markets · beginner
Square-off
Square-off means closing an open Indian market position by taking an opposite trade in the same security or contract.
Retail product codes matter: MIS or intraday positions are often squared the same day, while NRML or CNC can be carried.
An intraday long is squared off by selling the same quantity; F&O square-off closes futures or options exposure.
Brokers may auto square-off open MIS books near the close under their risk policies.
Net positions after square-off determine realised profit or loss.
Part of the Market Pulse Term of the Day series — factual market vocabulary, not investment advice.