What is CNC in zerodha

What is CNC Order in zerodha

Zerodha kite is Minimalistic, responsive and a user friendly trading platform. Zerodha kite is built using advanced technology to meet needs of all type of investors and traders. You can access zerodha kite web using any web browser. Its mobile version, zerodha kite mobile app is available for trading from mobile.

Kite has a simple user interface and any new trader can easily learn to use it. Some terms may be confusing for new users. We have written a post about MIS order before. You can check it here What is MIS order in zerodha.

Here we are going to discuss about CNC order in Zerodha.

What is CNC order in zerodha

Cash and carry or CNC is an order type used for delivery trades in equity segment. 

In order book of zerodha kite, you can find two options in product section. Select CNC for delivery based trading.

Difference between MIS and CMC

In CNC product you will not get any leverage like you get with MIS order.. Zerodha dont give any margin for delivery trading. You can buy stocks for the fund in your account using CNC order.

In CNC order your positions will not auto square off at the end of the day, like in MIS order. In MIS order, your positions will auto square off at 3.20 PM.

Another difference between MIS nad CMC is that, you cant short sell using CNC order. You can only sell the shares you hold in your demat account. 

Can I sell shares bought with CNC order on same day (intraday)

Many people have this doubt that whether he can sell the stock same day, he bought using CBC order. You can sell the shares you bought with CNC order on same day if you want. It will be considered as intraday trade only.

What is NRML order in Zerodha

NRML is used in future and options delivery trades. You will not get any excess leverage like in MIS order. You don't have to worry about auto square off also. NRML order is also used in delivery trading in currency segment.