Two stocks have been restricted for trading on Thursday, March 16, 2023, under the Futures and Options (F&O) segment by the National Stock Exchange (NSE). The securities are restricted under the F&O segment as they have crossed 95% of the market-wide position limit (MWPL) as per NSE.
Chemical stock GNFC (Gujarat Narmada Valley Fertilizers & Chemicals Ltd) remains a part of the F&O ban while Indiabulls Housing Finance The stock has been added to today’s list by the stock exchange. NSE updates the list of securities in the F&O limit for trading daily.
NSE said that the derivative contracts in the mentioned securities have crossed 95% of the market wide position limit and hence are currently put in the ban period by the stock exchange.
“It is hereby informed that all clients/members shall trade in derivative contracts of the above securities only to reduce their positions by way of offsetting positions,” the stock exchange said. “Any increase in open positions will attract appropriate penal and disciplinary action,” NSE added.
No fresh positions are allowed for any F&O contract in a particular stock under the F&O restriction period. MWPL (Market-Wide Position Limit) is set by the stock exchanges which is the maximum number of contracts that can be opened at any point of time (Open Interest), therefore, F&O contracts of that stock enter into a restriction period if open Interest crossed 95% of MWPL.
Meanwhile, for Monday, Indian indices may witness a sluggish opening as SGX Nifty, Singapore Nifty which is the Indian Nifty traded on Singapore Stock Exchange, shows a choppy opening for the Indian. stock market today,
Know your inner investor
Do you have guts of steel or are you a victim of insomnia regarding your investments? Let’s define your investment approach.
catch all business News, market news, today’s fresh news events and Breaking News Update on Live Mint. download mint news app To get daily market updates.