How does the GTT feature work?

GTT stands for Good Till Trigger. They are triggered condition order in which you need to set condition and when your set condition is completed your order will go to the exchange and on the set Limit Price or Market Price it will get executed.

GTT orders are valid for next 365 days or till it gets triggered.

A GTT is a trigger which places a limit order or market price order (at the limit price or market price, selected by you) as and when the trigger price, selected by you, is met or breached. In case the trigger price is breached during a particular day and the limit price selected is not exactly met on the same day, all such orders will be cancelled at the end of such trading day session.

The trigger set on GTT is valid only once, if the order is placed and is not executed for any reason, the GTT order has to be replaced again.

If the Last Traded Price (LTP) of a scrip jumps than the trigger price selected, or if the LTP opens at a gap up or gap down breaching the selected trigger price, an order would be placed at the selected limit price. GTT Order will be placed when normal market opens. GTT will not participate in preopen market.

Terms of Usage - Good Till Trigger (GTT)

These Terms of Use govern the usage of services of the GTT Feature. By agreeing to use this GTT Feature terms, you agree to have read and understood these clauses, conditions, the modalities of how the GTT Feature clearly works, and ProStocks’s policies, procedures and risk disclosure documents.

Definitions

1. “Good Till Trigger Feature” or “GTT Feature” shall be defined as per "GTT Feature as a Service".
2. “Last Traded Price” or “LTP” is the last traded price at which a stock/scrip was traded on the Exchange and received by our server.
3. “Limit Order” , "Market Order" , "Stop Loss order" , "Stop Loss market Order" or order shall be defined as per the NSE “Order Conditions” which can be found here.
4. “RMS” or “Risk Management System” is the system in place at ProStocks which monitors all positions of ProStocks clients on a real time basis and sees to it that clients maintain margins with respect to all positions/positional trades and that ProStocks maintains margins at a broker/trading member level with the clearing houses. The RMS also constantly vets each order, on a pre-trade basis, placed by a client towards the exchanges to see whether the order is as per ProStocks’s risk management policies and procedures, and whether the client has placed such order with sufficient cash balances, holdings and as per the rules set by and the Exchanges. The RMS continuously enforces ProStocks’s terms, policies and procedures, by enforcing limits of margins/squaring off positions with respect to each client, as per the risk management policies followed by ProStocks. You, as a client, are required to always be updated with ProStocks’s risk management policies, terms, and procedures.

5. “Trigger Condition” shall mean the criteria and conditions entered by You, which if met, the corresponding order entered by you will be placed on the exchange. The below set of conditions, not being limited to, are required to be selected by You:

   A Trigger Price (defined as per Clause 4)

   Type of order: You will be able to select Limit Order, Market Order, Stop Loss order and Stop Loss market Order as a type of order for your using the GTT Feature.

   A Limit Price: the price selected by you, which places a limit order at the price selected by you after the Trigger Price is met or breached.

   A Market Order: Place market order to buy or sell order at best available price in the market. Mostly, a market order gets executed instantly because its matching order is already in the queue.

   A Stop Loss Order: Place stop loss order to avoid loss (beyond a desired level) by the order which has been already placed. Stop loss is a conditional order, where the condition is the price level or ‘trigger price’ at which it becomes active and starts acting as a normal order.

6. “Trigger Price” shall mean the price entered by you to trigger an order and place it on the exchange while using the GTT feature. This price selected by You may either be:

   All prices entered by You for Your Trigger Price shall be tracked against the Last Traded Price (LTP) of the stock/scrip received by server of the ProStocks.

   The price selected by you as a Trigger Price, for stocks/scrips having a market price greater than Rs. 50, must be 2 % away from the current market price of the stock.

   The price selected by you as a Trigger Price, for stocks/scrips having a market price lesser than Rs. 50, must be 25 to 50 paisa away from the current market price of the stock.

7. “You” or “Your” or “Yourself” shall mean you, the client, having a trading and demat account i.e., a Client ID, with ProStocks and using the GTT Feature placement services from your ProStocks Star trading terminal through either Star Web or the Star Mobile Application.

GTT Feature as a Service

“Good Till Trigger Feature” or “GTT Feature” or “GTT” is a feature which allows You to set certain Trigger Conditions; such that, as and when such Trigger Conditions are met, an order as per the Trigger Conditions set by You would be placed on the Exchanges. By using the GTT Feature, there is no actual order placed, until and unless the Trigger Conditions, as set by You are met. ProStocks stores the Trigger Conditions, as set by You, and places an order to the Exchange as and when the Trigger Conditions are met.

