9 hrs ago
NSE Revises Equity Pre-Open Session Rules From September 7
The NSE is changing how trading works just before the stock market opens.
The new rules begin on September 7.
From 9:00 AM to 9:05 AM, people can place, change, or cancel both limit and market orders.
From 9:05 AM to 9:10 AM, only limit orders will be allowed.
Market orders placed during the second phase will be rejected.
The exchange may close this order period at a random time during its final two minutes.
Orders will then be matched and the opening price set between 9:10 AM and 9:12 AM.
A short buffer period will follow before normal trading begins at 9:15 AM.
NSE will split its pre-open order-entry period into two phases from September 7.
Phase 1, from 9:00 AM to 9:05 AM, will allow limit and market orders.
Phase 2, from 9:05 AM to 9:10 AM, will permit only limit orders.
Order matching and trade confirmation will take place from 9:10 AM to 9:12 AM.
The changes aim to align pre-open operations with Sebi’s Closing Auction Session framework.
- Who
- The National Stock Exchange of India is revising its pre-open session rules.
- What
- The exchange is dividing order entry into two phases and restricting market orders during the second phase.
- Where
- The changes apply to the NSE equity-market pre-open session.
- When
- The revised rules take effect on September 7; the pre-open session runs from 9:00 AM to 9:15 AM.
- Why
- The changes are intended to align the opening-price process with Sebi’s Closing Auction Session and improve coordination between cash and derivatives markets.
Key facts
- Effective date
- September 7
- Phase 1
- 9:00 AM to 9:05 AM; limit and market orders may be placed, modified, or cancelled.
- Phase 2
- 9:05 AM to 9:10 AM; only limit orders are permitted.
- Order matching
- 9:10 AM to 9:12 AM, compared with the current 9:08 AM to 9:12 AM period.
- Buffer period
- 9:12 AM to 9:15 AM.
- Covered securities
- Equity-market securities including SME securities, partly paid-up securities, InvITs, and REITs.
- Policy context
- The revision follows Sebi’s introduction of the Closing Auction Session in the equity cash market on August 4.
Sources
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