The National Stock Exchange (NSE) has added Gujarat Narmada Valley Fertilizers & Chemicals Ltd to its Futures and Options (F&O) ban list for trading on Friday, March 10.
From the previous trading session, it has retained sugar manufacturer company, Balrampur Chini Mills Ltd, under its ban list in Friday's session.
The two securities mentioned above have crossed 95% of the market-wide position limit (MWPL), making them ineligible for trading in the day's futures and options segment. They will stay on the list until their positions drop to 80%.
No new or fresh F&O positions may be purchased or sold for the stock while the dealer is on the futures and options ban list; otherwise, the trader will be penalised. Traders who already hold positions in that asset may unwind them.
The stock exchanges determine the market-wide position cap.
The list of securities that are prohibited from trading on the major stock market is updated daily.
According to an analysts, Gujarat Narmada Valley Fertilizers & Chemicals stock had no major price movement for last couple of months, and was trading within a range of ₹500 - 600.