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Limit Move

What does Limit Move mean?

Limit up or down are the price boundaries within which a futures contract can be traded.A price that has advanced or declined the permissible limit during one trading session, as fixed by the rules of an exchange. This is also called Lock Limit.

Futures Knowledge Explains Limit Move

When limit move takes place in any trading session, the exchange stops further trading. The futures markets however allow the contracts to resume trading if the price moves away from the day's limit and the trading resumes when price comes again within the permissible boundaries of limit up and limit down.

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