Placing Buy and Sell Orders in TMS Without Costly Mistakes

Your first order on a broker's TMS can feel nerve-wracking. Lots of numbers changing, a clock running, and a button that spends real money. I remember checking the quantity field about five times before clicking "Buy" on my first trade.

A few basics make it much less stressful, and they help you avoid the expensive mistakes beginners make.

Primary vs secondary market

When you apply for an IPO, you're buying from the company itself. That's the primary market.

Once the shares are listed on NEPSE, investors trade them with each other. That's the secondary market. The company isn't involved anymore. You're buying from another investor who wants to sell, through brokers and NEPSE's trading system.

That's what TMS is for.

What an order really is

When you place a buy order, you're saying, "I'll buy this many shares at this price." Someone has to be willing to sell at that price for it to go through. If no one is, your order just sits there.

Placing an order doesn't mean it will execute. That catches a lot of beginners off guard.

Understanding the TMS screen

When you look up a share in TMS, you'll typically see:

LTP (Last Traded Price): the price of the most recent trade
Change and % change: compared with the previous day's close
Market depth: a list of buy orders (bids) and sell orders (asks) waiting at different prices, with quantities
High / low: the day's range so far
Volume: how many shares have traded today

Market depth is the most useful thing on the screen. If the best sell order is at Rs 525 and the best buy order is at Rs 518, the gap between them (the spread) tells you how liquid the share is. Big spreads and small quantities mean you might struggle to buy or sell at a fair price.

A simple example

Say a share last traded at Rs 520. You place a limit buy at Rs 510.

If the price drifts down and a seller accepts Rs 510, you get your shares and you didn't overpay.
If the price climbs to Rs 540 instead, your order never fills.

That's the trade-off with limit orders: you control the price but not whether it happens.

Same thing on the sell side. Set your minimum too high and you might watch the price touch Rs 595 while your order at Rs 600 sits there all day.

There are other order types and settings in TMS, and each one behaves differently. Don't use one until you understand exactly what it does. Ask your broker if you're unsure.

Price limits

NEPSE has daily price bands, so most shares can't move beyond a set percentage up or down in a single day. If you try to place an order outside that range, TMS won't accept it. This is why you sometimes see a share "stuck" at the upper or lower limit with a huge queue of orders and almost no trades.

Check the current rules for the exact limits, as they can change.

My personal checklist before clicking "Buy"

Is it the right company? Some symbols look very similar, and the same group may have multiple companies listed. One wrong letter and you've bought a different share.
Quantity and price: did I add an extra zero? Buying 1,000 kitta instead of 100 is an expensive typo.
Do I have enough collateral or funds loaded?
Do I know the total cost? Broker commission, SEBON fee and DP charge are added to your purchase. On small trades, these can be a noticeable percentage.
Why am I buying this? If the only answer is "it's going up today" or "someone in a Telegram group said so", I close the app.

Understanding the costs

Every trade has a few charges:

Broker commission: a percentage of the trade value, usually on a sliding scale (smaller percentage for bigger trades)
SEBON fee: a small regulatory fee
DP charge: a fixed amount per company when shares are transferred
Capital gains tax: when you sell at a profit. The rate for individuals depends on how long you held the shares. Holding longer has typically meant a lower rate.

Get the current fee schedule from your broker. Because of the fixed DP charge, buying a tiny quantity like 5 or 10 kitta of a cheap share can mean the fees eat a big chunk of any gain.

After the trade: settlement

A trade on TMS isn't fully finished when it executes. There's a settlement period of a couple of working days, during which:

If you bought: you pay the full amount to your broker (if not already covered by collateral). The shares then arrive in your Demat.
If you sold: you need to do EDIS in Mero Share, authorising the transfer of shares from your Demat. Then the money (minus fees and tax) is paid to you.

Missing the EDIS deadline or not paying on time can mean penalties, or your trade being closed out. Ask your broker exactly how settlement and deadlines work, and set a phone reminder.

Also check the confirmation and keep records. Screenshot or download your contract notes. You'll need them for tax and if anything goes wrong.

Cancelling or modifying orders

If your order hasn't executed yet, you can usually cancel or modify it in TMS. Once it's executed, it's done. There's no "undo".

Partially filled orders are common. You wanted 200 kitta, 80 got filled, 120 are still waiting. Keep an eye on your order book.

Beginner habits that save money

Start small. Make your first few trades tiny, just to learn the process.
Don't chase. If a share is up sharply and you missed it, let it go. Chasing usually means buying near the top.
Avoid the first and last minutes if you're nervous. Prices can jump around more then.
Keep a trade journal. Write down why you bought and what would make you sell. Review it later. You'll learn more from this than from any YouTube video.
Don't trade on rumours. "Bonus coming next week!" posts are often wrong, and sometimes deliberately spread by people looking to sell.

Protect your account

Never share your TMS password or OTP. Don't give anyone remote access to your phone or computer "to help you trade". If something looks wrong, like trades you didn't place, call your broker immediately using the number on their official website.

And please don't buy something just because a Telegram group says it's "about to fly". That's how most beginners lose money. Before buying, try at least reading the company's annual report and checking its EPS and P/E.

General information, not personal financial advice. Rules, rates and fees change, so check with the official source (SEBON, NRB, CDSC, IRD or the Nepal Insurance Authority) before you act. Have a question? Leave it in the comments.