Under the futures and options (F&O) segment, seven stocks were banned from trade on Tuesday, July 11, by the National Stock Exchange (NSE). 

The securities banned for F&O trade are Punjab National Bank (PNB), Delta Corp, Bharat Heavy Electricals Ltd (BHEL), Indiabulls Housing Finance, India Cements, Zee Entertainment Enterprises Ltd and Granules India. 

Derivative contracts of these stocks were banned as they have crossed 95% of the market-wide position limit (MWPL) set by the exchanges. The MWPL is the maximum number of contracts that can be opened at any particular time. 

The MWPL of BHEL stood at 86.2% on Monday, while that of Granules India was 86.9%. F&O Contracts of Delta Corp saw their MWPL at 102.2%; for India Cements, the same stood at 87.4%. PNB, Indiabulls Housing and Zee Ltd were the latest to enter the ban, as the MWPL of their F&O touched 105%, 100.7% and 96.6%, respectively, on Monday.

The ban will be lifted once the position falls below 80%. Traders will get penalised for buying or selling these securities. They will be available for trading in the cash market.

The National Stock Exchange updates the list of securities on the F&O ban list daily. This list serves as a guide for traders and investors in the market. Traders who trade in indices do not encounter a situation of security ban.