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UPPER CIRCUIT VALUE
The lure
of making money has attracted the small investors in investing their funds in
the Indian stock market. The small investors are watching the index of any share
or the movement of any share. Many times it moves in a particular direction more
than the specified percentage, and then it is known as circuit breaker. The
downward trend of the share is known as lower circuit and the upward trend is
known as upper circuit.
The Indian stock market is having an upper
circuit movement so an increasing number of people are investing in the Indian
stock market. The small time investors are investing in the market, but are
easily affected by the loss, if any they suffered from the shares. The big
investors are not bothered by small losses, they watch the shares and when the
shares or stocks fall to certain level, the position is closed. They expect
small amount of losses and do not take stress about it. In the same way when the
shares price moves up, then these traders evaluate the movement of the share
price and close the share while still high. They plan the trading and work in a
planned manner, so they get success in the trading market.
The small investor should only invest that much
amount, which even if lost won’t bother him. If he/she can sustain that amount
of loss, then he/she should not invest. If the loss real effects you, then it is
no use investing. Unless and until you are detached you cannot invest wisely
Circuit breakers are also known as Price bands.
In casual terms you can call it the band within which the stock can move freely.
If the price of the share or stock goes beyond the price band, it is known as
breaking the circuit. The lower circuit breaks the lower price level and the
upper circuit levels the peer price band.
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