Hi Traders! This is a complete guide that will help you to convert your position from MIS to CNC in Zerodha kite app.
Before you follow the steps to convert your MIS position to CNC position, you may like to read these blog posts,
- Part 1: How to open Zerodha account easily.
- Part 2: How to make a position in Intraday.
- Part 3: What are MIS and CNC?
- Part 4: How to convert MIS to CNC (You are here)
- Part 5: How to use kite app like a pro.
Before I tell you the exact process to convert your MIS position into CNC, need to clear the purpose to do it.
Why Need To Convert MIS To CNC Position?
I am going to explain the reason to convert the position with an example which I faced.
Example: Once a day I had taken 3 buy position in intraday MIS, Reliance, HDFC, and SBIN. On that day at 11 O’Clock I achieved the target for the script HDFC and within 12 O’Clock achieved the target for Reliance.
But another script SBIN goes down on that day, without hit the Stop Loss.
I was confident about my technical and fundamental analysis and I knew that SBIN will be high for the next day. But my position was MIS, which automatically square off at 3:20 pm.
If I am not taken any action, then I had to compromise with some loss for the MIS position. So, I had decided to convert my MIS position to CNC position for holding purpose and I did that.
Conditions To Convert MIS To CNC Position?
Before you going to convert MIS to CNC, you must be well known about the following conditions:
- Condition 1: Must have enough free cash in your Zerodha trading account.
Example: I had 50 shares of SBIN with the market value of Rs. 250 each. So, the minimum required free cash was Rs. 12500 in my kite app to successfully convert the position from MIS to CNC.
- Condition 2: You must take the decision and action before square off your intraday position, otherwise you lose your money.
How To Convert MIS To CNC In Kite app?
Now I guide you to convert MIS to CNC in Kite App step by step.
- Step 1: Go-to position tab in your kite app.
- Step 2: Click on the position script and select the Details option.
- Step 3: Click on Convert Position button.
- Step 4: Before converting your MIS position, you can set the quality how much you wish to convert to CNC. Click on CONVERT button to successfully convert your position.