Basket Order in Zerodha

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Are you tired of placing multiple orders in your trading app? Now, you can save a lot of time by creating baskets of orders in Zerodha where you can add and execute multiple buys and sell orders together. Let’s dive in to gain a complete understanding of basket order in Zerodha. 

What is Basket Order in Zerodha?

Basket Order is one of the Zerodha order types that enable you to place several orders from the same or other segments within the same time.

To give you clear context, consider a platform like Amazon where you add all the items you need in the cart and execute a single order. 

This is how basket order in Zerodha works. Here you can place multiple trading orders of the same segments altogether. 

For example, if you want to place 2 buy orders in the equity segment and 1 sell order in Zerodha Kite, you can create a single basket for all these orders and execute them. 

However, if there are 2 buy orders in equity and 2 in the F&O segment then you need to create two different baskets.  

Here are some more features of basket order in Zerodha:

  • A single basket can hold a maximum of 20 orders.
  • There is a limit of 50 baskets that can be made.
  • You can adjust the arrangement of the orders by dragging and dropping.
  • Individual orders in the basket can be copied, edited, and deleted.
  • To add orders to the basket utilizing the F&O approach, put the buy order first, followed by the sell/short orders. It will assist you in reducing the margin required for that basket order.
  • Your basket order will be processed in the same order that it was placed in the basket.

*Before you place a buy order for intraday trading in options make sure you check the Zerodha strike price range, as the broker has set certain limitations in buying deep OTM options. 


How to Create Basket Order in Zerodha?

To create a basket of orders, first, log in to your Zerodha demat account and follow the steps given below:

  1. Sign in to Zerodha Kite and select ‘Orders.’
  2. Select ‘Basket’ and then ‘New Basket.’
  3. Give the basket a name and click ‘Create. Using the search option, add scrips of your choice.
  4. In case of future options strategies, add the different calls or put buy and sell orders and validate the final Margin.
  5. To reduce the margin, first enter a buy order and then a sell order.
  6. Click on execute. 

After execution of the order, you can check the net option premium in Zerodha in Kite app under the Funds section.


How to Exit Basket Order in Zerodha?

Now the creating, exiting, or selling shares is also simple in basket order. Here are the steps:

  1. If you want to exit a basket order in Zerodha, no special steps are required.
  2. Simply navigate to the ‘positions’ tab inside the Zerodha trading platform then exit as usual.
  3. You can also select all ongoing trades and then select exit.

Basket Order in Zerodha Charges

Once you are done with the execution of the basket order the next important concern is what are the charges to execute the trade. 

Well, the charges of basket orders depend upon the number of trades executed. 

Let’s take an example, where you place multiple orders in Options using this feature.

  • Bought 1 lot of Nifty 18000 CE
  • Sold 1 lot of Nifty 18000 PE
  • Bought 1 lot of Nifty 18500 PE

Here are three trades in total. 

Zerodha options charges ₹20 per trade. 

  • Total trades in the above basket= 3
  • Total Brokeage= ₹60 (20*3)

Remember, there are separate Zerodha sell charges for the selling shares in basket order. You can calculate all these charges including taxes and trade profit using the Zerodha brokerage calculator.


Benefits of Basket Order in Zerodha 

Let’s now have a look at some of the major benefits of basket order in Zerodha:

  • Allow to add up to 20 trades. 
  • Reduces the margin requirement in F&O trades. 
  • Saves time
  • Allow traders to take the early position thus maximizing the profit. 
  • No additional charges. 

Disadvantages of Basket Order in Zerodha 

Along with advantages, there are some disadvantages too:

  • Executing multiple trades together often reduces the profit percentage. 
  • Exiting trades too early. 

Conclusion

Basket orders in Zerodha make it easier for traders who want to place multiple trades. This saves their time and brings the opportunity to maximize profit by making an early entry. 

This is more useful for options traders who follow certain strategies in their options trading.  

So, if you want to reap the benefit of a basket order, then open an account with Zerodha. 


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