fate of day trading in a t2t stock

#1
dear friends,
my account had been debited by a big amount on account of auction square up of a stock in t2t category, with which I unknowingly engaged in daytrading.But my broker has not given me any auction bill till today after 4 months of the transaction day, though they first said that auction was being held.Now they are saying that my share has been squared off by nse at 20% above the rate that existed on the day of the auction. What should i do, please help me.
meenakshee
 
#2
Four months is too long a time frame. Ask your broker for proof that no shares were recieved in the auction. If the broker does have proof, NSE does square off trades at 20% higher than the closing rate of that day, if no shares are received in the auction. You should also think of changing your broker, first for not letting you know that the stock was in T2T, and second for the long time delay in informing you about the debit.
 
#4
ivanboesky said:
Four months is too long a time frame. Ask your broker for proof that no shares were recieved in the auction. If the broker does have proof, NSE does square off trades at 20% higher than the closing rate of that day, if no shares are received in the auction. You should also think of changing your broker, first for not letting you know that the stock was in T2T, and second for the long time delay in informing you about the debit.
One clarification requested please. This 20% higher square-off at auction by NSE, is it applicable to shares in both T2T as well as Rolling settlement segments? Also, is it possible that shares could be received at the auction & by whom?

Thanks in advance.
 
#5
meenakshee said:
dear friends,
my account had been debited by a big amount on account of auction square up of a stock in t2t category, with which I unknowingly engaged in daytrading.But my broker has not given me any auction bill till today after 4 months of the transaction day, though they first said that auction was being held.Now they are saying that my share has been squared off by nse at 20% above the rate that existed on the day of the auction. What should i do, please help me.
meenakshee
May I know who your broker is, if you don't mind? Just want to be on the safe side while choosing another broker for myself.
 
#6
Hi Traderji,

I am very new to the market of Stocks. I have a question in my mind, if during any time of the day I "SHORT SELL" a scrip and then due to any reason I could not "BUY TO COVER" the same script, what could happen in this case.

1. Is the person not allowed to day trade then.
2. Is there any penaly chaged by the brocker or the Exchange.
3. What are the effects on the persons trading account with the brocker.

Thanx
zen
 
#7
zen_monk said:
Hi Traderji,

I am very new to the market of Stocks. I have a question in my mind, if during any time of the day I "SHORT SELL" a scrip and then due to any reason I could not "BUY TO COVER" the same script, what could happen in this case.

1. Is the person not allowed to day trade then.
2. Is there any penaly chaged by the brocker or the Exchange.
3. What are the effects on the persons trading account with the brocker.

Thanx
zen
Zen,

Your broker will cover the transaction on your behalf at the time of closing of market. There is no other impact except that it may cause you huge losses if the position has moved against you.

Best Regards,
 
#8
may not be always true.. hdfc squares it off.. sharekhan send to the auction on non-delievry of shares till t+2, it depends on the business logic they have put in their softwares..
 

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