Upstox Order Types

In the world of stock trading, it is crucial to understand different order types to optimize your investment strategy. Upstox, a leading online brokerage platform, offers a range of order types to suit various trading needs. Know about the different Upstox order types available and how they can enhance your trading experience.

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Upstox MIS (Margin Intraday Square Off)

MIS (Margin Intraday Square Off) orders are exclusively designed for intraday trading, requiring positions to be closed within the same trading session. These orders apply to both equity futures and cash products. Upstox broker charges Rs. 20 per order for intraday square off.

With MIS orders, you have the opportunity to take advantage of short-term market movements. However, it’s important to note that any open positions from MIS orders will be squared off at 3:15 PM automatically, ensuring that you do not carry forward any positions beyond the trading session. This feature helps manage risk and ensures that you can start fresh in each trading session.

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Upstox CNC (Cash N Carry)

Upstox CNC orders, commonly referred to as cash and carry orders, are specifically designed for trading in the equity delivery segment. Unlike intraday orders, CNC orders are non-intraday and allow you to hold the positions for multiple trading sessions. When you invest in stocks or engage in delivery trading with Upstox broker, there are no charges or fees involved. You can enjoy the benefit of trading for delivery without any additional costs.

Upstox NRML (Normal Margin)

NRML orders are specifically utilized for carry forward trades, where no leverage is applied. These orders are suitable for traders who intend to hold their positions overnight or for multiple days. With NRML orders, you have the flexibility to maintain your positions beyond the current trading session without any leverage. This allows you to effectively manage and strategize your trades for longer durations.

Upstox Limit Order

A Limit Order empowers you to purchase or sell a specific stock at a predetermined price of your choice. The execution of this order is contingent upon the market reaching or surpassing the specified price. With a limit order, you have the advantage of setting a price threshold for your trade, ensuring that you transact at a price that aligns with your desired criteria. This allows for greater control and precision in your trading decisions.

Upstox Market Order

A market order provides you with the ability to buy or sell a stock at the current market price. When you place a market order, it is executed promptly at the best available price in the market. This type of order ensures that your transaction is swiftly processed, without waiting for a specific price point. Market orders are ideal when you prioritize immediate execution over price control, allowing you to quickly enter or exit a position based on the prevailing market conditions.

Upstox Stop-loss Order

An Upstox stop-loss order triggers a trade when the stock price reaches a predetermined level. Its primary purpose is to minimize potential losses by automatically selling a stock if its price falls below a specified threshold. By setting a stop-loss order, you establish a protective measure that helps limit your downside risk. If the stock price reaches or goes below the predetermined stop-loss price, the order is triggered, and the stock is sold to prevent further losses. Stop-loss orders are an effective tool for risk management and safeguarding your investments.

Upstox Stop Loss Market Order (SL-M)

An Upstox Stop Loss Market Order (SL-M) is a type of trade order that is activated once the trigger price for a stop-loss order is reached. When the trigger price is hit, the SL-M order is triggered, and it is executed at the prevailing market price. The advantage of using an SL-M order is that it guarantees the execution of the order, ensuring that your position is closed or opened as intended without any delays. This type of order is particularly useful for managing risk and protecting your investments by automatically initiating a trade at the best available market price when the trigger price is breached.

Upstox Bracket Order (BO)

An Upstox Bracket Order (BO) is a trading strategy that helps traders secure profits and manage losses effectively. It involves placing a set of linked orders to establish predefined profit-taking and stop-loss levels.

For instance, when initiating a buy order, a bracket order can be set up with a low-side sell stop order and a high-side sell limit order. The low-side sell stop order serves as a stop-loss, automatically triggering a sell order if the price falls below a specified level to limit potential losses. On the other hand, the high-side sell limit order acts as a profit target, triggering a sell order when the price reaches a specified level to secure profits.

The bracket order strategy ensures that you have predetermined exit points for both profit-taking and loss-limiting, offering a systematic approach to managing your trades and minimizing emotional decision-making. It provides a disciplined approach to trading by automatically executing sell orders based on your predefined criteria, helping you maximize gains and mitigate losses.

Upstox Cover Order (CO)

An Upstox Cover Order (CO) is a type of trade order that requires the inclusion of a stop-loss order within a predetermined range. It is designed to assist traders in effectively managing their risk when entering a trade.

While placing an Upstox cover order, you are required to set a stop-loss order along with it, specifying a specific price range. This stop-loss order serves as a protective measure, automatically triggering an exit from the trade if the price moves against your position and reaches the specified range. By including the stop-loss order within the cover order, you proactively protect yourself from excessive losses.

The cover order feature is instrumental in risk management, ensuring that you have predefined measures in place to limit potential losses. It provides a systematic and disciplined approach to trading by automatically executing the stop-loss order if the price reaches the specified range, helping you to mitigate risk and protect your trading capital.

Zerodha and Upstox Order Types Comparison

Here is a table summarizing the comparison between Zerodha and Upstox order types:

Conclusion

Mastering different order types can significantly improve your trading efficiency and help you make informed decisions on the Upstox platform. Whether you are a beginner or an experienced trader, understanding the intricacies of order types empowers you to execute trades more effectively. So, dive into the diverse Upstox order types and take your trading prowess to new heights.