Why do we need to close the intraday position on the same day? Is it mandate?

[Sivasubramaniyan B]

There is no rule to exit the position as such within a day

We decide to trade within a day because we expect short term returns.

Only in a spot market if we take a short position, it is advised to buy back the stocks before the end of the day in order to avoid penalties by SEBI.

If we don’t buy back the exchange buys the stock in an auction market the next day which involves penalty

For long position we don’t have to exit the market before the end of the day unless we decide to do so

[Darshan Sanwal]

We close the position on the same day because it is our decision to exit the market on the same day. There is no Mandate to exit the market on the same day. However if a person is creating a short decision then it is advisable to close it within the day else the person has to face penal consequences by the SEBI. In case a person creating a long position there is no mandate.

[dharanija]

Intra day trading is trading in one same day and it is not mandate to close the intraday position on the same day but in order to avoid penalities we should close

[Rajkumar]

We need to close the intraday trading on the same day to avoid penalties

[Vasanth]

To avoid the overnight risk.
It is not mandatory to close the position.

[Author]

Posts