Some social media and youtube videos are saying market crash (21-12-2020) was partly due to NSE issue wherein they seem to have cancelled many pending orders. Is it true? Any thought ? Was there any issue of orders getting cancelled by NSE here ?
(Not promoting any video. it is just for getting the context).
Siva there was a massive fall of 300 points in mere 1 minutes triggering so many market orders at aor around 2:32 pm… It seemed like a flash crash. Any updates on that what might have caused that in the market? or it has been deemed as a simple market event
Yeah in 5 mins time frame fall happened but I don’t know the exact reason, I am just assuming it as market event and maybe some kind of trigger trade with heavy volumes. Also one should be aware that all global markets reacted that day.
At least brokers like Zerodha release a bulletin if there is a technical issue. Here, in India, SEBI is God (sleeping in Yoga Nidra), NSE is Godlet. No one can question them.
Whether it is 3m or 5m it does not matter, it can wipe out many small retailers. If there is any issue like that, client must be informed… so that he/she can take appropriate action like placing the order again.
NSE’s trust worthiness was broken with the co-location scam. They got away with few crores of fine (?) and sacking of few officials.
These kind of issues will only help to question NSE’s capability to handle such massive traffic of orders. The kind of growth the financial markets is going through, NSE has to upgrade the Infrastructure every few months or so.
Unfortunately, transparency is the last thing you can expect from SEBI, NSE and the brokers in general.