A point to ponder

#1
An excerpt from a blog maintained by Mr.Suman Mukherji

"I do not know why BSE removed the lower level circuit limits to stop the markets to go beyond 10%, levels. Is there a tacit understanding between the short sellers and BSE to take the market to the new lows??"
 
#2
An excerpt from a blog maintained by Mr.Suman Mukherji

"I do not know why BSE removed the lower level circuit limits to stop the markets to go beyond 10%, levels. Is there a tacit understanding between the short sellers and BSE to take the market to the new lows??"
It is quite a possiblity - which one cant avoid.
 
#3
Hi

10% low circuit is not on yesterday's closing. It is arrived average of last month/quarter sensex and average of SENSEX will be announced by exchanges for fixing ciruits. This average hold good till the end of the current month.

Praveen
 

rkkarnani

Well-Known Member
#4
An excerpt from a blog maintained by Mr.Suman Mukherji

"I do not know why BSE removed the lower level circuit limits to stop the markets to go beyond 10%, levels. Is there a tacit understanding between the short sellers and BSE to take the market to the new lows??"
The exchange has fixed circuit filters for the Sensex. If the index drops 10% before 1 pm then trading to be halted for one hour. If 10% drop is between 1-2:30 pm then trading to be halted for half an hour. If 10% drop after 2:30 pm then no halt in trading.

If in case index drops by 15% before 1 pm then trading to be halted for 2 hours. If 15% drop between 1-2 pm then trading to be halted for one hour. If 15% drop after 2 pm then trading to be halted for rest of the day.

In the case of 20% drop in the index then trading to be halted for the rest of the day.
 

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