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Lots, Product Types & Validity

This page covers the final configuration options for each strategy leg — how many lots to trade and what order type to use.


Lot Sizing

Position sizes in Algo Architech are configured in Lots, not raw quantities. The engine automatically converts your lot count into exchange-compliant quantities.

How Lot Conversion Works

Each instrument has a fixed lot size defined by the exchange:

InstrumentLot Size1 Lot =2 Lots =
Nifty 502525 units50 units
Bank Nifty1515 units30 units
FinNifty2525 units50 units
Sensex1010 units20 units

When you set Lots = 2 on Nifty, the engine places an order for 50 units (2 × 25).

Always think in lots, not quantities. The exchange enforces that orders must be in exact multiples of the lot size. Algo Architech handles this conversion automatically.


Product Types

The product type determines how your broker treats the position — specifically whether it must be closed by end-of-day or can be carried overnight.

MIS (Margin Intraday Square-off)

PropertyDetail
Full nameMargin Intraday Square-off
DurationMust be squared off before market close
Margin required~50-80% lower than NRML (broker-dependent)
Auto-square-offBroker automatically closes position if not exited by ~3:15 PM

Best for: Intraday scalping and day-trading strategies that open and close within the same session.

If your strategy is still in a position at the broker’s auto-square-off time (~3:15 PM for most brokers), the broker will force-close your position at market price, potentially at an unfavorable price. Always ensure your strategy’s Time Window and Exit rules account for this.

NRML (Normal/Overnight)

PropertyDetail
Full nameNormal
DurationPositions can be carried overnight and across sessions
Margin requiredFull exchange-mandated margin (SPAN + Exposure)
Auto-square-offNone — position stays until you exit or expiry

Best for: Swing strategies, positional trades, multi-day premium decay strategies.

CNC (Cash and Carry)

PropertyDetail
Full nameCash and Carry
DurationDelivery-based — for equity/futures
Margin requiredFull payment (no leverage for equity)
Auto-square-offNone

Best for: Equity delivery trades (not commonly used for options).


Choosing the Right Product Type

Strategy DurationRecommended Product
Intraday (open & close same day)MIS — lower margin, must exit by 3:15 PM
Overnight / Multi-dayNRML — full margin, hold as long as needed
Equity deliveryCNC — full payment, no auto-square-off

Configuration Per Leg

Each leg in the Position Builder has its own independent configuration:

┌─────────────────────────────────────────────────────────────┐ │ Leg 1: Buy │ CE │ ATM │ 2 Lots │ MIS │ Current Week │ │ Leg 2: Sell │ CE │ ATM+2│ 2 Lots │ MIS │ Current Week │ └─────────────────────────────────────────────────────────────┘

All legs execute simultaneously when the entry signal fires.


Next Steps

With positions configured, learn how to manage them dynamically when market conditions change:

→ Next: Adjustment Rules Overview

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