By Malvika Gurung
Investing.com -- Six stocks have been placed under the Futures and Options (F&O) ban list for trade by the NSE on January 20, 2022.
They include Escorts (NS: ESCO ), Granules India (NS: GRAN ), Indiabulls (NS: INBF ) Housing Finance, Vodafone Idea (NS: VODA ), Steel Authority (NS: SAIL ) of India, and the most recently added state-owned engineering and manufacturing enterprise, Bharat Heavy Electricals Ltd. (NS: BHEL ).
The six securities are banned for trade under the futures and options segment on Tuesday because they have exceeded 95% of the market-wide position limit and shall continue remaining in the ban list until their position falls below 80%.
While on the Futures and Options ban list, no new/fresh F&O positions can be bought or sold for the stock(s), else that trader gets penalised. Traders with existing positions in that security can unwind their positions.
Moreover, the market-wide position limit is set by the stock exchanges.
The NSE directs all clients/members to trade in the derivative contracts of the aforementioned securities only to decrease their positions through offsetting positions.
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