Author: Sachin Gupta
PREVIOUS MWPL %
STOCKS
CURRENT MWPL %
112.87
107.91
100.60
99.58
93.85
91.90
87.41
83.81
84.52
81.70
99.35
93.56
111.39
96.86
108.71
103.47
106.02
95.30
91.70
101.62
92.71
97.21
PREVIOUS MWPL %
STOCKS
CURRENT MWPL %
86.99
90.75
91.08
89.97
87.36
88.73
87.92
88.51
84.55
85.19
83.22
84.00
83.05
82.99
82.23
82.29
78.76
84.82
76.31
80.80
The goal of the stock ban in F&O is to curb excessive speculation. When a stock's total open interest exceeds 95% of the market-wide position limit (MWPL), the stock exchange imposes an F&O ban. Traders are not allowed to open new positions in the stock that is subject to the F&O Ban during this time. But by squaring off positions, they can decrease their stake in that stock.
There is a chance that a stock may soon be added to the ban list if its MWPL is greater than 80%. A stock has a chance of leaving the ban list in the near future if its MWPL begins to fall below 95% while it is on the list.