Cannot buy below 'Low Price' on MCX/NCDEX when covering a short

[Klewtar]

Hello,

I shorted cardamon today on the MCX.

When I wanted to cover my short, there was no buying bid and the sellers were at 1044.7

I entered a buy ordered at 1043.7 and I received a message saying something about the buying price cannot be below the 'Low Price'.

I entered a buy order at 1044.7 and the transaction to cover my short was successful.

I've only seen buying and selling bids reach 0 on agricultural commodities (Maize, Wheat, Cardamon, etc...)

Is the Low Price set by the exchanges MCX/NCDEX? Where can I find more information on the topic behind the Low Price?

 

[anuragmunjal]

4% max. price movement is allowed in the day in agri comm.

regards