CIRCUIT BREAKER

What is 'Circuit Breaker' ?

Circuit Breaker is the maximum permissible deviation of the price (specified as percentage) of the incoming order from the Circuit Breaker Base Price for that instrument. Orders violating circuit breaker will result rejection of the order.

Percentage of circuit breaker by its yesterday closing price:

a. Below 200          10%
b. 201 -  500           8.25%
c. 501 -  1000         7.5%
d. 1001 - 2000        6.25%
e. 2001 - 5000        5%
f. 5001 and above  3.75% but not more than 300 bdt.

How to Calculate?

Say, yesterday closing price of company ABC is 235. It falls between 201 and 500 tk that follows a breaker of  8.25%.

now, 8.25% of 235 is 19.38 tk.

If the base price is 235, breaker price will be +- 19.38 tk. This means the price of company ABC can go up to 235+19.38=257.35 or can go down to 235-19.38=215.65 tk.