Why is my order rejected stating, "Insufficient margin due to peak margin rule. Your available balance is ₹<amount> and your peak margin required is ₹<amount>."?
This rejection message occurs when the available balance in your account is insufficient to meet the peak margin requirements. This rule is primarily enforced when you attempt to buy back a sold scrip using the Invest or Cash and Carry (CNC) option. Here’s a detailed explanation:
Peak Margin Rule: This rule mandates that the required margin must be maintained at all times during the trading session. It is calculated based on the highest intraday margin requirement observed at any point during the trading session.
Available Balance vs. Peak Margin Required: The message specifies your current available balance and the peak margin required to complete the order. If your available balance is less than the required peak margin, the order will be rejected.
Buy Back Sold Scrip in Invest (CNC): This issue commonly arises when you attempt to buy back a scrip that you have previously sold under the CNC category. The peak margin rule requires sufficient funds to cover this transaction.
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