1. The zone and the fill
The entry zone is the price range in which the analyst's view and its stop-loss make sense together. When the price trades in the zone, the call records a fill: the price at which the call is treated as entered. Your fill is the price your broker executes your own order at. The two can differ by a few ticks, or by more in a fast market.
| Your entry | Risk to stop | Distance to T1 | R:R to T1 |
|---|---|---|---|
| 99 (zone bottom) | 3 | 5 | 1:1.7 |
| 100 | 4 | 4 | 1:1.0 |
| 101 (zone top) | 5 | 3 | 1:0.6 |
| 103 (above the zone) | 7 | 1 | 1:0.1 |
2. Placing the order
- Limit order: buy at your price or better. You control the price, but you may not be filled if the price does not come back.
- Market order: filled at the price available now. You get in, but in a thin or fast market the fill can be well away from the last traded price.
- Stop-loss order: becomes active only when the price reaches a trigger. It is used for exits; some brokers and exchanges restrict the market version of it in some contracts.
- Orders that stay live across sessions are a broker facility, not an exchange order. Check how yours triggers and what happens on a gap.
A limit order placed inside the zone keeps you from paying more than the call's plan allows.
3. When the price has already left the zone
If a BUY call's price is already above the zone, or a SELL call's below it, entering now means more risk to the same stop and less distance to the targets, as the last row of the table shows. The call does not ask you to chase. You can wait for the price to return to the zone while the call is valid, or leave the call.
4. Gap opens and fast moves
If the price opens beyond the zone, there may be no chance to enter at the call's levels at all. If it opens beyond the stop-loss before you have entered, the call is void for a new entry. In a fast move a market order can fill several ticks away and a limit order may not fill. Both are normal, and neither is a reason to enter at any price.
5. Validity and cancellation
- A call waiting for entry may show "Valid until". For intraday calls this is, by default, 3:30 pm IST the same day. If the entry has not triggered by then, the call lapses.
- If the call is cancelled before entry, cancel any order you placed for it. An order left behind can fill later, with no call behind it.
- If the invalidation happens before entry, the call is void. Do not enter it.
