MARKET MECHANICS • GUIDE

Upper Circuit and Lower Circuit Explained

Understand price bands, trading limits and why execution can become difficult.

Price bands can restrict how far a security's traded price moves within a session.

Meaning

Hitting a price band describes trading conditions; it does not by itself establish company value.

Liquidity

A stock at a limit may have unmatched orders, making buying or selling difficult.

Check

Applicable bands vary by security and can change. Use the latest exchange information.

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