Circuit Breakers For Beginners: A Simple Guide To Indian Stock Market Halts (2025)
Circuit breakers are systems that stop trading in the stock market for a short while if prices go beyond predetermined levels. This is to avoid panic selling or irrational buying and provides investors with time to evaluate the situationIn addition to market – wide rules, individual stocks also have circuit limits like:
2%
5%
10%
20%
Highly liquid and derivative-backed stocks may not have these limits.