Cryptocurrency Q&A Do you buy or sell at the lower circuit?

Do you buy or sell at the lower circuit?

Andrea Andrea Mon Nov 04 2024 | 6 answers 1252
I'm considering a trading decision and wondering whether it's more advisable to buy or sell when a stock hits the lower circuit. What are the general strategies or considerations in such a scenario? Do you buy or sell at the lower circuit?

6 answers

Ilaria Ilaria Wed Nov 06 2024
If the stock's price drops by 20% during a trading session, trading in that stock halts for the day.

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Daniela Daniela Wed Nov 06 2024
The lower circuit mechanism is designed to curb excessive losses in the stock market.

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SoulStorm SoulStorm Wed Nov 06 2024
This mechanism sets a limit on how much a stock's price can fall on a specific day.

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Chloe_emma_researcher Chloe_emma_researcher Wed Nov 06 2024
Once the stock's price reaches this lower circuit limit, no further selling is allowed.

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Alessandra Alessandra Wed Nov 06 2024
For instance, if the lower circuit for a stock is set at 20%, it implies a maximum decline threshold.

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