Why are penny stocks are not allowed to be shorted in Zerodha?


#1

Why am I not able to short sell penny stocks in Zerodha.


#3

Penny stocks usually have 5% circuit limits

So if you short and stock hits 5% upper circuit, then how will you close your short trade?


#4

Still don’t understood the answer of the question.


#5

Generally penny stocks trade in T2T category…so one has take delivery before selling it…