Author: Sachin Gupta
PREVIOUS MWPL %
STOCKS
CURRENT MWPL %
86.29
81.84
87.82
80.62
96.65
80.80
105.11
88.08
PREVIOUS MWPL %
STOCKS
CURRENT MWPL %
81.86
80.29
83.51
80.83
82.72
83.72
85.38
87.23
76.16
90.78
85.44
82.82
85.61
86.43
77.97
90.70
79.78
88.97
PREVIOUS MWPL %
STOCKS
CURRENT MWPL %
86.29
81.84
87.82
80.62
96.65
80.80
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.