At all times while placing GTT, you are required to maintain sufficient cash balance and sufficient quantity of holdings of the respective scrip in Your trading account, such that; all Your GTT’s may be successfully triggered, as per the Trigger Conditions set by You. In case there is insufficient cash balance or insufficient quantity of holdings with respect to your GTTs at any point of time in your trading and demat account, your GTTs may be cancelled at the sole discretion of ProStocks and the ProStocks RMS. In case you are using EDIS , make sure that you do EDIS each day before market opens against your sale delivery GTT order.

There are various checks that the RMS at ProStocks does on a pre-trade basis as and when clients request orders to be placed, but before orders are placed at the Exchanges. All such checks are done as per the rules of the Exchanges, SEBI and ProStocks’s internal risk management policies and procedures.

The Call and Trade feature at ProStocks shall not be allowed for clients using the GTT Feature.

At a particular point of time, You / each client may only have a maximum of 100 pending GTTs.

There are two types of GTT Features:

• Single trigger: A single trigger price entered by You, which may be used to trigger either a target order (if LTP selected is higher than the current market price) or a stop loss order (if LTP selected is lower than the current market price)
• “OCO” - One cancels other: This feature type is applicable for stocks which are already in your current holdings. Two trigger prices can be entered by you, where one trigger price would be above the current market price behaving as a target price and one trigger price would be below the current market price behaving as a stop loss price.

Triggers under both the types: Single and OCO would be triggered as per the Trigger Price and Trigger Conditions selected by you.

Orders may not be placed, may be rejected or cancelled, may not be executed, even if Trigger Conditions are met, as per the GTT Feature, in the below mentioned market timings/conditions:

• In case the Trigger Price is breached during any day (which may be caused due to a gap up or gap down opening at market opening), an order shall be placed at the limit price selected by you and shall be cancelled at the end of such trading session; in case such limit price is not met during the day;
• In case the minimum difference between Trigger Price selected and the LTP at that point of time, is not as per Clause 1.5;
• All GTT’s are cancelled after 365 days from placing such request in case they are not triggered as per the Trigger Conditions;
• In case there is a change in exchange series or any corporate action, such as; splits, bonuses, dividends of extraordinary nature (above 5% of market price), merger, reverse mergers, amalgamations, takeover, delisting, rights issue, etc. where there is a significant impact/change in the scrip price, the GTT may be cancelled at the sole discretion of ProStocks, 1 day prior to the Ex-date of such corporate action effect taking place on the stock price. The action of cancelling such an order request through the GTT Feature shall be at the sole discretion of ProStocks and ProStocks RMS;
• Order requests being placed through the GTT Feature, once the Trigger Price is breached and such limit price selected is outside the circuit limits of the particular scrip;
• Scrips falling under the Call Auction list by NSE are not to be used under the GTT Feature. The list is updated by NSE and the latest list of such scrips can be viewed here.

Once a GTT is triggered for a derivative contract, if the order is placed outside of the contract's "execution range" it may be cancelled the by the exchange. Any cost You may incur due to such cancellation of an order placed outside the execution range is liable to be paid by You.

If a GTT is triggered for an option contract that isn't allowed for trading by ProStocks, the order may be rejected.

The onus of checking for a pending GTT for a scrip before placing any new order(s) for the same scrip from the order window, positions page, or via call and trade.

GTTs for derivative contracts are only valid for the lifetime of the contract. Pending GTTs for a contract will be invalidated one day after the expiry of the contract.

Charges for Usage of GTT Feature type

As an introductory offer, there shall be no charges levied on requesting orders through the GTT Feature for the first 3 months, for all clients of ProStocks.

ProStocks, at its sole discretion, shall be allowed to decide the pricing/brokerage for placing the GTTs; as and when the introductory offer period ends.

Risks, Non execution and Applicable law

This GTT order does not assure execution of an order and includes/involves all risks with respect to Internet Based Trading, and risks with respect to trading in the Capital Markets segments will extend to trading using the GTT orders as well.

Please make sure to once again read and understand the terms, conditions and points under the Equity Annexure and Risk Disclosure Document, which You have already agreed to while opening Your trading account with ProStocks.

ProStocks is a stock broking entity registered with SEBI under the registration number INZ000048660 INDP2802016, and a member of NSE and BSE. Therefore, all rules and regulations prescribed by SEBI and the Exchanges would have to strictly be followed by You while placing instructions through ProStocks. All other laws and regulations as per the Republic of India would be applicable.

