BSE, NSE start 15 minutes pre-open trade session

Mumbai, Oct 18: Now investors can bid for shares before markets begin as India's two premier bourses, BSE and NSE launched a special pre-open trading session on Monday, Oct 18.

Expecting reduction of volatility at the opening markets, the new mechanism called "pre-open session call auction" would be opened for 15 minutes before the markets start, which is 9 am to 9.15 am.

During the time, investors can place orders for eight minutes on the basis of which the exchanges would determine the rates at which trading would happen.

The pre-trading session would have a special significance during the times such as merger and acquisition announcements, open offers, delisting, debt-restructurings, credit-rating downgrades or any rumours regarding any of such events.

During the pre-auction time, participants can indicate their willingness to buy or sell units of a security by placing an order for a number of units at the prevailing price before the opening of trade.

OneIndia News