Zerodha squares off open intraday positions at or after the specified auto-square off timings. If your intraday position or MIS trade is not squared off on the same day, Zerodha will treat it as a Longterm (CNC) or Overnight (NRML) position and carry it forward to the next trading day.
Why auto square-off may fail:
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System or link failures
- Stocks hitting circuit limits
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Internet connectivity issues
The responsibility is always on the client to square off positions. If any position carries forward due to the reasons mentioned above, the client must close the position. Zerodha reserves the right to square off any such position at its discretion, even without issuing a margin call, if the client does not maintain the required balance in the account.