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Glossary · PSX term

Circuit breaker.

A circuit breaker is the maximum percentage a single stock's price can move up or down in one PSX session.

Definition

On the PSX, a stock's price generally cannot move more than 7.5% or Rs. 1 from the previous close, whichever is higher, in a day. When it reaches the limit it hits an upper or lower lock, where trading can only occur within the allowed range.

Worked example

If a stock closed at Rs. 100, its circuit breaker typically caps it between about Rs. 92.50 and Rs. 107.50 that day.

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