Guys, all those who want to protest against the BSE circuit filters can email at firstname.lastname@example.org to voice your concern. Please be articulate about your concerns. We should let BSE know that how this kind of weekly/monthly/quarterly/yearly limits would eventually restrict the true price discovery of the stocks in a free and fair manner. Imagine, if we had these restrictions last year then what would have been the fate of waterbase,cupid etc which went up on back of its improving fundamentals and nothing else.
These kind of restrictions would also cheat the minority investors in case of takeovers as the true price discovery would be restricted.
On the face of the it looks as if BSE is trying to mask their real intention of increasing the trading volumes on their exchange by encouraging trading over investment. As a mark of personal protest, i am now executing trades on NSE for the stocks which are listed on both the exchanges. I know this would not make a difference to BSE volumes, but this is my bit of protest – apart from the email ofcourse.
I have already mailed the exchange voicing my strong protest against these price restrictions. I think it is for everyone to see that the stocks which meet those price points stay at those price points with so much artificial demand being made at the price that once the filters open the punters are “literally sure” to make money on upside. Still not sure how this is killing speculation. I never thought that a great exchange like BSE would come with such a primitive and brute-force solution in the name of “surveillance” . I hope BSE lives upto its reputation and revoke this ill-advised notice.
God Bless !!!