As per the exchange regulation, each stock market orders need to be capped with certain quantities. The maximum quantity in one order is also called as Quantity Freeze Limit. The applicable quantity limit is as per the following table.

 Segment Maximum Quantity OR Turnover per order (whichever is lower)
 Equity Cash  50000 Qty OR 50 Lacs Turnover
 Nifty  1800 Qty OR 6 Cr Turnover
 BankNifty  900 Qty OR 6 Cr Turnover
 Finnifty  1800 Qty OR 6 Cr Turnover
 MidCPNifty  4200 Qty OR 6 Cr Turnover

For the list of all futures contract please Click here. To ensure the better risk management, TradeSmart has capped to 50000 qty (or 50 lac turnover) per order for equity cash.

Reason for this regulation:

  1. This helps to regulate the flow of the order within a specified limit and avoid unexpected moves in either direction.
  2. To avoid the execution of any accidental/intentional bulk orders that may affect the price of the stock. This risks the other traders too.
  3. This ensures the better liquidity in the market as the orders are going part by part.

How to place bulk quantities?

For bulk quantity, place the multiple orders to buy/sell more number of quantities. You may also place basket order in which you put multiple orders and submit at once.

Comments

  1. Karthik

    The freez limit for nifty 50 is max 1800 shares in single order. So assume one share is Rs.100. So the single order value is Rs.1,80,000.

    With basket order we can make it to 36000 shares in single order. I.e. 1800*20. So the value is Rs.36,00,000. In single order If I am not wrong.

    Suppose if a guy wants to invest 10 crores in single order in options trade. Is it possible to invest at once with single order in 5 lakh or 10 lakh shares what ever legally.

    1. TradeSmart Article Author

      Nifty consists of 50 shares in 1 lot. 1800 shares means 36 lots. If 1 lot of Nifty is trading at Rs 100 then through the basket order you can maximum place 36 lots, at the price of Rs 100. The value of your transaction would be around 1,80,000 (36 lots*50qty*100price). For any query, you may also use our online chat support available on our website.

    1. Trade Smart Online Article Author

      Hello Parth,
      If you are writing any Nifty option then you just need to maintain margin that is required by the exchange.
      In the example, you want to write 4000 qty (4000/75=53 lots aprox) Nifty call, the carry forward margin required is 32,33,000 (61000*53) considering 61000 margin to carry forward 1 lot of Nifty as on 1st Oct,2015 margin requirement.
      To trade in intraday, for 53 lots of Nifty call writing you would need 808250 (3233000/4) Margin. Intraday position will be squared off after 3.10pm.

      Please refer our article for Margin Required for Intraday Trading.

      1. Vikas

        Segment Maximum Quantity OR Turnover per order
        Equity Cash 35000 Qty OR 50 Lacs Turnover

        how can increase the quantity if price of stock is below Rs 1. pl give solution bcoz 35000 Quantity in AMO for small stocks is very less.

        1. Trade Smart Online Article Author

          Hello Vikas,
          We understand you concern. As per RMS policy, quantity and turn over limits are fixed and cannot be changes. This will help us to manage the risk associated with penny stocks.

  2. parth

    Pl check my calculation and correct it if I wrong. Nifty call writing strick rate 7900,call price 300, quantity 40000, premium Rs 1200000+ margin 240550=1440550. So minimum this amount is needed for this trade.Am I write sir?

    1. Vikas

      Segment Maximum Quantity OR Turnover per order
      Equity Cash 35000 Qty OR 50 Lacs Turnover

      how can increase the quantity if price of stock is below Rs 1. pl give solution bcoz 35000 Quantity in AMO for small stocks is very less.

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