Definition
The minimum price a stock can fall to in a single trading session.
Understanding Lower Circuit
Lower Circuit is an important concept in stock market trading. Understanding this term will help you make better trading decisions and communicate effectively with other traders and financial professionals.
Key Points
- Basic Definition: The minimum price a stock can fall to in a single trading session.
- Category: This term is commonly used in Market Terms
- Relevance: Essential knowledge for traders operating in Indian stock markets
Practical Example
When trading on NSE or BSE, you'll encounter lower circuit regularly. For example, understanding this concept helps you analyze market conditions, make informed decisions, and manage your trading positions effectively.
Related Concepts
To fully understand lower circuit, you should also be familiar with related trading concepts. Check out the related terms in the sidebar for a comprehensive understanding of this topic.