What are the order types available at Emint ?

We have 5 different order types at Emint : 

1. Market

Customers should choose the option of Market order, if they intend to place an order with the best price available at the time of order placement. 

For example, if the customer wants to buy / sell 100 shares of Reliance, they can place a market order with Emint. Emint will then execute the trade at the best available price. This means that they will buy  reliance at the current market price, which may be higher or lower than the prevailing market price when the order was placed. 

2. Limit 

Customers should choose the option of Limit order, if they intend to place an order at a predetermined price. Limit order allows customer to determine the price at which they want to trade (buy or sell) a particular stock, but it may also result in missed opportunities in fast-moving market conditions.

For example, the customer wants to buy 100 shares of Reliance and set a price limit of INR 1500. This means that  they are willing to buy the shares at a price of INR 1500 or lower. If the market price of Reliance reaches INR 1500 or lower, the trade will be executed. However, if the price does not reach the limit or moves too quickly upward the price, the order may not be executed.

3. SL ( Stop Loss ) Or SL - M ( Stop loss - Market) 

Stop Loss order 

Customers should choose the option of top loss buy/sell order to limit the losses on an existing position.

For example, a customer holds 100 shares of Reliance Industries at INR 2000. Suddenly the market starts falling rapidly and the customer  wants to limit potential losses and decides to place a stop-loss order with Emint. They set up a stop loss order with a trigger price of INR 1850 and execution price of INR 1800. This means that if the stock price drops to INR 1850, the SL order at INR 1800 will be placed.  Emint will automatically sell the shares at or above execution price to limit your losses. 

By using a stop-loss order, the potential losses are capped at INR 150 per share. 

Stop Loss market order 

Place a stop loss market order with a trigger price, at which point the order will be triggered to be executed at the prevailing market price at that point in time

For example, the customer holds 100 shares of Reliance Industries at INR 2000. To protect the investment and limit potential losses, customer can place a SL-M order at a trigger price of say INR 1800, specifying that the shares should be sold if the price drops below INR 1800. If the price of Reliance  starts falling rapidly and reaches INR 1800  or lower, the stop-loss market order is triggered and the order will be executed at the prevailing market price at that point in time. However, the actual execution price of the stop-loss market order may be  different from INR 1800 due to market fluctuations and liquidity. 

SL-M order are not allowed while trading in options. 

4. CO ( Cover order ) 

Cover Orders are available for Intraday transactions only. With cover orders customers can easily place a market / limit intraday order with a stop-loss order. The stop loss order has a trigger price and an execution price. As the name suggests, customers can cover / mitigate their losses in case the market trend goes against them with cover orders. 

Assume that RELIANCE is currently trading at INR 2,000 per share, and you want to buy 100 shares with a stop-loss at INR 1,800.

Place a cover order to buy 100 shares of RELIANCE at the market price of INR 2000 and set a stop-loss order with trigger price of  INR1850 and an execution price of 1,800. If the market price of RELIANCE reaches INR 1,850, your stop-loss order will be triggered, and your stop loss order for selling 100 shares of Reliance at INR 1800 will be placed. In this way, you would be able to limit your potential losses to INR 200/share. On the other hand, if the market price of RELIANCE increases, you can manually sell your shares at a higher price to book profits.

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5. BO ( Bracket order ) 

Bracket Orders are available for intraday transactions only. Bracket order is a cover order with a target price. So, a bracket order is 3-in-1 order, original buying or selling order, an upper target, and a stop-loss limit. This allows traders to set a profit target and a stop-loss level simultaneously. Basically a BO will help customers to  hedge their intraday  order both on the upside and downside.

For example, you want to buy shares of Reliance Industries and wish to place a bracket order. In this scenario, the first order would be the initial buying order, followed by the upper target and a cover order. The trader might set the following parameters for the bracket order:

• Initial buying order: Buy 100 shares of Reliance Industries at a limit price of  INR 2000. 

• Upper target: Sell 100 shares of Reliance Industries at a limit price of 

2200

• Stop-loss limit: Sell 100 shares of Reliance Industries at a stop-loss price of  1800 to be triggered at trigger price of INR 1850