The National Stock Exchange (NSE) on April 25, 2023, issued a notification regarding Pre-Trade risk controls Validation for Stop Loss Limit Order Entry.
Exchange has a robust risk management framework and continuously reviews and implements various pre-trade risk control measures for ensuring orderly trading, effective risk management and price discovery. In the current state of market maturity / development and to create a conducive environment for all market participants, review and enhancements are required to optimize and strengthen the pre-trade risk control measures for preventing aberrant orders.
The Exchange may review the aforesaid mechanism and various applicable parameters from time to time based on the experience gained and inputs received from market participants / regulator.
Members are requested to note that the abovementioned changes shall made effective in Live from May 08, 2023 and shall be available for testing in mock being conducted on May 06, 2023.
Members should trade responsibly and cautiously, as trading away from normal prices and misleading or causing any disruptions in normal trading may result in inquiry, investigation, and regulatory actions.
[Notification No. NSE/CD/56478]
