F&O Ban: Biocon, IB Housing Finance under ban for trade on Wednesday

Two stocks - Biocon and Indiabulls Housing Finance - are under the F&O ban for trade on Wednesday, 22 March 2023, according to data available on NSE. While Indiabulls has been under the ban since the previous week, Biocon entered the ban on Monday.

The Future & Options contracts of any stock enter the ban period when the open interest (OI) on it crosses 95% of the market-wide positions limits or MWPL. The ban on it is reversed only if the open interest falls below 80%.

Traders who trade in indices do not encounter a situation of security ban.

According to data available on Trendlyne, the MWPL of Biocon stood at 90% as on 21 March with the open interest at 38.4 million. The OI day change was at negative 6.8%.

The MWPL of Indiabulls Housing stood at 90.6% on Tuesday with OI reported by Trendlyne at 45.5 million. It was down 0.6% from the previous session.

Meanwhile, in the cash market, the stocks will be available for purchase.

On Tuesday, the Biocon shares ended at Rs 201.10 on the NSE, down Rs 0.65 or 0.32%, tracking weakness in the pharma stocks despite frontline indices S&P BSE Sensex and Nifty50 ending in the green. Both benchmark indices ended higher on positive global sentiments.

As for Indiabulls Housing Finance, the stock ended at Rs 99, down Rs 2.60 or 2.56%.

"The Nifty witnessed a steady day of trade on Tuesday. It opened on a positive note and consolidated during the first half of the trading session. Buying interest emerged during the second half of the session which helped the Nifty to close around the highs for the day," Jatin Gedia, Technical Research Analyst at Sharekhan by BNP Paribas said.

"We expect the positive momentum to continue over the next few trading sessions. On the hourly charts we can observe positive divergence along with a positive crossover on the momentum indicator which indicates loss of momentum on the downside and shall provide speed to the current pullback," Gedia said.

"On the upside we expect the Nifty to target the zone of 17,150 -17,200 which coincides with the previous swing high and the 38.2% fibonacci retracement level of the fall from 17,800 – 16,828. The immediate support stands at the lower end of the downward sloping channel 16,800 – 16,850" the Sharekhan analyst said.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)