I have noticed that Dhan requires additional margin for Stop-Loss (SL) reversal orders, whereas other brokers do not.
For example, if I hold a long position in Nifty Futures (1 lot) with a margin requirement of ₹2,00,000 and place an SL order with 2 lots (1 for square-off and 1 for creating a short position), Dhan asks for 2x margin. However, other brokers allow this without requiring additional margin.
This creates unnecessary working capital hurdles. Can this be aligned with standard industry practice where margin is calculated post-trigger?
As per your scenario, when placing a Stop-Loss order, 1 lot from the initial buy position will be squared off against your open position, while the remaining 1 lot will be considered a naked short position in the exchange. As per exchange regulations, maintaining a short position requires the applicable margin.
@Hiten_Narsana Either I’m unable to clearly explain the issue I’m facing, or Dhan is unwilling to address it, This is beyond frustrating—why is such a basic issue being ignored? I don’t want a generic response; I need an actual solution.
However, this issue seems unique to Dhan’s platform. With other brokers, no extra margin is charged for SL reversal orders with 2x lots, as the square-off and new position are executed seamlessly under a single order.
1-2=-1 which should block margin for only one lot of fut.
@Hiten_Narsana Dhan has margin block issues with stop and reverse orders. @Naman is aware. I regularly face this with my commodity orders. However there is a temporary hack - Cancel the pending order and add a new order again. Margin blocked is updated correctly now.
@Naman@PravinJ This issue was first raised one year ago, Request for allow to Trade with SL/SLM Order with 2X Qty in Future yet remains unresolved. As my trading system critically depends on this functionality, I’m currently forced to hold extra capital for contingencies - which is straining my ability to manage other positions effectively. For proper FY planning, I need clarity: Should I wait for your team to implement a fix, or should I adjust my trading approach entirely?