There have been operators manipulating stock prices by moving illiquid scrips it into market wide position limit. This is I think a very good move from the exchange. Margin going up will deter people who typically create new positions just to hit the MWPL.
Operationally it will be tricky for both the trader and the brokerage firm, if intraday exposure margin goes up 3 times. Also ability to be able to track MWPL live. We should have clarity on this soon. We will keep everyone posted.
Will zerodha increase leverage accordingly ? that is very Imp…small FnO players who trade in 1Lac capital will be not in position to trade. SEBI is just making life of retail traders difficult . AS YOU SAID operators do manipulation of stocks so this step is taken… but you see here retail players will suffer. Just like rich people find innovative ways to hide cash in demonetization and small people have to stand in line for days . This is same going to happen . Operations do not have constraint of money but retail traders do have.
Operators will find way. Retail traders will suffer.
Zerodha have to increase Leverage accordingly and proportionately for the stock who has not reached MVPL of 80% .Or people will have no choice but to borrow of open account to some shady Dabba trading or other broker who give max leverage.
NITHIN Sir Plz REPLY