In this case it seems that neither bulk nor block deal volume is incorporated in Total Traded Volume.
Doubt 1 : Is volume from Bulk Deal is incorporated in Total Traded Volume??
Doubt 2 : Is volume from Bulk Deal is incorporated in Total Traded Volume??
Doubt 3 : Suppose “X” via a Bulk deal bought shares @ Rs.100 and Sold the shares @ Rs. 101, in this case wether buying happened first or selling?? How to know about it??
Doubt 4 : How is the Price in Bulk/Block Deal factored in Closing Price/Spot Price??
According to a FAQ on BSE website about Block deals -
21. Whether block deal is used in the calculation market picture data?
A. Block deal is considered for displaying day high, day low, total traded quantity, value and number of trades. However, block deal transactions executed in scrip are not considered for updating of LTP, opening price & closing price.
This clears the doubt about Block deals data not being used for arriving at a Closing/Spot Price but there is also a mention about block deals data being considered for displaying total traded quantity. Maybe someone more knowledgeable than me can clear this doubt. @Bhuvan@siva-reddy could you help?
In case you were asking how the price for a Block deal is arrived at with respect to stock’s closing/spot price, then this SEBI document sheds light on that -
Block deal will be subject to the following conditions :
i. Morning Block Deal Window: This window shall operate between 08:45 AM to 09:00 AM. The reference price for execution of block deals in this window shall be the previous day closing price of the stock. The stock exchanges shall set their trading hours between 08:45AM to 5:00 PM with a stipulation that between 08:45AM and 09:00AM, the stock exchanges shall operate only for executing trades in the block deal window.
ii. Afternoon Block Deal Window: This window shall operate between 02:05 PM to 2:20 PM. The reference price for block deals in this window shall be the volume weighted average market price (VWAP) of the trades executed in the stock in the cash segment between 01:45 PM to 02:00 PM. Between the period 02:00 pm to 02:05 pm, the stock exchanges shall calculate and disseminate necessary information regarding the VWAP applicable for the execution of block deals in the Afternoon block deal window.
iii. The orders placed shall be within ±1% of the applicable reference price in the respective windows as stated above.
In the reply it’s mentioned that block deal is incorporated in total traded quantity as mentioned in faq @bse. But that didn’t, happened in this case as block deal alone volume is 400k yet total traded volume is around 376 k
Bulk deals is a trade when a single investor/ trader buy or sell more than 0.5% of a company’s equity shares… And it is also done via the normal trading window provided by the broker… Through single or multiple transactions…
So its volume must be incorporated in the days total tradition volume… And it has implications in the share price as there is no set price between buyers and sellers as in case of block deals…
(my opinion) …
Block deals is a trade that involves a transaction of minimum quantity of 5 lakh shares or minimum values of rs 5 crores… And it is done via a special window which is open only for 35 min… And this deal happened between two agreed parties at a particular price…
So in my opinion volume must be incorporated in the trading volume… But price may not move as it done at a fixed price between two parties…
