Author: Sachin Gupta
PREVIOUS MWPL %
STOCKS
CURRENT MWPL %
89.94
86.65
90.74
87.40
93.68
90.59
96.65
90.78
93.65
100.57
85.23
84.65
86.60
84.55
85.70
83.53
85.16
83.47
PREVIOUS MWPL %
STOCKS
CURRENT MWPL %
88.75
88.95
93.29
90.88
87.49
89.63
86.17
84.63
77.32
85.30
76.84
83.97
82.14
82.44
85.90
82.32
81.15
80.69
78.84
80.05
87.61
92.57
PREVIOUS MWPL %
STOCKS
CURRENT MWPL %
85.16
84.65
85.23
86.60
85.70
84.55
83.47
83.53
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.