while doing option trading though python api i bought at limit and tried to sell at limit, now when it din't fill the limit sell order i tried to sell it from my mobile phone zerodha app, i was placing market sell order it wasn't squaring off giving me message insufficient funds in the meantime i made a loss. i was consistently onto market sell order and it was replying me for limit order. so finally i figured out to cancel open limit sell orders and then place market sell order only then it squared off my position. shouldn't through pnl page i must select the one i wish to square off right away squareoff overriding my open limit orders at emergency market latest paced orders??? how many ppl are facing this? please give me a reply.
market price orders must override any kind of orders. explain me whether i'm fundamentally wrong anywhere with placing orders or with orders placed through api or through mobile app. Thanks in advance.
Dear @sujith Thanks for your reply..but isn't it a wrong approach?..a market normal order must supersede/override any other order(here it was limit normal). Traders must take care whether the later unwanted open limit orders(unwanted due to changed market conditions) must not get executed. Most importantly, a open limit order is unnecessarily posing a hinderance to a smooth or an urgent squareoff or taking a new position. In emergency it would consume time to fetch open order details, may be a couple of more calls to be made through some approach some other traders may take, in that too take care to avoid too many calls error, some operations at trader's end and then cancelling/modifying unwanted open orders and then finally squaring-off or taking new position. Api approach is taking time, manually it would take even more. Chronology for addressing necessity is reversed. It should be a later job to modify/cancel pending/open orders. Thanks again!
Dear @sujith , when you have time please explain, here i mean clarify my fundamentals, why this approach is taken "pending order needs to be modifed or cancelled and after that fresh order needs to be placed" and not the other opposite way as i thought. Thanks again in advance!
This is how our order management system processes the orders. A pending order is tied to a position; any extra orders in the same position is rejected as the system assumes it to be fresh.
yeah i can see it happening like that. but you would also agree that it should have been free of such obligations. as far as you have the margin , orders should have been executed on the same script at different limit prices or current market price. after fullfilling orders whose conditions were met, the later conditions meeting limit orders could have been rejected by the system for lack of margin. lets say i wish to take a pretty large margin position i may set the limit buy price very low like 52 weeks low but in the meantime i wish to trade at different prices of the same stock with low margin for intraday. So i should make some calculation and put it in the system, and when the time coomes it auto executes, without bothering me in my intraday etc trades. i hope i'm right till here. and i don't think this is a sebi obligation. it should have been offered by zerodha.
Thanks
here's the screenshot from my mobile
This is how our order management system processes the orders. A pending order is tied to a position; any extra orders in the same position is rejected as the system assumes it to be fresh.