How iceberg orders work
You enter the total quantity, the number of slices and a limit price. QuantPower divides the total into slices, each a whole number of lots, and sends the first one to your broker. When it fills, the next slice goes out, and this continues until the total is filled or you cancel the order. Cancelling stops the slices not yet sent; slices already filled stay in your position.
Freeze quantity: the exchange's limit per order
Exchanges set a maximum quantity for a single order in each F&O contract, called the freeze quantity. An order above it is rejected in full, however much margin you have. From 5 October 2026, NSE's freeze quantity is 3,510 units for Nifty contracts and 1,440 units for Bank Nifty. NSE revised these limits more than once in 2026, so check its current list before sizing a large trade.
The same limit applies when you exit. A large short option position has to be bought back in slices too, which matters on a fast day.
How slices appear
| Where | What you see |
|---|---|
| The iceberg panel in QuantPower | Filled quantity against the total, and each slice's status, price and time |
| Your order book | One order per slice, each with its own order ID |
| Positions | The combined quantity at the average fill price |
| Market depth, as other traders see it | Only the open slice, added to the queue at its price |
| Your broker's contract note | Each slice as a separate order, with its own brokerage |
In the sample screen above, the progress bar shows 1,560 of 2,600 units filled: two slices complete, one open with 260 units filled, and one waiting. Check the filled quantity, not the total you entered, before you place a hedge or an exit.
When iceberg orders help
| Situation | Use an iceberg order? | Why |
|---|---|---|
| Quantity above the freeze limit | Yes | A single order would be rejected |
| Large order in a liquid contract | Often | The order book refills between slices, so each slice meets fresh orders |
| Large order in a thin strike | With care | Even small slices can move the price; use a limit and expect partial fills |
| Small order | No | One order fills at once and pays brokerage once |
| Urgent exit in a fast market | Only if the size needs it | Later slices can fill much worse, or not at all at a limit price |
Our guide on how to place an iceberg order shows each setting in the order ticket.
Costs and risks of slicing
- Brokerage per slice. At a broker charging ₹20 per executed order, four filled slices cost ₹80 in brokerage instead of ₹20. STT, exchange charges and stamp duty are based on value, so they do not change.
- Partial fills. A slice can fill in part and wait at your price while the market moves away.
- Price drift. Later slices may fill at worse prices, so the average can end up worse than the first fill. The slippage calculator estimates the cost of filling a large order.
- Margin on each slice. Your broker checks margin as each slice arrives, so a later slice can be rejected if margin runs short.
- Hedged positions. For a spread or a condor, buy the hedge legs first and sell the short legs after, so your broker sees a hedged position and blocks less margin.
Iceberg orders compared with other ways to split an order
| Method | How it works | Trade-off |
|---|---|---|
| One order at full size | A single order for the whole quantity | Rejected above the freeze limit; the full size shows in the book |
| Several orders by hand | You type each order yourself | Slow, and easy to get wrong in a fast market |
| Slicing at your broker | Some brokers split an order above the freeze limit into several orders | The slices may go out together, so the full size can show at once |
| Iceberg order in QuantPower | Slices go out one after another | Slower to complete, but only one slice shows at a time |
Orders, your broker and SEBI's rules
QuantPower is trading software, not a broker. Every slice is an order on your own broker account, sent through the broker's official API with your own API key, from the static IP you register with your broker, after you complete the broker's daily login with two-factor authentication. QuantPower runs on your own computer or VPS, so keep it on and logged in to your broker during market hours until the last slice is placed. Slices go out one after another, within the order-rate limit for self-built algos of fewer than 10 orders a second. Your funds and positions stay with your broker throughout.
Plans
The QuantPower Standard plan is free during the Beta (₹299/month after); Professional is ₹499/month and Ultimate ₹999/month, GST extra. See pricing. Every plan starts with a free trial.
Related guides
- How to place an iceberg order: each setting, step by step
- Order types: limit, market, stop-loss and iceberg orders compared
- Slippage calculator: the cost of filling a large order
- Order book dynamics: how the queue at each price fills
- Market depth meaning: what the bid and ask quantities show
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Frequently asked questions
What is an iceberg order?
A large order split into smaller slices that are sent one after another, so only part of the size is visible in the order book at a time.
Does an iceberg order cost more brokerage?
At a broker that charges per executed order, yes: each filled slice is charged as a separate order. Charges based on value, such as STT and stamp duty, stay the same.
How many slices should I use?
At least the total quantity divided by the largest slice the freeze quantity allows, rounded up. More slices show less size at a time, but take longer to fill and cost more brokerage.
Can I sell with an iceberg order?
Yes. Sell orders split the same way as buy orders. On an exit in a fast market, remember that later slices can fill at worse prices.
Can other traders see my full quantity?
No. They see only the open slice, added to the other orders waiting at the same price.
Why was one slice rejected?
Usually because margin ran short, the price was outside the exchange's band, or the slice was above the freeze quantity. The order book shows the reason for each slice.
Sources
- NSE: equity derivatives contract specifications, lot sizes and freeze quantities (nseindia.com) (checked 20 October 2026)
- NSE circular 136/2026 (NSE/FAOP/76693), revision of quantity freeze limits for index derivatives, 1 October 2026, effective 5 October 2026 (nsearchives.nseindia.com)
- SEBI: safer participation of retail investors in algorithmic trading, 4 February 2025, and NSE implementation standards for retail algo trading, 5 May 2025
- Zerodha, Upstox, Fyers and IIFL Capital: published brokerage pages (checked 10 October 2026)