FuzzyMochi
FuzzyMochi

Need help with zerodha kite app trading

In last few days i have experienced wierd algo behaviour with zerodha kite app. As soon as i place buy order, it gets executed with little higher price(e.g. it shows 10.51 but actually shares bought at 10.56) and exactly opposite happens during sell( shares sold at 10.51 even though trade executed at 10.56). Is it normal or i am novice with this app?

1mo ago
4Kviews
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PrancingPancake
PrancingPancake
IBM1mo

Not sure , depends on the stock , if you are buying/selling non liquid stocks , it may be because it matches your order to nearest limit order available in order books. Another option is you are getting front run by market making bots , but i dont think it is common in indian markets , very common in crypto and forex.

FuzzyMochi
FuzzyMochi

@testuser1717 it happens regardless of stocks, i buy/sell at market price

PrancingPancake
PrancingPancake
IBM1mo

then try to do limit only maybe few ticks below ur required , there is a concept of taker and maker fees , basically ur a taker so you need to pay to get the fill , a limit order is a maker , means u are putting order and making market , hence lower fees and better execution , Also on market orders there will be slippage too , so best avoid market buying if you are not urgent.

DancingDonut
DancingDonut

Buy or sell at limit price if you want same price.
Don't buy or sell at market price.
It's called matching principle. When you buy at market price, the order gets filled from the lowest seller price and goes up (depending on your order quantity). The price indicated is the price of last order matched, nit the price at which your order will get executed.

FuzzyMochi
FuzzyMochi

@DaringTrain got it, thanks bro

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