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    Intraday Trading

    Will my Intraday positions get squared off due to margin shortfall? What effect will it have on my position?

    Yes, your intraday position can be squared off if there is a margin shortfall. This happens when the trigger price is reached. Every Intraday position has a Trigger Price, which is calculated based on the difference between initial margin price at which you bought the stock and minimum margin required to hold your position.

    If the stock’s Last Traded Price (LTP) drops below the Trigger Price, the system will check if you have any limits allocated to Equity If sufficient funds are available, system will first attempt to utilize those funds to maintain the position. If no additional limit is available: The system will automatically square off part of your Intraday position to match the position as per margin availability.

    It is important to monitor your Trigger Price and ensure you have adequate margin to avoid automatic position closure. You can also add margins to your position and lower your trigger price in case of buy position and vice versa for sell position.

    Let’s understand with an Example:

    Trader A buys 1,000 shares at ₹100 each Current Limit 20,000

    - Total Position Value: ₹1,00,000
    - Margin Used (5x): Trader only needs ₹20,000 to buy the shares.

    Breakdown of the Margin:

    - Initial Margin = ₹20,000 (Required to initiate the trade)
    - Minimum Margin = ₹15,000 (Required to keep your trade open)
    - Trigger Price Calculation
    (Initial Margin-Minimum Margin)/Qty
    = (20000-15000)/1000
    = Rs 5
    = 100-5 = ₹95
    So Trigger price is Rs 95


    Now, if the stock price drops to ₹95, the trigger price will be hit, and the Margin left in the account will be ₹15,000.

    System Action 1: Check for margin allocation under stocks, if margin of 4000 is available system will pull the margin and continue holding the position. If further margin not available system action 2 will be trigerred.

    System Action 2:
    The system will adjust your position based on the available ₹15,000.

    1. Current Position Value:1,000 shares × ₹95 = ₹95,000
    2. Required Margin (20% of ₹95,000): ₹19,000
    3. But with ₹15,000 available, you can only hold a position worth ₹75,000.
    4. Leading to shortfall of Rs.4000

    New Position Size:
    ₹75,000 ÷ ₹95/share = 789 shares
    Shares to Square Off = 1,000 – 789 = 211 shares

    Final Result:
    The system will square off 211 shares to make sure your position is within the available margin. The remaining 789 shares will stay open with revised trigger price of 89.90 for open position.

    What is Intraday Trading? How does “Intraday (Margin)” work? How is Intraday trading different from trading in Cash Segment/ Delivery? What is the Margin required to take a position in Intraday Product? What is Initial, Minimum Margin and Trigger price? What happens if the margin is less? Can I convert an intraday position to delivery? If so, how? What is short selling in Intraday trading, and how does it work? How can I “Square Off” a position? Can I modify intraday position? How? What are the options for “order validity”, “disclosed quantity”? Where can I see them? What is “Limit order”? How to place a limit order? What are Initial and Minimum Margins? What happens if the margin falls below the required level? How to place an Intraday order? When will the profits from Intraday trading be added to my current limits? Why are my profits from intraday are not available in current limits? What is trigger price? Where can I check trigger price for Intraday position? What happens to my intraday position if the stock hits circuit limits? How do I add Margin to my Intraday position? How are profits on Intraday trading taxed? What is the brokerage charged for Intraday? What time does the intraday day position get squared off? By what time can the positions be converted to delivery? What happens if my Intraday Buy/Sell position is not closed at the end of the trading day? Where client has undertaken multiple transactions in a single stock on the same day under Intraday product, which intraday trade leg will be considered if client has placed CTD (Convert to Delivery) request and how will the brokerage computation take place? What is Day’s Profit & Loss on website open position page? Where can I access intraday Day’s Profit & Loss? What will I see in Day’s P&L on Equity Open positions page for Intraday & Bracket? How it is helpful? Why can’t I see Overall P&L on the website open positions of Intraday & Bracket anymore?
    What should be the Stop Loss Trigger Price in different situations? How do I place a Bracket order? What is a Cover SLTP order and how does it work? Why am I getting the error “Bracket trading not supported for the stock”? How do I see the stock list for eligible stocks? How is Bracket different from Intraday Margin? Where do I modify an SLTP order? What is a Profit order and how does it work? How do I place it?
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