Author: Sachin Gupta
PREVIOUS MWPL %
STOCKS
CURRENT MWPL %
86.24
84.32
92.11
85.42
92.51
90.58
87.85
84.08
92.68
90.18
99.36
91.94
83.39
102.67
91.01
96.40
92.22
95.88
99.57
88.78
PREVIOUS MWPL %
STOCKS
CURRENT MWPL %
87.78
88.78
85.74
86.56
86.64
85.16
80.95
83.46
80.70
82.13
62.96
83.25
78.07
82.12
64.97
80.26
PREVIOUS MWPL %
STOCKS
CURRENT MWPL %
85.64
86.68
88.09
87.00
99.50
91.85
85.51
84.68
104.59
91.32
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.