An important news has come out for those who do derivative trading in the Indian stock market. Sebi delivered its final statement on the weekly expiry day. Now the weekly expiry of the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) will be different days. The weekly expiry of NSE is now held every Tuesday, the weekly expiry of BSE was decided on Thursday. Sebi made this decision with the aim of reducing excessive speculation and market instability. In fact, in March 2025, Sebi sought suggestions of exchanges on the subject and now this new system has been corrected based on applications received until June 15. What chose NSE? According to sources, the National Stock Exchange (NSE) sent its application to Sebi to June 15 to choose the expiry day Tuesday. Investors will need to change trading strategies. Limited days in the week will be focused on one place. Excessive betting will be limited. The market will be reduced. In general, this step is considered another important initiative of SEBI to make the market transparent and stable. What is F&O Expiration F&O means futures and options- these are trading tools related to the derivatives of the stock market. Now let’s talk about what expiration means. If you buy a futures contract or an option contract (F&O contract), it has a fixed timeframe. The last day of that limit is called ‘expiration day’. For example, if your F&O contract bought June, the expiration usually takes place on the last Thursday of June. By that day, you have to sell the contract, or it will be closed automatically. What happens on the expiry of the day? Traders settle their agreement. Trading volume is very high because many transactions expire on the same day. Stock and index can see quick fluctuations. This day is very important for traders in the option, because here are profits or losses. How many types of expiration occur in F&O? Weekly expiry (each week) This index option (such as Nifty, Bank Nifty). Monthly expiry (each month) it occurs in futures and stock options. What should investors take care of the expiration date (in selected contracts) quarterly expiry (in selected contracts)? The market fluctuations can be very high that day. Avoid heavy trading without much experience. Trade with a strategy, not without research. F&O enlightenment is the day on which the validity of futures and option contracts is eliminated and completed. This day is very important and sensitive to business. Share this story -tags
-
-
-
-
