 "In the short run, leading up to the March settlement, prices could rise to some extent, as there will be short-covering at several high-volume counters.")
The Securities and Exchange Board of India (Sebi) has decided to crackdown on excessive volatility by imposing several different measures, which will impact traders as well as institutional investors. In particular, speculators in stock futures will have to cut down exposures as the market wide position limit (MWPL) has been reduced to 50 per cent in phases, from the existing 95 percent, for specific F&O stocks.
Margins have also been hiked in the cash segment for both F&O and non F&O stocks, while institutions will have to restrict their F&O positions in the index derivatives segment to stay within a new
