AgenciesRelated
NEW DELHI: In an unprecedented step, BSE and NSE said on Wednesday that trading will continue till 5 pm, as the latter faced a technical glitch that halted trading, and positions could not be settled by the usual closing time.
Trading will also resume on NSE, the exchange said in a statement. The bourse said it would hold a pre-open session at 3:30 pm, and normal trading would begin from 3:45 pm.
“NSE & BSE to reopen for extended trading from 3:45 pm to 5 pm. All F&O MIS positions will get squared off at 4:15 pm and all F&O CO positions will forcibly be squared off by 4 pm,” said Nithin Kamath, CEO, Zerodha.
NSE said trading would resume for all segments: F&O, cash, SLB, commodity and currency.
The unusual market timing has also created some problems for brokers, whose systems are designed to not work beyond market hours. For example, Zerodha users said they were not able to use charts.
Explaining the predicament for traders who were stuck due to NSE being shut down, Anand James, Chief Market Strategist at Geojit Financial Services, said expiry eve is a crucial day for expiry related trades as time decay sets in.
“As indices froze a little after 10 am, FNO trades that reference such benchmark indices also slowed down. With hardly an hour’s trade possible for such index-based traders the higher margins on F&O positions may have been a double whammy. Towards this end, BSE being open may not have been much solace, but certainly a backup avenue for cash traders,” he said.
"The biggest question in this whole issue is why was the entire market shut just because index feeds were not refreshing? Feeds for underlying contracts were fine and so was order matching, so why shut down the entire market? A similar issue in index feeds had recently happened a few months ago, but trading was not completely halted. Instead, trading went on with the glitch in index prices that day," said Jimeet Modi, CEO and Founder, Samco Ventures.
Earlier in the day, NSE was forced to halt trading as it encountered technical problems, for which it blamed its telecom services providers. Brokers asked their clients to execute their trades on BSE, which was functioning as usual.
However, during the last half an hour of the usual trading time, traders said there were some unusual moves on BSE.
“Lot of crazy moves on the BSE. Seems brokers are cutting intraday positions on BSE,” Nooresh Merani, a technical analyst tweeted.
Trading will also resume on NSE, the exchange said in a statement. The bourse said it would hold a pre-open session at 3:30 pm, and normal trading would begin from 3:45 pm.
“NSE & BSE to reopen for extended trading from 3:45 pm to 5 pm. All F&O MIS positions will get squared off at 4:15 pm and all F&O CO positions will forcibly be squared off by 4 pm,” said Nithin Kamath, CEO, Zerodha.
NSE said trading would resume for all segments: F&O, cash, SLB, commodity and currency.
The unusual market timing has also created some problems for brokers, whose systems are designed to not work beyond market hours. For example, Zerodha users said they were not able to use charts.
Explaining the predicament for traders who were stuck due to NSE being shut down, Anand James, Chief Market Strategist at Geojit Financial Services, said expiry eve is a crucial day for expiry related trades as time decay sets in.
“As indices froze a little after 10 am, FNO trades that reference such benchmark indices also slowed down. With hardly an hour’s trade possible for such index-based traders the higher margins on F&O positions may have been a double whammy. Towards this end, BSE being open may not have been much solace, but certainly a backup avenue for cash traders,” he said.
"The biggest question in this whole issue is why was the entire market shut just because index feeds were not refreshing? Feeds for underlying contracts were fine and so was order matching, so why shut down the entire market? A similar issue in index feeds had recently happened a few months ago, but trading was not completely halted. Instead, trading went on with the glitch in index prices that day," said Jimeet Modi, CEO and Founder, Samco Ventures.
Earlier in the day, NSE was forced to halt trading as it encountered technical problems, for which it blamed its telecom services providers. Brokers asked their clients to execute their trades on BSE, which was functioning as usual.
However, during the last half an hour of the usual trading time, traders said there were some unusual moves on BSE.
“Lot of crazy moves on the BSE. Seems brokers are cutting intraday positions on BSE,” Nooresh Merani, a technical analyst tweeted.
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1 Comment on this Story
 | Suresh Kamath25 minutes ago Good adjustment this for the LOSS of trading time at NSE and great decision by the AUTHORITY and hope this extension of time would be advantageous for the Investors and TRADERS |
