Brokerages
Zerodha
Introduction
QuantConnect enables you to run your algorithms in live mode with real-time market data. We have successfully hosted more than 200,000 live algorithms and have had more than $22B in volume traded on our servers since 2015. Brokerages supply a connection to the exchanges so that you can automate orders using LEAN. You can use multiple data feeds in live trading algorithms.
Zerodha was founded by Nithin Kamath in 2010 with the goal to break all barriers that traders and investors face in India in terms of cost, support, and technology. Zerodha provides access to India Equities for clients in India with no minimum balance required. Zerodha also provides a mutual fund investment platform and an interactive portfolio dashboard.
To view the implementation of the Zerodha brokerage integration, see the Lean.Brokerages.Zerodha repository.
Account Types
Zerodha supports cash and margin accounts.
SetBrokerageModel(BrokerageName.Zerodha, AccountType.Cash); SetBrokerageModel(BrokerageName.Zerodha, AccountType.Margin);
self.SetBrokerageModel(BrokerageName.Zerodha, AccountType.Cash) self.SetBrokerageModel(BrokerageName.Zerodha, AccountType.Margin)
Zerodha only supports trading Indian Rupees.
SetAccountCurrency("INR");
self.SetAccountCurrency("INR")
Create an Account
To create a Zerodha account, follow the account creation wizard on the Zerodha website.
You will need API credentials to deploy live algorithms with your brokerage account. After you open your Zerodha account, follow these steps to get your API credentials:
- Create a Kite Connect developer account.
- Create an app to get your access key.
- Make a POST request to
/session/token
with therequest_token
andchecksum
(SHA-256 ofapi_key + request_token + api_secret
) and obtain theaccess_token
.
For more information about the process, see the Login flow in the Kite Connect documentation.
Paper Trading
Zerodha doesn't support paper trading.
Asset Classes
Our Zerodha integration supports trading Indian Equities.
AddEquity("YESBANK", Resolution.Minute, Market.India);
self.AddEquity("YESBANK", Resolution.Minute, Market.India)
If you call the SetBrokerageModel
method with the correct BrokerageName
, then you don't need to pass a Market
argument to the AddEquity
method because the brokerage model has a default market.
Assets Available
Refer to the India Equities dataset to see the assets available.
Orders
We model the Zerodha API by supporting several order types, supporting order properties, and order updates. When you deploy live algorithms, you can place manual orders through the IDE.
Order Types
The following table describes the available order types for each asset class that Zerodha supports:
Order Type | India Equity |
---|---|
MarketOrder | ![]() |
LimitOrder | ![]() |
LimitIfTouchedOrder | ![]() |
StopMarketOrder | ![]() |
StopLimitOrder | ![]() |
MarketOnOpenOrder | ![]() |
MarketOnCloseOrder | ![]() |
MarketOrder(_symbol, quantity); LimitOrder(_symbol, quantity, limitPrice); LimitIfTouchedOrder(_symbol, quantity, triggerPrice, limitPrice); StopMarketOrder(_symbol, quantity, stopPrice); StopLimitOrder(_symbol, quantity, stopPrice, limitPrice); MarketOnOpenOrder(_symbol, quantity); MarketOnCloseOrder(_symbol, quantity);
self.MarketOrder(self.symbol, quantity) self.LimitOrder(self.symbol, quantity, limit_price) self.LimitIfTouchedOrder(self.symbol, quantity, trigger_price, limit_price) self.StopMarketOrder(self.symbol, quantity, stop_price) self.StopLimitOrder(self.symbol, quantity, stop_price, limit_price) self.MarketOnOpenOrder(self.symbol, quantity) self.MarketOnCloseOrder(self.symbol, quantity)
Order Properties
We model custom order properties from the Zerodha API. The following table describes the members of the IndiaOrderProperties
object that you can set to customize order execution:
Property | Description |
---|---|
Exchange | Select the exchange for sending the order to. The following instructions are supported:
|
ProductType |
A ProductType instruction to apply to the order. The IndiaProductType enumeration has the following members:
|
TimeInForce | A TimeInForce instruction to apply to the order. The following instructions are supported:
|
public override void Initialize() { // Set default order properties DefaultOrderProperties = new IndiaOrderProperties(Exchange.NSE, IndiaOrderProperties.IndiaProductType.NRML) { TimeInForce = TimeInForce.GoodTilCanceled, }; } public override void OnData(Slice slice) { // Use default order order properties LimitOrder(_symbol, quantity, limitPrice); // Override the default order properties LimitOrder(_symbol, quantity, limitPrice, orderProperties: new IndiaOrderProperties(Exchange.BSE, IndiaOrderProperties.IndiaProductType.MIS) { TimeInForce = TimeInForce.Day, }; LimitOrder(_symbol, quantity, limitPrice, orderProperties: new IndiaOrderProperties(Exchange.BSE, IndiaOrderProperties.IndiaProductType.CNC) { TimeInForce = TimeInForce.GoodTilDate, }; }
def Initialize(self) -> None: # Set the default order properties self.DefaultOrderProperties = IndiaOrderProperties(Exchange.NSE, IndiaOrderProperties.IndiaProductType.NRML) self.DefaultOrderProperties.TimeInForce = TimeInForce.GoodTilCanceled def OnData(self, slice: Slice) -> None: # Use default order order properties self.LimitOrder(self.symbol, quantity, limit_price) # Override the default order properties order_properties = IndiaOrderProperties(Exchange.BSE, IndiaOrderProperties.IndiaProductType.MIS) order_properties.TimeInForce = TimeInForce.Day self.LimitOrder(self.symbol, quantity, limit_price, orderProperties=order_properties) order_properties = IndiaOrderProperties(Exchange.BSE, IndiaOrderProperties.IndiaProductType.CNC) order_properties.TimeInForce = TimeInForce.GoodTilDate self.LimitOrder(self.symbol, quantity, limit_price, orderProperties=order_properties)
Updates
We model the Zerodha API by supporting order updates.
