Author: Sachin Gupta
PREVIOUS MWPL %
STOCKS
CURRENT MWPL %
94.61
85.52
89.41
86.60
90.92
88.25
96.60
88.84
79.53
103.85
83.30
82.94
83.50
80.06
PREVIOUS MWPL %
STOCKS
CURRENT MWPL %
91.19
84.85
89.99
89.52
87.82
87.12
83.60
84.08
84.41
84.18
86.61
83.33
83.41
82.26
86.99
94.09
78.97
81.46
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.