Author: Sachin Gupta
PREVIOUS MWPL %
STOCKS
CURRENT MWPL %
115.67
108.58
68.88
101.54
91.95
88.89
91.19
87.20
91.92
89.35
91.60
88.38
90.51
83.65
87.89
84.65
86.64
83.85
95.56
92.02
PREVIOUS MWPL %
STOCKS
CURRENT MWPL %
86.52
83.12
87.44
89.27
87.52
88.56
87.94
87.94
80.79
83.80
80.72
81.73
82.75
80.76
83.89
85.99
81.11
77.59
80.57
78.76
PREVIOUS MWPL %
STOCKS
CURRENT MWPL %
89.17
86.80
88.38
83.65
87.89
84.65
86.64
83.85
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.