Why are market orders blocked for deep ITM index options?
-
You can place market orders for deep ITM nifty and bank nifty options contract.
-
Market orders are blocked for other scrips as ITM contract could be illiquid and the bid-ask spread could be very high which could affect your PnL. The bid-ask price could be far from the LTP of the contract.
Did you find this helpful?
Yes
Still have questions?
What is the 50% Cash-Margin Rule in Futures and Options?
What is the margin blocking percentage during the end-of-expiry week for physical settlement of stock option contracts?
Can I do intraday trading in stock options?
When does expiry take place for Nifty, Bank Nifty, Sensex, Bankex, and stock option contracts?
Open Demat Account