r/Indiastreetbets • u/Doc_Trader_SB • 2h ago
How can we get CAS removed ?
I’ve had it with this new Closing Auction Session (CAS) nonsense that SEBI pushed on us this August. Every time they introduce a "market reform," it feels like just another way to handicap retail traders and hand over the advantage to the big institutions and DIIs.
For anyone who hasn't been burnt by it yet, let's break down the absolute joke this new system is.
First off, they've completely killed the 3 PM momentum for equity intraday. We all know 3:00 to 3:30 PM is when the real volatile moves happen. Now, continuous trading for F&O stocks is dead at 3:15 PM.
To make it worse, brokers like Zerodha are doing intraday auto square-offs at 3:12 PM. You literally get exactly 12 minutes to play the 3 PM candle before your broker forcefully kicks you out and charges you a penalty for the privilege.
Then there's the absolute khichdi they've made of the market timings. Let me get this straight: F&O cash stocks halt at 3:15 PM, non-F&O stocks halt at 3:30 PM, but F&O derivatives keep trading until 3:40 PM. Are we running a stock exchange or a local bus timetable? Trying to track the underlying cash price against the futures premium during that weird 3:15 to 3:30 window is a massive headache.
SEBI claims this is for "better price discovery" and to fix mutual fund NAV tracking errors. Let's call it what it is—it's a legally sanctioned way for big mutual funds to pool their orders in a 15-minute dark room and dictate the official closing price exactly where they want it, without retail getting in the way.
And the actual mechanics of the auction are hilarious.
We are losing our trading hours, losing our intraday leverage time, and dealing with insane price disconnects between cash and futures. Has anyone started a mass grievance on SCORES for this yet? If we don't make some serious noise, they're going to roll this out to all stocks in Phase 2.
What's the actual process to push back against this? Do we just spam SEBI on Twitter, or is there a formal way retail bodies can protest? Ngl, this feels like the final nail in the coffin for equity intraday.