No Liability for Any Non-Execution or Any Lost Opportunity

ProStocks, at all times, bears no liability towards You for any reason whatsoever with respect to using the GTT Feature; including but not limited to, non-execution of any order using the GTT Feature / either leg of the order, any opportunity loss for non-execution of such orders/trades, any cancellation or non-placement of any orders, and any such other claims which may arise from You with respect to using the GTT Feature.

Subject to Change

This Terms of Usage and the Service of ProStocks placing orders under the GTT Feature, may be removed/modified/replaced at any point of time without providing any prior notification to You. It is Your responsibility to review this Terms of Usage every time You use the GTT Feature.

How does Bracket Order work?

Bracket Order (BO) is a type of order where you can enter a new position (intraday only) along with a target/exit and a stop-loss order. As soon as the main order is executed, the system will place two more orders (profit-taking and stop-loss). When one of the two orders (profit taking or stop loss) gets executed, the other order will get cancelled automatically.

Terms of Usage – Bracket Order (BO)

These Terms of Use govern the usage of services of the Bracket Order. By agreeing to use Bracket Order, you agree to have read and understood these clauses, conditions, the modalities of how Bracket Order clearly works, and ProStocks’s policies, procedures and risk disclosure documents.

Definitions

1. “Intraday” means opening and closing the position within one trading session on the same day.
2. “Last Traded Price” or “LTP” is the last traded price at which a stock/scrip was traded on the Exchange and received by our server.
3. “Limit Order”, "Market Order”, "Stop Loss order" , "Stop Loss market Order" or order shall be defined as per the NSE “Order Conditions” which can be found here.
4. “RMS” or “Risk Management System” is the system in place at ProStocks which monitors all positions of ProStocks clients on a real time basis and sees to it that clients maintain margins with respect to all positions/positional trades and that ProStocks maintains margins at a broker/trading member level with the clearing houses. The RMS also constantly vets each order, on a pre-trade basis, placed by a client towards the exchanges to see whether the order is as per ProStocks’s risk management policies and procedures, and whether the client has placed such order with sufficient cash balances, holdings and as per the rules set by and the Exchanges. The RMS continuously enforces ProStocks’s terms, policies and procedures, by enforcing limits of margins/squaring off positions with respect to each client, as per the risk management policies followed by ProStocks. You, as a client, are required to always be updated with ProStocks’s risk management policies, terms, and procedures.

Terms and Conditions (Bracket Order)

The client agrees that Bracket Order is an additional facility being provided by ProStocks and the client understands he can place multiple orders one after the other instead of placing a multi-leg bracket order.

Bracket order is currently available from 09:11 am to 3:15 pm – these timings may be amended as per ProStocks’ discretion, without any prior notice and without assigning any reasons for the same. ProStocks shall not be responsible for any costs/losses, direct or indirect, arising out of non-availability of such Bracket order.

The client acknowledges that in the case the position is not squared off till 3:15 pm or any such other time that ProStocks, may at its sole discretion decide, ProStocks shall endeavour to square off the open position. In case the said position is not squared off before the closure of the market, the position shall be carried forward to the next day. In such cases the clients shall be responsible for ensuring the adequate margins are available in the client’s account with ProStocks in order to ensure there is no shortfall. In case there is a margin shortfall, the positions may be squared off based on the risk management policy of ProStocks.

ProStocks does not guarantee that the orders will be successfully placed for square-off of all open positions or that orders place for square-off shall be executed. In case the positions are not squared off for any reasons beyond the control of ProStocks, such as price band, technical glitches, software malfunctions, etc. the same may result into delivery. The client fully understands that such situations might result in additional margin requirements and pay-in obligations from the client for funds and securities and client would have to honour such obligations. All costs/expenses/charges arising out of such obligations/ failure to meet such obligations shall be borne by the client.

Further, the client agrees that any cost, including, interest, additional brokerage, penalty on margin shortfall etc, on account of carry forward of the positions shall be the sole responsibility of the client.

The client acknowledges that any loss on account of such delay in square off, whether actual or otherwise shall be the sole responsibility of the client. ProStocks shall not be liable for the same.

Although ProStocks shall take best efforts to square off all the unexecuted orders within timeliness provided, however, technical/system related/ communication failure issues or other glitches and constraints beyond control of ProStocks may prevent ProStocks from squaring off the same within timelines and that in such scenarios, ProStocks shall not be held liable for any losses incurred thereon.

