To answer this question ‘can I sell delivery shares on the same day’, we first need to define what delivery shares are.
Delivery shares are those shares that you buy and hold with you for more than one day. Because after the trade execution day, it takes T+1 or T+2 working days to settle the trade, and the shares get delivered to your Demat account.
You can sell the delivery shares on the same day if they are in your Demat account before the market opens, and you have not pledged them.
Now coming back to the point – Can you sell the delivery shares on the same day?
Yes, you can sell the delivery share on the same day you place the buy order. However, in this scenario, your trade will be considered as intraday instead of delivery regardless of whether you place a buy order of intraday order (CNC) or delivery order (MIS).
How to Sell the Stocks on the Same Day
I am going to use the Zerodha platform to showcase the process to sell the stocks on the same day. The process is the same whether you have placed an intraday order (CNC) or delivery order (MIS).
Step 1 – Login to your Zerodha account
Step 2 – Go to the positions section. You will find all the stock positions.
Step 3 – Move the cursor over the stock. Click on the 3-dot menu.
Step 4 – Click on the “Exit” option
Step 5 – Fill in the details like quantity (if you want to change), and choose the market order or limit order option.
- Market order – to sell the market price
- Limit order – to sell at your desired target price.
Step 6 – Click on the sell option.
Check the orders tab to see whether your sell order is pending or completed.
Also, check out our new guide on how to gift stocks in Zerodha. Gifting stocks can help you encourage your loved ones to start their investment journey.
How to Sell Delivery Stocks
You can check the stocks in your holdings, once the stocks are delivered to your Demat account. Steps to sell delivery stocks
Step 1 – Login to your Zerodha account
Step 2 – Go to the ‘Holdings’ section from the top menu. You will find all your stock holdings.
Step 3 – Move the cursor over the stock. Click on the 3-dot menu next to the stock name.
Step 4 – Click on the “Exit” option
Step 5 – Fill in the details like quantity (if you want to change), and choose the market order or limit order option.
- Market order – to sell the market price
- Limit order – to sell at your desired target price.
Step 6 – Click on the sell option.
Check the orders tab to see whether your sell order is pending or completed.
Learn more about stock investment with our two latest guides on how to invest Rs. 500 in the share market and how to invest Rs. 5000 in the stock market depending on how much money you can set aside to learn stock investing.
FAQs
Q1. Can I sell delivery shares on the same day?
Yes, you can sell delivery shares on the same day if they are in your demat account before the market opens, and you have not pledged them.
If they are not in your demat account, then it will be considered an intraday trade, and you will be charged intraday brokerage and taxes.
Q2. What are delivery shares?
Delivery shares are stocks that you hold in your demat account beyond the T+2 settlement cycle. Once the shares are in your account, you can either sell them on the same day or hold them for the long term.
Q3. What is the T+2 settlement cycle?
The T+2 settlement cycle means that after the trade execution day, it takes two working days to settle the trade, and the shares get credited to your demat account.
Q4. Can I sell shares that are in a trading account on the same day?
Yes, you can sell shares that are in a trading account on the same day under the intraday order.
Q5. What happens if I sell delivery shares on the same day that I purchased them?
If you sell delivery shares on the same day that you purchased them, it will be considered an intraday trade, and you will be charged intraday brokerage and taxes.
