SEBI tweaks dynamic price bands for scrips in derivatives segment.

Economy Business

At present, the conditions precedent for flexing is minimum of 25 trades to be executed with minimum five different UCCs on each side of the trade at or above 9.90 per cent and so on. This has been revised to a minimum of 50 trades, 10 unique UCCs and 3 trading members on each side to take care of issues related to sudden price movement, fat finger error, etc. For the first two instances of flexing, the price band would be flexed by 5 per cent of yesterday’s closing price after the cooling off period. This cooling off period would be 15 minutes if conditions for flexing are satisfied before last half an hour of trading and 5 minutes if conditions for flexing are satisfied in the last half an hour of trading.


     

     

     

 

     


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