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Market Intelligence › Basic Terminologies
The same order, three different margins, three different outcomes
Published by The Retail Trader · JUL 23, 2026 · Order Flow
There is a small dropdown when placing an order that people pay the least attention to. It decides how much margin you get and how long the position will stay alive.
CNC is for delivery — the full amount is needed and the shares come into your demat account. The position stays until you sell.
MIS is for intraday — you get more leverage, but the position has to be closed the same day, otherwise the broker does it itself.
NRML is for carrying forward in derivatives — normal margin applies and the position can be held until expiry.
A wrong product code creates these problems:
• You planned delivery but MIS was selected — the position closed by itself in the evening.
• You planned intraday but CNC was selected — the full amount got blocked.
• A position taken in MIS never lands in the demat account when sold.
• Converting the product is often possible, but it needs funds.
The product code is the last thing you should check before placing an order. It is a one-second job, and getting it wrong is a mistake that ends your whole plan within that very day.
This article is for education only — it is not a buy or sell recommendation, makes no claim of guaranteed returns, and is not advisory. Rules, rates and mechanics are changed from time to time by the exchanges, SEBI and RBI, so verify every number yourself with your broker or an official source.