Zerodha stoploss order

#1

Say for eg in the above image i placed a stoploss order and i have circled the price section with green line

Can someone help me that the price under green circle indicates what whether stoploss price or the price at which i want to buy that is i want to go long on gruh

Bcoz initially when i opened to buy the stock the price column shows the autopopulated price of 287.15 which is also a current market price

#2

Stop-loss order has generally 2 parts, one is Trigger price that is used to say like activate the order, the other one is the price you want to buy (either limit or market price).

#3

@Ca_aman so u mean to say that the one in green is the price @ which i want to buy(limit price) but here limit order is not selected, stop loss order is selected, or current market price

Than my doubt is where i will place a limit of SL which should be below Trigger price

#4

Here, as per ur image posted, u want to place Sl, means u have already sold the scrip and now want to place a Sl for the same (Any Higher price than the CMP). So just fill the Qty that is already sold and the trigger price of SL u wanna place.
In case u have not yet into the trade, u can;t place a SL order directly without being into the position of the scrip.

#5

@Alex_R nothing is sold i m asking in a context that if i want to place a fresh order under SL than what is the meaning of the green circled price whether it is a limit price or the price in market(cmp)

#6
  • The green circle is the limit price. A SL order is a Stop Loss Limit Order.

  • The Blue circle is the trigger price. As @Ca_aman already mentioned it is like the order is activated once the trigger price is reached.

  • For example, if you place a SL buy order with trigger at 290 (green circle) and price at 295(blue circle). Then, once the price goes beyond 290, the order is executed as long as the price is below 295 (since it is limit buy order).

  • If you want to place a market order as soon as the trigger price is reached, then you will have to use SL-M order.

#7

@prash_u you mentioned that green circle price is a limit price so how a stop loss order be place at 290 and trigger price @ 295 when the price in the market is 287.15

As per my understanding and your mention that the price in green circle is a limit price so the buy order should be below 287.15 not above that

For eg if i go long on gruh with a limit price buy of 284 and my risk taking ability is 10 rs per share so my SL will be 274 and the trigger price will be 278 or 277 like that

Pls correct me if i am wrong

#8

@vaibhavi_Shah

The screenshot you posted was of a SL buy order. So, i gave example of a SL Buy order, assuming that you are short on a stock.

For the example you mentioned now,

  • you have to first buy the stock at 284 with a normal limit order.

  • Then, place an SL order for SELL at 274 and can keep the limit price around 270 or 260 or whatever you are comfortable with. What this will do is, it will close your position as soon as price reaches 274 and as long as price is above 270.

  • If you use a SL-M order for SELL, then the position is closed as soon as the price reaches 274.

#9

@prash_u i think in the above eg 260 or 270 is a trigger price not a limit price

And if u want to say trigger price it should ne above 274 not below it

And if the 260 or 270 is a limit price than explain me how

Bcoz the max risk that i want to take is 10 and close the trade if the price touches 274…

#10

@vaibhavi_Shah

No, first the trigger price, then the limit price. The order is executed only when the Trigger is reached .

There seems to be a lot of confusion you have with these order types.
To keep it simple, generally to place stop loss orders, “SL-M” order type is used almost always.
But a “SL” type order can also be used for Stop loss and there are alternate uses of a “SL” type order too.

I would suggest you to read the post on the Zerodha Support Website to get a better understanding of these order types.
There is also a video on youtube by Zerodha on the same. I’ll leave both the links below.

Zerodha Stop Loss Orders Video - Youtube

Zerodha Support Page - Stop Loss Orders

#11

@prash_u thnx