Option Plus

Is the 'Minimum SLTP - Limit price difference %' different for different underlying?

Yes, I-Sec may define different Minimum SLTP - Limit price difference % for different underlying depending upon the volatility and market conditions of the stock. I-Sec may define 'Minimum SLTP - Limit price difference %' for different SLTP range at underlying level depending upon the volatility and market conditions of the stock. However, it is possible to have different 'Minimum SLTP - Limit price difference %' for different ranges of SLTP for same contracts even within the same underlying. This would mean that different orders placed even within the same contract but with different SLTP may have different 'Minimum SLTP - Limit price difference' applied depending on the price range in which the Client specified SLTP falls. Assume you want to take Put long (buy) position for 1000 quantity in NIFTY underlying at Rs. 100/- with strike price of Rs 6000/-. Simultaneously you also want to place the Sell (cover SLTP order) of 1000 quantity with SLTP ranges for NIFTY underlying defined as follows. The Options Plus margin % for the scrip is 0%. Suppose following is the Minimum SLTP- Limit Price difference specified by I-Sec: SLTP Range (in Rs.) 0 upto 2 2 upto 10 10 upto 40 40 upto 80 80 upto 120 120 upto 200 SLTP > 200 In the above example if you place cover Sell order with SLTP as Rs. 95/-, it will fall in SLTP range of Rs. 80-120 and 20% as SLTP - Limit price difference % will be considered for calculating limit price as shown below Limit Price = (95-( 95)*20 %) = 76/-. Further if you wish to place cover order with different SLTP price as per below table then different Minimum SLTP - Limit Price difference % will be considered as defined for that range under a particular underlying.