What are market-wide circuit breakers?

What are market-wide circuit breakers?

Market-wide circuit breakers are mechanisms designed to temporarily halt trading in financial markets in response to sudden and extreme movements, be it rapid increases or decreases in prices. These circuit breakers are triggered based on movements in either the BSE Sensex or the Nifty 50, whichever occurs first.

The system of index-based market-wide circuit breakers operates at three levels of index movement, established at 10%, 15%, and 20% in either direction. For additional information, you can visit the official NSE website


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