG!
Again dashed on the ground.
Feeling very upset. Then what is the use of basket order, if a trader is not allowed to reap the benefits?
If the basket is not going to help us to take position beyond limit in OTM then how can we use it for implementing any strategy like spread?
No solution then except the repetition of SB process… Very unhappy and will be disappointed very much if no solution is provided on this problem.
The partnership with Orbis works as good as having a second brokerage. Some of our large customers are slowly and steadily moving.
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- No use for <1 crore.
- As you yourself say - only “some” that too “slowly” moving. Meanwhile lesser souls suffer “steadily”.
- Many unwilling to move due to various restrictions - No equity, no collateral.
Will be moving out of zerodha completely. Lost 1.5 Lakh today as was unable to adjust my positions due to orders getting rejected. @nithin its not possible to satisfy each and every client. It was stupid of me that I continued here in false hope of resolution.
Bye bye
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May I know the reason for rejection?
Yesterday, strikes even 200 points apart were blocked!!
So I was forced to go too near. Hence loss.
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Hey @siva I would like to thank you for inquiry and showing concern.
But as expected you have no answers. Can’t wait till to see ATM strikes getting blocked.
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Surely.
Any one who wanna look at alternate brokers, just so as to reduce load on our beloved zerodha, I will post pros and cons of other brokers wrt margin benefit here.
@siva When is basket orders going to release? You earlier said today.
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Not today, for sure on monday or tuesday.
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Just one question. Will there be limit on no of orders per basket?
And will orders get executed sequentially only?
20 per basket.
Yeah, under normal conditions.
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