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.
PREVIOUS MWPL %
STOCKS
CURRENT MWPL %
90.88
85.83
84.46
81.59
91.29
88.57
93.63
92.21
161.14
143.26
87.01
124.34
PREVIOUS MWPL %
STOCKS
CURRENT MWPL %
86.95
86.82
86.74
88.95
85.76
85.4
88.49
85.91
80.61
83
84.65
83.07
84.36
82.25
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.