Loss suffered, if any, in the course of the said trading will have to be borne by the client only and ProStocks, its associates, directors or employees shall not be responsible whatsoever for the same.

Charges for Usage of GTT Feature type

As an introductory offer, there shall be no charges levied on Bracket Orders for the first 3 months, for all clients of ProStocks.

ProStocks, at its sole discretion, shall be allowed to decide the pricing/brokerage for placing Bracket Orders; as and when the introductory offer period ends.

Risks, Non execution and Applicable law

Bracket Order does not assure execution of an order and includes/involves all risks with respect to Internet Based Trading and risks with respect to trading in the Capital Market segment will extent to Bracket Order as well.

To note: When markets are volatile, sometimes both target and stop loss orders get executed instantly – this could result in an additional open position – in any such case ProStocks will not be liable for any losses, if any, and will have to be borne by the client only and ProStocks, its associates, directors or employees shall not be responsible whatsoever for the same.

Please make sure to once again read and understand the terms, conditions and points under the Equity Annexure & Risk Disclosure Document, which you have already agreed to while opening your trading account with ProStocks.

ProStocks is a stock broking entity registered with SEBI under the registration number INZ000048660 INDP2802016, and a member of NSE and BSE. Therefore, all rules and regulations prescribed by SEBI and the Exchanges would have to strictly be followed by you while placing instructions through ProStocks. All other laws and regulations as per the Republic of India would be applicable.

No Liability for Any Non-Execution or Any Lost Opportunity

ProStocks, at all times, bears no liability towards you for any reason whatsoever with respect to using Bracket Orders; including but not limited to, non-execution of any order using Bracket Orders / either leg of the order, any opportunity loss for non-execution of such orders/trades, any cancellation or non-placement of any orders, and any such other claims which may arise from you with respect to using Bracket Orders.

Subject to Change

How does Cover Order work?

Cover Order (CO) is two leg orders where the first leg of the order creates position and second leg of the order is position off setting/closing stop loss order. As the name suggests, second leg stop loss order gives cover or protection to losses which may arise from the first leg order, hence called Cover Order (CO). Cover Order has inbuilt protection. Cover order is a synthetic order and is not supported by the Exchange API and is created by combining one normal or regular order with one stop loss order, hence synthetic order.

1. “Last Traded Price” or “LTP” is the last traded price at which a stock/scrip was traded on the Exchange and received by our server.
2. “Limit Order”, "Market Order”, "Stop Loss order" , "Stop Loss market Order" or order shall be defined as per the NSE “Order Conditions” which can be found here.
3. “RMS” or “Risk Management System” is the system in place at ProStocks which monitors all positions of ProStocks clients on a real time basis and sees to it that clients maintain margins with respect to all positions/positional trades and that ProStocks maintains margins at a broker/trading member level with the clearing houses. The RMS also constantly vets each order, on a pre-trade basis, placed by a client towards the exchanges to see whether the order is as per ProStocks’s risk management policies and procedures, and whether the client has placed such order with sufficient cash balances, holdings and as per the rules set by and the Exchanges. The RMS continuously enforces ProStocks’s terms, policies and procedures, by enforcing limits of margins/squaring off positions with respect to each client, as per the risk management policies followed by ProStocks. You, as a client, are required to always be updated with ProStocks’s risk management policies, terms, and procedures.

Terms and Conditions (Cover Order)

The client agrees that Cover Order is an additional facility being provided by ProStocks and the client understands he can place multiple orders one after the other instead of placing a multi-leg Cover order.

Cover order is currently available from 09:11 am to 3:15 pm – these timings may be amended as per ProStocks’ discretion, without any prior notice and without assigning any reasons for the same. ProStocks shall not be responsible for any costs/losses, direct or indirect, arising out of non-availability of such Cover order.

The client acknowledges that in the case the position is not squared off till 3:15 pm or any such other time that ProStocks, may at its sole discretion decide, ProStocks shall endeavour to square off the open position. In case the said position is not squared off before the closure of the market, the position shall be carried forward to the next day. In such cases the clients shall be responsible for ensuring the adequate margins are available in the client’s account with ProStocks in order to ensure there is no shortfall. In case there is a margin shortfall, the positions may be squared off based on the risk management policy of ProStocks.

