By MCX shares dropped 9.9% to 1914.60 in early trading today following the market regulator SEBI imposed a temporary suspension regarding the expected launch of its brand new technology platform.
The shares of Multi Commodity Exchange of India (MCX), the largest country-wide commodity derivatives exchange, fell 9 percent to 1914.60 in early trading today following the market regulator SEBI imposed a temporary suspension on the scheduled launch of its brand new technology platform. The share price of MCX reached a record maximum of 2119.60 in the early hours of Thursday. The stock actually rose by 16% in the last five trading sessions, ahead of the scheduled launch on October 3.
The market cap of MCX decreased to Rs 9916.38 crore. The stock’s beta is 0.7, which indicates low volatility over a year.
The share has gained 33% in the past year and has risen 64% over a year. In total, 1.39 million shares traded hands, resulting in a record turnover of 27.02 crore.
Technically speaking, the index of relative strength (RSI) that is a part of MCX is 80.7, meaning it’s trading in the territory of overbought. MCX is trading higher than five days 10, 10 days, 20 days, 30, 50 days, 100 days, 150 days and 200 days moving averages.
MCX, in a filing to exchanges in a filing for exchanges, said, “The Regulator has notified the exchange that because the issue involves technical issues, it will be discussed at an SEBI Technical Advisory Committee meeting that is scheduled to take place in the near future. As of now, SEBI has advised the exchange to keep the CDP Go-Live in the background.”
“As it is clear that the Exchange is in good shape and eager to launch in the shortest time possible, it continues to run mock CDP tests in the absence of any further guidance on the issue by SEBI,” it added.
In accordance with the date of launch on October 3, the platform was scheduled to launch three months prior to the deadline of December. The MCX contract with 63 Moons Technologies Ltd, the tech firm that was responsible for its trading operations, came to an end in September 2022.
Commenting on the outlook of this stock, Abhijeet of Tips2trades commented, “MCX India stock was highly overbought but was bullish with a strong resistance at the level of Rs 2015. Investors need to be taking profits now as the daily closing below support of Rs 1895 may result in a price of an increase of Rs 1710 in the near future.”
