The price of China stock market excluding specially treated A shares is limited to 65,438+00%, and the upper limit of the day is 65,438+00%. Buying continues until the close, and the stock is called the daily limit.
The price limit system originated from the early foreign securities market. It is a trading system in the securities market to prevent the trading price from soaring and plunging, curb excessive speculation and appropriately limit the price rise and fall of each stock on the same day.
Some exchanges will set daily quotas for securities, commodities and contracts. For example, a single stock can only rise or fall by 10% compared with the closing price in a single trading day. When the price rises to the upper limit of the day, it is called daily limit, and when the price falls to price floor, it is called daily limit.
Some exchanges will stop trading at the daily limit or daily limit until the market price breaks away from the price limit; Some exchanges will resume trading within an expanded price range after a short suspension.
Extended data:
The current price limit system of China's securities market was promulgated on February 2003 1996 13, and implemented on February 26, 2006, aiming at protecting investors' interests, maintaining market stability and further promoting market norms.
According to the regulations, except for the first day of listing, the trading price of stocks (including A and B shares) and fund securities in a trading day shall not exceed 10% compared with the closing price of the previous trading day (stocks starting with S, st and s*st shall not exceed 5%), and the entrustment exceeding the price limit shall be invalid.
The main difference between China's price limit system and foreign systems is that after the stock price reaches the price limit, it does not completely stop trading, and the trading within the price limit or the price limit can continue until the close of the day.
Baidu encyclopedia-daily limit board