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Upper Circuit, Lower Circuit, FnO, Stock Market, India, NSE, BSE, CNX Nifty, Sensex, Speculative, Trading, Percentage, Stock Exchange, Trigger, Index, Shares, Stock, Exchange
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An upper circuit is the percentage price beyond which a stock price is not allowed to go on that particular day, say for example a stock have upper circuit as 5%, in a given day it can not go beyond that price, after open value the price can go up to only 5% not beyond it.

Lower circuit is same, but at lower end it can not go below it. However there would be no Upper/lower Circuits on Individual stocks which are part of FnO (Futures and Options)

Normaly Circuits and the related percentage would be enforced on the scripts in which there is speculative trading.

Upper circuit is a system to curb excessive speculation in the stock market, applied by the stock exchange authorities, when the index spurts or plunges by more than a fixed limit. Trading is then suspended for some time to let the market cool down. The market wide circuit breakers would be triggered by movement of either Sensex or the NSE S&P CNX Nifty whichever is breached earlier.

In case of a 10% movement of either of these indices, there would be a 1-hour market halt if the movement takes place before 1 p.m. In case the movement takes place at or after 1 p.m. but before 2.30 p.m. there will be a trading halt for 1½ hour. In case the movement takes place at or after 2.30 p.m. there will be no trading halt at the 10% level and the market will continue trading.

In case of a 15% movement of either index, there will be a 2-hour market halt if the movement takes place before 1 p.m. If the 15% trigger is reached on or after 1 p.m. but before 2 p.m., there will be a 1 hour halt. If the 15% trigger is reached on or after 2 p.m. the trading will halt for the remainder of the day. In case of a 20% movement of the index, the trading will be halted for the remainder of the day.

Additional Info:

Upper Circuit: means that there are only Buyers and NO Sellers in a particular Script/Stock

Lower Circuit:means that there are only Sellers and NO Buyers in a particular Script/Stock