ProStocks does not guarantee that the orders will be successfully placed for square-off of all open positions or that orders place for square-off shall be executed. In case the positions are not squared off for any reasons beyond the control of ProStocks, such as price band, technical glitches, software malfunctions, etc. the same may result into delivery. The client fully understands that such situations might result in additional margin requirements and pay-in obligations from the client for funds and securities and client would have to honour such obligations. All costs/expenses/charges arising out of such obligations/ failure to meet such obligations shall be borne by the client.

Further, the client agrees that any cost, including, interest, additional brokerage, penalty on margin shortfall etc, on account of carry forward of the positions shall be the sole responsibility of the client.

The client acknowledges that any loss on account of such delay in square off, whether actual or otherwise shall be the sole responsibility of the client. ProStocks shall not be liable for the same.

Although ProStocks shall take best efforts to square off all the unexecuted orders within timeliness provided, however, technical/system related/ communication failure issues or other glitches and constraints beyond control of ProStocks may prevent ProStocks from squaring off the same within timelines and that in such scenarios, ProStocks shall not be held liable for any losses incurred thereon.

Loss suffered, if any, in the course of the said trading will have to be borne by the client only and ProStocks, its associates, directors or employees shall not be responsible whatsoever for the same.

Charges for Usage of GTT Feature type

As an introductory offer, there shall be no charges levied on Cover Orders for the first 3 months, for all clients of ProStocks.

ProStocks, at its sole discretion, shall be allowed to decide the pricing/brokerage for placing Cover Orders; as and when the introductory offer period ends.

Risks, Non execution and Applicable law

Cover Order does not assure execution of an order and includes/involves all risks with respect to Internet Based Trading and risks with respect to trading in the Capital Market segment will extent to Cover Order as well.

Please make sure to once again read and understand the terms, conditions and points under the Equity Annexure and Risk Disclosure Document, which you have already agreed to while opening your trading account with ProStocks.

ProStocks is a stock broking entity registered with SEBI under the registration number INZ000048660 INDP2802016, and a member of NSE and BSE. Therefore, all rules and regulations prescribed by SEBI and the Exchanges would have to strictly be followed by you while placing instructions through ProStocks. All other laws and regulations as per the Republic of India would be applicable.

No Liability for Any Non-Execution or Any Lost Opportunity

ProStocks, at all times, bears no liability towards you for any reason whatsoever with respect to using Cover Orders; including but not limited to, non-execution of any order using Cover Orders / either leg of the order, any opportunity loss for non-execution of such orders/trades, any cancellation or non-placement of any orders, and any such other claims which may arise from you with respect to using Cover Orders.

Subject to Change

ProStocks reserves the rights to modify all or any of the terms and conditions at any time. Updated terms and conditions would be available in the online login of the client on the website www.prostocks.com/" target="_blank">www.prostocks.com.

What is Cover order? How to Use Cover Order? Benefits of Cover Order?

How to use Cover Order in Stock Market?

Does ProStocks Provide Cover Order?

Cover Order is Intraday or Carry Forward or Delivery order?

Introduction

A Cover Order (CO) is two leg orders where first leg of the order creates position and second leg of the order is position off setting/closing stop loss order. As name suggest second leg stop loss order give cover or protection to losses which may arise from first leg order, hence called Cover Order (CO). Cover Order has inbuilt protection. Cover Order is synthetic order is not supported by Exchange API and is created by combining one normal or regular order with one stop loss order, hence synthetic order.

Benefits of Cover Orders

Cover Order allows you to simultaneously place position creating order and corresponding position closing order, in one go.

Cover Orders help you limit any potential losses that could be incurred on a position.

Limited Risk/loss and Maximum Profit: Cover Orders minimize downside risks and provide effective control over risk management. Since there is always a second leg stop loss corresponding to first leg trade/position, Cover Order help users trade in a disciplined manner.

In Nutshell, Cover Order reduces downside risk without imposing any limits on their returns.

How Does a Cover Order Work?

