Final Certification Exam

Answer all 12 questions. You need at least 9 correct (75%) to pass and unlock your certificate.

Basic

Question 1: If an investor purchases 100 shares of Reliance Industries using CNC on Tuesday morning, when will shares settle in Demat?

• A) Instantly on Tuesday afternoon
• B) Wednesday evening via T+1 settlement
• C) Thursday morning via T+2 settlement
• D) Friday afternoon during post-market

Basic

Question 2: A stock trades with series code "BE". What restriction applies?

• A) Only MIS intraday orders allowed
• B) Only options contracts allowed
• C) 100% upfront capital; no intraday square-off
• D) Only pre-market session trading

Basic

Question 3: Which order type executes immediately but risks slippage in volatility?

• A) Limit order
• B) Stop-loss limit (SL-L)
• C) Market order
• D) GTT order

Basic

Question 4: Which entity protects retail investors and polices NSE for fraud?

• A) CDSL
• B) NSDL
• C) NCL
• D) SEBI

Intermediate

Question 5: A daily candle has a small body near the bottom and a very long upper wick. What does this convey?

• A) Strong institutional buying
• B) Supply rejection — sellers overpowered buyers
• C) Bullish breakout continuation
• D) Extreme low liquidity only

Intermediate

Question 6: Capital ₹5,00,000; 1% risk; entry ₹2,000; stop ₹1,950. Max shares allowed?

• A) 10 shares
• B) 50 shares
• C) 100 shares
• D) 250 shares

Intermediate

Question 7: Bollinger Bands at tightest width in months — what should you prepare for?

• A) Complete trading pause
• B) Imminent explosive volatility breakout
• C) Guaranteed multi-week sideways range
• D) Automatic 50% correction

Intermediate

Question 8: MIS position still open at 03:10 PM with heavy loss — what happens?

• A) Rolls over to next day
• B) Broker auto-liquidates before 03:30 PM
• C) Exchange halts the account
• D) Converts to delivery without extra capital

Advanced

Question 9: Nifty rallies 200 pts but futures OI drops significantly. What phenomenon?

• A) Long buildup
• B) Short buildup
• C) Short covering (short squeeze)
• D) Long unwinding

Advanced

Question 10: OTM CE bought Friday; Nifty unchanged Monday open — premium effect?

• A) Stays exactly the same
• B) Increases from Delta expansion
• C) Decreases from weekend Theta decay
• D) Doubles from IV spike

Advanced

Question 11: Futures trade below spot — bearish institutional sentiment. This is:

• A) Contango
• B) Backwardation
• C) Delta neutrality
• D) Theta decay

Advanced

Question 12: Iron Condor on Nifty — maximum profit when:

• A) Nifty breaks to new highs
• B) Flash crash occurs
• C) Nifty stays inside short strikes until expiry
• D) IV increases dramatically