iCharts Discussions

[vinay28]

I will instead send you dates by PM. can't give link

[roman]

[apka]

[sonila]

Apka,vinay, or rk or any body,plz clear my doubt. This is in regards to yesterday's flash trade in nifty. Suppose i was long in NF @ 5810 and gave a sl @ 5780 i.e 30 pts. Then suddenly nf slipped down by 100 pts in few moments. Then will i loose only 30 pt or i have to cover at much lower price with 90/100 pts loss? Plz clarify ?

[apka]

you will lose 30 points.. your SL.

[sonila]

[GHAISAS]

apka / sonila,

my personal experience is that - supposing we are long in NF @ 5810 with stoploss order to sell at 30 points down @5780 with trigger at +/- 1 point - it is very much necessary that there should be a corresponding Buy order for that value i.e. 5780 +/- 1 point. If there is no such order for corresponding Buy for our stoploss sell order, it will not get executed - it will remain pending - where NF may fall down yet deeper - with only option with us to either square off at yet lower levels or wait for NF to come to our level of 5780 +/- 1 point.

Conclusion: there has to be a parallel corresponding order to mitigate/nullify our order - without which our order for stoploss stands unexecuted.

above is my personal & practical experience. yet, other views are welcome.

ghaisas.

NB - I see your question is answered in other threads (Nifty Crash) as well (with nearly the same answer).

[sonila]

Ghaisas, what u mentioned, is true, theoritically. But i want to know, actually what happens practically ?

[GHAISAS]

sonila, Yes, it was my practical experience. My order did not get executed and I had to square off at an unwanted level. Immediately after this I cancelled my un-executed order.

This is my practical experience. One way to avoid this is to place stoploss orders at round figures ending in 5 or 0 - where normal tendency of people is to Buy or Sell. you were lucky by placing stoploss order at 5780 round figure - odd figure like 5782 or 5767 results would have been otherwise.

Above instances of orders not getting executed are very common in Forex markets where there is very fast movement - I hear.

ghaisas.

NB: In some other thread you have mentioned Nifty has high liquidity / movement. It is subjective. Nifty liquidity is very insignificant compared to currencies like EURUSD.

[rk_a2003]

[vishyvaranasi]

My practical experinece says that YES, there are chances of ur Sl not triggering and the price going down than ur SL price.Then u dont have any other option than to close ur trade at the prevailing market price which is below ur SL lvl. That doesnt need a flash market like yesterday.It can happen in a normal market as well.Only thing is ur loss will be less comparitively

No second thoughts about it.

Vishy

[apka]

[vinay28]

rk is right, always keep good gap between trigger price and limit price depending upon qty. for 1 lot diff of 1 is OK normally. In general what ghaisas wrote is real

[apka]

i read somehwere SEBI / Govt is working on allowing 7 more countries to invest in Indian Markets.... Arent the rich countries already allowed to invest? Which countries are off the list? I guess one being pakistan and other somalia?

[dine]