• A Cover Order (CO) is a two legged order. First leg can be Buy or Sale with compulsory corresponding stop loss order in the opposite direction as second leg of the order.
• First leg is also known or referred as parent order and second leg as child order.
• Most Stock Broker if they allow CO, The first entry order will always be a Limit order. However at ProStocks, first leg which will create position can be limit or market or even stop loss order, which is superior to CO where first leg can only be Limit order.
• Stop loss order will sit in the order book as a Stop-Loss trigger pending order; once last traded price reaches or crosses the trigger price, it gets triggered (Converted) as a normal Limit order (from SLL) or normal limit order (from SLL). At ProStocks, second leg is always SLL and first leg if placed as stop loss position creator order, than SLL.
• The trigger price range will be defined daily and the client must place the stop loss order within the specified range. For example, suppose Infosys is trading at Rs. 1700/- and daily price range (also known as circuit limit) for the day is Rs 1530/- to Rs 1870/-. In this case the client can specify the Stop Loss order between the price ranges of Rs.1530/- to 1870/- as the trigger price. Clients are expected to keep sufficient gap from lower and upper limit to ensure that order gets traded.
• Once first leg of the Cover Order (position creator order / parent order) gets traded, the client will not have the ability to cancel the second leg (child) of Cover Order. Second leg (position closing / child) order can be modified but cannot be cancelled.
• Cover Order is presently available as intraday product. Intraday position will be auto squared-off by our system if you do not square them off within the stipulated timings on best efforts basis.
• If second leg of the cover order is rejected / cancelled for any reason, please regenerate second leg or you will have to reach our dealing desk over the phone to square off the position or regenerate the second leg. Please get in touch with us on our helpline at +91-22-62434343 and press 1 for dealing from 9 AM to 5 PM on working days.
• Cover Order are available for Equity, Equity Future & Option and Currency Future & option.
• ProStocks soon intent to introduce Cover Order as Delivery (For Equity segment) and Carry Forward (for Derivatives segment) product.

How to place Cover Order

Buy Cover Order where First Leg is Normal Order

E.g. Infosys current price is Rs 1671.9 and you intend to buy 100 shares @ Rs 1665/- per share and to protect yourself from downside, you want to keep a stop loss of Rs 5.

To place Buy Cover Order go to order entry window and select Cover. Then you need to give the Quantity as 100, Price as 1665 and Stop Price as 5.

In Stop Price you need to put the difference price between limit price per share and trigger price per share.

So as and when Infosys Price falls to Rs 1665 your Buy Order will get traded and a Sell Stop Loss Limit Order (SL-LMT) will get placed where Trigger Price is 1660 and limit price will be 1% below trigger price i.e. 1643.40. Remember your actual trade may be lower than Rs 1660 (as this is SL-LMT) as trigger will happen when last traded price will come to Rs 1660 and trade will happen at best possible market rate however if price falls below 1643.40 also as soon as SLL get triggered, your order will be pending and you would need to manually sq off.

Please note that starting 27th Sep 2021, NSE has placed restrictions on Stop Loss market Orders.

Buy Cover Order with first leg is also Stop Loss order

E.g. Infosys current price is Rs 1672.75 and you intend to buy 100 shares if price goes to Rs 1680/- per share and to protect yourself from downside, you want to keep a stop loss of Rs 5.

To place Buy Cover Order with First Leg is Stop Loss, go to order entry window and select Cover and then select SL. You need to give the Quantity as 100, Price as 1680, Stop Price as 5 and First Leg Trigger Price as 1679.25.

So as and when Infosys Price goes to Rs 1679.25, your Buy SL Order will get triggered with limit price of Rs 1680. Assume 100 shares got bought @ Rs 1679.50. Now Sale Stop Loss Limit Order (SL-LMT) will get placed where Trigger Price is 1674.5 i.e. actual buy price of Rs 1679.50 minus stop loss of Rs 5 and limit price will be 1% below trigger price i.e. 1657.75. Remember your actual trade may be lower than Rs 1674.5 (as this is SL-LMT) as trigger will happen when last traded price will come to Rs 1674.5 and trade will happen at best possible market rate however if price falls below 1657.75 as soon as SLL get triggered, your order will be pending and you would need to manually sq off.

Sell Cover Order where first leg is normal order

E.g. Infosys Current Price is Rs 1673 and you intend to sell 100 shares @ Rs 1680/- per share and to protect yourself from downside, you want to keep a stop loss of Rs 5.

To place Sell Cover Order go to order entry window and select Cover. Then you need to give the Quantity as 100, Price as 1680 and Stop Price as 5.

So as on when Infosys Price rises to Rs 1680 your Sell Order will get traded and a Buy Stop Loss Limit Order (SL-LMT) will get placed where Trigger Price is 1680 and limit price will be 1% above trigger price i.e. 1701.85. Remember your actual trade may be greater than Rs 1680 (as this is SL-LMT) as trigger will happen when last traded price will come to Rs 1680 and trade will happen at best possible market rate however if price goes above 1701.85 as soon as SLL get triggered, your order will be pending and you would need to manually sq off.

