Why are market orders blocked for trade to trade and debt category instruments?

A market order is an instruction to buy a specified quantity of a security regardless of the price at which it is available. Market orders are blocked for trade-to-trade and debt category instruments because they are typically illiquid scrips.

Due to a lack of liquidity, the bid and ask spread in the scrip is extremely wide, which can have an immediate negative impact on your P&L. The bid/ask price may differ significantly from the instrument's last traded or theoretical price. In this article, you'll learn how to use a limit order similarly to a market order.

Market orders for all non - Equity category instruments are currently blocked. Once an order is placed, it will be executed only if there is liquidity.

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