Kotak Securities Neo mobile and web application has got many new features of late. In the last few months, Neo has been enabled with features available only to the users of TradingView premium plan, bracket order feature, new reports UI, etc. The latest feature of the app is Trailing Stop Loss. Is the new feature of KS easy to use and free? Let’s find it out!
What is trailing stoploss? When you place an order, you may set a stop loss by creating another SL-limit order. The disadvantage of this method is that, if your position is in profit, you will have to modify the SL each time the stock price increases by a few points. Trailing SL has been created to address this problem. If you create/set it, the system will automatically increment or decrease the stop loss price. Thus, you can concentrate on the other things happening in the stock market.
Kotak Securities trailing SL feature is simple and easy to understand. It can be used only for MIS equity, derivates, and future orders. Here are the steps you can follow to place one:
Click on a scrip displayed in the watchlist section. If this section is empty, add the scrip to it. Now, select the buy/sell option and click on the “Intraday” option. Select the order type as “Limit” and choose the button “Bracket Order”. Kotak Securities Neo application will now show the following fields:
Stop loss spread: In this field, users must enter the price of the stop loss. The system will close the position when the price of the scrip is less than or equal to the value you’ve set. This value won’t change automatically. Kotak Neo allows you to change it.
Trailing Stop loss: If you enter a number in this field, Kotak Securities Neo will add the value you’ve set in the above field to this number. So, your SL will now be SL spread value + TSL.
Target spread: Your position will close when the price of the scrip you’ve bought or sold has increased by the number you’ve specified in this field.
Once you have filled out the above fields, submit the form by clicking on the buy/sell button.
Why use the Trailing Stop Loss feature of Kotak Neo? It is very difficult to make money from trading in the stock markets. If you’re in profit, you may not want to give away the money you’ve earned back to the stock market. The TSL feature is designed to safeguard your profits and prevent huge loss by sudden unexpected movement in price of the instruments due to some event.
How much do you have to pay to use this new feature of Kotak Securities? TSL function is available to all users of the Neo application for free. You can use it for unlimited times.