Sell Cover Order with first leg is also Stop Loss order

E.g. Infosys Current Price is Rs 1672 and you intend to sell 100 shares if price goes to Rs 1665/- per share and to protect yourself from downside, you want to keep a stop loss of Rs 5.

To place Sell Cover Order with First Leg is Stop Loss, go to order entry window and select Cover and then select SL. You need to give the Quantity as 100, Price as 1665, Stop Price as 5 and first leg trigger price as Rs 1665.75.

So as and when Infosys Price goes to Rs 1665.75, your Sell SL Order will get triggered with limit price of Rs 1665. Assume 100 shares got sold @ 1665.50. Now Buy Stop Loss Limit Order (SL-LMT) will get placed where Trigger Price is 1670.5 i.e. actual sell price of Rs 1665.50 plus stop loss of Rs 5 and limit price will be 1% below trigger price i.e.1687.21. Remember your actual trade may be greater than Rs 1670.5 (as this is SL-LMT) as trigger will happen when last traded price will come to Rs 1670.5 and trade will happen at best possible market rate however if price goes above 1687.21 as soon as SLL get triggered, your order will be pending and you would need to manually sq off.

Video Tutorial
https://www.youtube.com/watch?v=JxVR4sQIxpY

Starting 1^st Oct 2020, Clearing Corporations (CCs) is taking 4 snapshots of client position and margin thereof at random intervals. CCs are providing these Peak Margin files to Stock-Brokers/Clearing Members (TM/CM) to ensure that they are collecting margin upfront to meet the requirement of Peak Margin. This is in addition to existing Margin Collection, Reporting and Penalty requirement for end of the Day Margin Reporting.

Starting 1^st Dec 2020, Clients would be subject to Peak Margin requirement as well as End of Day (EOD) Margin requirement. Short-fall in Peak Margin or EOD Margin would be subject to penalty at prescribed rates along with 18% GST.

The penalty would be collected by Clearing Corporations from Client through Stock-Brokers/Clearing Members.

What has changed at ProStocks:

1. Effective from 1^st September 2021, Client selling delivery from Demat Holding will get 75% Credit for Sale (CFS) on a real-time basis in Trading Application. Remaining 25% CFS will be available from next day.
2. Client selling delivery from previous day's buy position, also known as T1 Holding or BTST or Stocks to be received (SR) will get 50% CFS on a real-time basis in Trading Application. Remaining 50% CFS will be available from next day.
3. NRE, MINOR and NRO (without CP Code Client) will get 100% CFS for delivery sale and 65% for sale of T1 Holding or BTST or Stocks to be received (SR) and remaining from next day.
4. Resident client has an option to opt for 100% CFS (65% for T1 Sale). Once opted they will not be allowed intraday as well as sq. off of delivery trades on same day.
5. CFS will be at Zero percent for Stocks which are in Trade to Trade Category. NSE listed Stock having Series BE instead of EQ are Trade to Trade Stocks.

Why 75% CFS or 50% CFS instead of 100%

NSE allowed that Client's margin can be considered equal to 100% of the sale value once Early Pay-In of Securities sold by the Client through NSE Circular and Annexure A NSE/INSP/45191 dated July 31, 2020.

............However, in respect of sale of shares by a client for which early pay-in has been accepted by CC, since settlement of the trade is guaranteed by the CC, member may choose to give credit of the sale value of the shares in the ledger account of the client, which may be considered as margin towards subsequent trade/s of the client.

NSE by Download Ref No: NSE/INSP/46485 and Circular Ref. No: 72/2020 dated November 27, 2020, just a day prior to Peak margin Penalty provisions coming into effect has modified the above-said clarification/guidelines by an answer to question 1 of Annexure A of the said circular.

........However, the sale value of such securities (EPI value), as reduced by value of the 20% upfront Margin, shall be available as Margin for other positions across all the segments

Care and Caution for Client Trading Derivatives and availing In-built Hedge Margin Benefit (HMB)

Whenever you are removing hedge or sq off or changing the portfolio, Please extremely careful to first sq off the higher margin / naked or risky leg before you sq off the leg which created the hedge or reduced the risk and or Margin.