var ticket = LimitOrder(_symbol, quantity, limitPrice); var updateSettings = new UpdateOrderFields(); updateSettings.LimitPrice = newLimitPrice; ticket.Update(updateSettings);
ticket = self.LimitOrder(self.symbol, quantity, limit_price) updateSettings = UpdateOrderFields() updateSettings.LimitPrice = new_limit_price ticket.Update(updateSettings)
Handling Splits
In live trading, if you're using raw data normalization and you have active limit, stop limit, or stop market orders in the market for a US Equity when a stock split occurs, the quantity, limit price, and stop price of your orders are automatically adjusted to reflect the stock split.
Fees
We model the order fees of Zerodha with its Equity Intraday fee structure. The following table shows the fees:
Charge Item | Fee |
---|---|
Brokerage Fee | ₹20 per trade or 0.03% (whichever is lower) |
Exchange Transaction Charge | 0.00345% |
Securities Transaction Tax | 0.025% |
Goods and Services Tax | 18% |
SEBI Charges | 0.0001% |
Stamp Duty | 0.003% |
To view the latest fees, see the Charges page on the Zerodha website.
For default backtest fee model, see Zerodha Supported Models.
Margin
We model buying power and margin calls to ensure your algorithm stays within the margin requirements.
Buying Power
Zerodha allows up to 5x leverage for margin accounts, but the amount of margin available depends on the Equity and product type. To check the amount of margin available for each asset, see the Margin Calculator on the Zerodha website.
Margin Calls
Regulation T margin rules apply. When the amount of margin remaining in your portfolio drops below 5% of the total portfolio value, you receive a warning. When the amount of margin remaining in your portfolio drops to zero or goes negative, the portfolio sorts the generated margin call orders by their unrealized profit and executes each order synchronously until your portfolio is within the margin requirements.
Slippage
Orders through Zerodha do not experience slippage in backtests. In live trading, your orders may experience slippage.
For default backtest slippage model, see Zerodha Supported Models.
Fills
We fill market orders immediately and completely in backtests. In live trading, if the quantity of your market orders exceeds the quantity available at the top of the order book, your orders are filled according to what is available in the order book.
For default fill model, see Zerodha Supported Models.
Settlements
If you trade with a margin account, trades settle immediately
security.SettlementModel = new ImmediateSettlementModel();
security.SettlementModel = ImmediateSettlementModel()
For default settlement model, see Zerodha Supported Models.
Deploy Live Algorithms
You must have an available live trading node for each live trading algorithm you deploy.
Follow these steps to deploy a live trading algorithm:
- Open the project that you want to deploy.
- Click the
Deploy Live icon.
- On the Deploy Live page, click the Brokerage field and then click from the drop-down menu.
- Enter your Kite Connect access token and key.
- Click the Product Type field and then click one of the following options from the drop-down menu:
- Click the Trading Segment field and then click one of the following options from the drop-down menu:
- Click the History Subscription field and then click or from the drop-down menu.
- Click the Node field and then click the live trading node that you want to use from the drop-down menu.
- (Optional) Set up notifications.
- Configure the Automatically restart algorithm setting.
- Click .
To get your access token and key, see Account Types. Your account details aren't saved on QuantConnect.
Product Type | Description |
---|---|
Intraday products | |
Delivery products | |
Carry forward products |
Trading Segment | Description |
---|---|
For trading Equities on the National Stock Exchange of India (NSE) or the Bombay Stock Exchange (BSE) | |
For trading commodities on the Multi Commodity Exchange of India (MCX) |
Use this field to declare whether you have a history API subscription on your Kite Connect account.
By enabling automatic restarts, the algorithm will use best efforts to restart the algorithm if it fails due to a runtime error. This can help improve the algorithm's resilience to temporary outages such as a brokerage API disconnection.
The deployment process can take up to 5 minutes. When the algorithm deploys, the live results page displays.