Disclosed quantity or DQ order is a special type of order wherein only a part of the actual quantity that you want to buy/sell is displayed to the market. You need to specify the quantity to be disclosed for such an order. Once this is done, the order is sent to the Exchange and only the DQ is shown on the market screen.
How does a DQ order work?
If a user places an order with an order quantity of 500 and DQ set as 100, the order is sent to the Exchange and only the DQ of 100 is displayed on the market screen. Once this quantity of 100 is fully traded, the next DQ of 100 will be released for trade. This will happen until the complete order quantity is filled.
How to place a DQ order?
To place a DQ order, enable the toggle switch button from the order entry screen and enter the desired DQ to place your DQ order.
What are the DQ order restrictions?
There are certain restrictions on placing a DQ order and they are as follows:
DQ orders are only allowed in Equity (Cash), Currency (CDS) and Commodity (MCX).
DQ orders are not allowed in the F&O segment
For NSE/BSE Equity and NSE CDS orders, the minimum DQ is 10% of the actual order quantity.
For MCX it is 25% of the actual order quantity
DQ cannot be more than the actual order quantity
DQ orders are not allowed in pre-open and post-market closing session
What are the uses of a DQ order?
Disclosed quantity is useful when a user wants to Buy / Sell stocks in bulk quantities at one time such as few thousand or hundreds of thousands. It may not be relevant for small order quantities like 10 or 100.
Used by HNIs, the disclosed quantity feature is used to mask an order size. This is done so that the demand and price of the ordered stock don't rise up and the person placing the order is protected from paying higher prices for his/her order.