The F&O ban list and MWPL explained

Stocks in the futures and options segment have a limit on how much open interest the whole market can build in them. This limit is called the market-wide position limit, or MWPL. When a stock gets close to it, NSE puts the stock in the F&O ban.

What MWPL is

MWPL is the maximum open interest, across all participants, that the exchange allows in a single stock's derivatives. It is set according to the stock's available shares, so it differs from one stock to another. NSE publishes each stock's MWPL and the current open interest as a percentage of it.

When a stock goes into ban

When the combined open interest in a stock's futures and options crosses 95% of its MWPL, NSE places the stock in the F&O ban for the next trading day. NSE publishes the ban list every day.

What the ban means in practice

• You cannot create new positions in that stock's futures or options, and you cannot increase an existing position.
• You can reduce or close positions you already hold.
• Taking a fresh position in a banned stock can lead to penalties from the exchange and your broker.

When the ban ends

A stock remains in ban until its combined open interest falls to 80% of MWPL or lower. Only then do new positions become allowed again. It is not removed just because the price moves or the day ends.

Why traders watch the 85% to 95% band

Many traders keep an eye on stocks whose open interest is approaching the limit, because a new entry into the ban list can change how the stock trades. Note that the 85% level used on Tradingraph is a watch level chosen by this site. It is not an NSE rule.

What the percentage in the tool means

Tradingraph takes the future-equivalent open interest from NSE's combined open-interest report and divides it by the MWPL. NSE's own calculation of the ban figure is the one that counts, so always confirm on the exchange's published list.

Limits of this data

• It is end-of-day data. A stock can cross the limit during the day and the ban list reflects NSE's own timing.
• The percentage moves daily, so a stock at 93% may be in ban tomorrow, or not.

This page is for information and education only and is not trading advice.