Comment on Why the new SEBI circular on margins in cash segment won't affect you

Roy commented on 06 Jan 2020, 02:34 PM

“But after baning leverage there will be no more unhealthy fluctuation by big traders & sl hits becomes more lesser time & can make handsome money . ”

SEBI rigged the market,in favour for big players…
Extreme Volatility(price moving from mean in any one direction rapidly) does not happen due to large numbers of traders(or in other words enough liquidity for each price level) ,rather less number of traders ,its illiquidity in price levels and monopoly by big hands.
So be assured SL will hit more…now

You cant just apply rules and regulations of developed market in an emerging market like India.
The living standard of US is different than India ,people make more in US in terms of value ,but in case of India we don’t .This business or most businesses works around credit based system,

I personally believe in India brokers provides too much of leverage and that should be reduced ,but not like this with some foolish regulation.This will only hit the retail traders sentiment which will be very negative . retail traders and people investing in mutual funds will also be effected ,now big hands will have monopoly over the market over long term.We already saw in 2019 how markets performed narrow.

Simply to put there will be not much edge compared to other markets in trading in India less money to borrow and STT ,GST and our friendly year end tax ,and cherry on the top less liquidity.

Lets see how things pan out.

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