Example: Assume you have available Margin of Rs 1,60,000 and one lot Nifty Call Buy position for which you have blocked / paid margin of Rs 10,000. Now you want to sale one lot of Nifty Futures for which margin is Rs 1,60,000. Instead of you getting charge margin of Rs 1,70,000, You were subject to a margin of just Rs 17,000 (which is 10% of actual margin otherwise payable) for both the position, together and got HMB of Rs 1,53,000. Post this position, now you have an available margin of Rs 1,53,000. Further, assume that you bought delivery of Rs 1,50,000 from the available margin of Rs 1,53,000 and the now available margin is Rs 3,000.

Now if you go ahead and do sale / sq off of one lot Nifty Buy Call leaving one lot Nifty futures sale as naked/unhedged position and margin requirement for this position is Rs 1,60,000 against available Margin of Rs 13,000 (Rs 3000 plus RS 10000 from sale of Call Option) leaving Margin Shortfall of Rs 1,47,000.

Be extremely careful to sq off the naked leg first which in this case was Nifty Future Sale position before you sq off leg which created hedge. In case of Margin shortfall even of peak margin and even for a few seconds, you are expressly agreeing to agree to bear the penalty and consequences thereof.

S P Toshniwal

www.prostocks.com

+91-22-62434343

ProStocks provides a monthly brokerage plan of Rs 899/- to trade in Equity and FNO in an Exchange (either NSE or BSE). Monthly brokerage plan of Rs 499/- to trade in Currency Futures and Options in an Exchange is also available. These plans allow you to trade unlimited without paying any additional brokerage in a calendar month. The plan also works with API.

You have an option to combine the multiple plans like Rs 1798 to trade in Equity and FNO at NSE and BSE, both. You can also have Rs 1398 to trade in Equity, FNO and Currency at NSE.

The monthly unlimited trading plan offers up to 90% saving in brokerage in comparison to discount brokers like Zerodha, Upstox and Angel One.

What is included in monthly brokerage plan?

• All orders placed by the client through Web, Mobile, Desktop Trading Application and API are included.
• All order types like Cover Order, GTT order, Bracket Order, basket Orders, etc. are included.

What is excluded in monthly brokerage plan?

• Orders are placed through call and Trade Desk.
• Order placed by RMS system to sq off pre-defined intraday position or margin reducing orders.
• Any order not placed by the client.
• All levies like Exchange Transaction Charges, Securities Transaction Tax, Stamp Duty, SEBI Turnover Fees, GST charged by Exchanges and Government will be charged.
• Demat Charges on Demat Transaction will be charged Rs 20 plus GST, separately.
• This plan is not available for NRI accounts.

What are the restrictions in monthly plan?

There are no restrictions in terms of the number of orders or trades. Any abuse of system like putting orders to manipulate the market or artificial market creation of false liquidity creation orders etc. are not permitted.

Note: ProStocks Monthly Plan is Calendar month Plan like April, May, June, July, etc. This is not 30 day Plan like 15th June to 14th July. Whichever date you begin, your month will end on the last calendar day of the month.

How Plan Brokerage is collected?

ProStocks will charge you Plan brokerage in the Contract Note @ 2.5% of the value of the Trades in such a way that we will keep charging you the brokerage till plan brokerage is recovered during the calendar month and will stop charging you the brokerage as soon as plan brokerage is recovered, for remaining days of the calendar month.

We may charge you a very small nominal brokerage not exceeding Rs 1 per day on days when no brokerage is charged in the Contract Note. Such brokerage generally will not exceed Rs 10 per month or so.

Since Plan Brokerage is not debited to your ledger with ProStocks but recovered in the SEBI approved mechanism of charging brokerage in the Contract Note, you will not be charged Plan brokerage in a particular calendar month, if you have not done any trades. You will not be charged even if you have a balance in your ledger with us.

E.g. in any particular month, you have done trades of buying option premium worth Rs 10,000 and not done any trade thereafter for the renaming days of the calendar month. You will be charged Rs 250 (i.e. @ 2.5% of Rs 10,000) and the remaining Rs 649 will not be charged to you. This Rs 649 will not be carried forward to next month. ProStocks will simply forgo Rs 649.

Can I change my Monthly Brokerage Plan?

Yes, you can change your Monthly Brokerage Plan at any time. You just need to send one signed Brokerage Plan Sheet on [email protected].

Please read below FAQ to know the process.

How to change Monthly Brokerage Plan to Flat Fee Brokerage Plan and vice versa?

Video Explanation

• ProStocks Monthly Unlimited Brokerage Plan
• ProStocks Monthly Unlimited Brokerage Plan - Hindi