I always had a question. I will explain it with today’s example.
Let’s take an example of RAIN… It has hit the lower circuit.
I can see there are around 120k sell orders but none are buying. How does the market behave the next day? Do they execute all orders or does it get stuck in that position forever. How do they get out of this situation?
Got few queries on daily dynamic price bands for futures. I see that there isn’t circuit limit for stocks that trade in futures. What if there aren’t 10 trades from singular customers in 9.9 to 10% of the ATP, will the stock get locked in futures?
I’m in the same soup. My profits are wiped out and daily it is opening with 5% gap down. Unable to decide whether to wait or try to sell for whatever price I can get now.
Regarding curcuit stock, I had read somewhere that MAYBE it’ll come back to normal the way goacardbon did. Don’t know the probability of that “MAYBE”.
I also have Rain in my PF…i think all the selling cuz of some china graphite issues…don’t know much details about it. And reguarding this situation even i am clueless
All the open orders you see in the market depth will be cleared out at the end of the day. Fresh buy and sell orders have to be placed in the next day’s trading session. You can start placing your orders in pre-market at 9am.
If the selling pressure continues and if the max volume is traded at lower circuit price in pre-market itself, then stock will open at lower circuit. If both buyers and sellers open the stock above lower circuit, then you will be able to sell and exit your holdings.
If the 10 trades from unique client codes don’t happen in that 0.1% range, then the price band will remain at 10%. The price band will release to 15% only when those 10 trades take place.