Price Limits

Posted By Steve On Monday, May 24th, 2010 With 0 Comments

The Exchange imposes a daily price limit of 10% on trading of stocks and mutual fund, while stocks under special treatment (ST shares or *ST shares) are subject to a price limit of 5%.

The price limit is calculated as follows: price limit = previous closing price × (1± price limit percentage) .

The calculation result shall be rounded to the tick size.

In any of the following cases, stocks are subject to no price limit on their first trading day:

(1) listing of IPO shares;
(2) listing of new shares;
(3) listing resumption; or
(4) other cases as recognized by the Exchange or the CSRC.

The Exchange may adjust the daily price limit with the approval of the CSRC.

In the continuous trading for stocks listed on the SME Board, valid price range is restricted within 3% of the last traded price. In case no trade is executed during the opening call auction, the initial valid price range for the continuous auction is adjusted to 3% of the previous closing price.

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