IRITA

🇮🇳 IRITA — Indian Retail Investors & Traders Association

The collective voice of India’s retail investors & traders. 📈

[IRITA @IRITA_india]

Share this handle with all your investors and trader friends and ask everyone to join and lets unite and have a collective voice...

[IRITA @IRITA_india]

CAS shakes up prop trading: Volumes fall 50%, desks rethink strategies

https://t.co/2PNqhgVjbO

[IRITA @IRITA_india]

https://t.co/jVOxy5asd9
📢 Mark your calendars!

Join us for an important X Space at 4:30 PM. 🎙️

Let’s come together, share our voices, and discuss what matters to traders & investors.

See you there!

[IRITA @IRITA_india]

IRITA supports the 12th August No-Trading Day.

A united voice for traders and investors.
Let’s stand together for a fair, transparent and well-functioning market.

#IRITA #NoTradingDay #Traders #Investors #IndianMarkets #MarketReforms

[IRITA @IRITA_india]

#CAS

[Stockmock.in (Backtesting, Simulator & Builder) @stockmock_in]

CAS & Options — The Problem

🔴 What is happening?

CAS is creating a new problem for option traders.

Right now, options are starting to price CAS risk higher than overnight risk.

Think about that.

A 20-minute auction is becoming a bigger risk for an option seller than holding the position overnight.

That doesn’t feel normal.

⚠️ Why is CAS more complicated in India?

We cannot simply say that CAS works in other countries, so it should work the same way in India.

Our market is different.

1. Cash market vs F&O market

Our derivatives market is huge compared to the depth available in individual stocks in the cash market.

But ultimately, prices discovered in the cash market can impact settlement of a much larger derivatives market.

This creates an imbalance.

A relatively small amount of activity during CAS can potentially have a much bigger impact on F&O positions.

2. Short sellers are missing

In India, you cannot normally carry a short position in stocks overnight.

So an important group of sellers is effectively missing from the auction.

If buyers and sellers don't have the same freedom to participate, we should at least ask:

Is CAS really giving us the fairest possible closing price?

🔴 The bigger question — Why 3%?

This is the part I find difficult to understand.

Why has the CAS price band been kept at 3%?

Why 3% and not 1%?

Or 0.5%?

What data supports 3%?

Do these stocks normally move anywhere close to 3% in the last 20 minutes?

If the answer is no, then option traders are being forced to price a risk which normally doesn't even exist.

And that is exactly what we are seeing in option premiums.

As 3:15 approaches, sellers have to protect themselves against what could happen during CAS.

Naturally, premiums stay high and liquidity can reduce.

💡 Possible Solutions

I don't think CAS needs to be removed.

The problem can possibly be solved with much smaller changes.

Solution 1: Expire 0DTE options at 3:15 PM

Take the reference price at 3:15 PM and use that for settlement of expiring options.

After that, CAS can continue normally for the cash market.

This keeps CAS and 0DTE settlement separate.

OR

Solution 2: Reduce the CAS band from 3% to around 0.3%

If historical movement during these 20 minutes is small, why allow a 3% band?

A 0.3% band would make the maximum possible CAS movement much more predictable.

For option sellers, this makes a huge difference.

Once they know that CAS cannot suddenly create a very large settlement move, they will be more comfortable providing liquidity even after 3:15 PM.

And if sellers stay in the market, option premiums should also start becoming normal.

The Point

CAS itself may not be the problem.

The way CAS interacts with our derivatives market is the problem.

If a 20-minute auction carries more risk premium than holding a position overnight, we should seriously look at the design again.

CAS can stay.

But it should be designed around how the Indian market actually works.

The goal should always be simple:

Fair price discovery, without creating unnecessary risk for the derivatives market.

#CAS #Options #IndianMarkets #SEBI #Derivatives

@IRITA_india

[IRITA @IRITA_india]

#CAS

[Ronak Unadkat @Ronak_Unadkat]

CAS was introduced to prevent market manipulation.

Now, after just 2 sessions, SEBI is reportedly probing whether the sharp moves on Aug 3–4 involved manipulation.

The irony? The mechanism designed to prevent manipulation is now being investigated for manipulation. 😄

[IRITA @IRITA_india]

#CAS

[Vishal Mehta, CMT @vishalmehta29]

Finally. Our issue is on national television. 🙏

Thank you @CNBC_Awaaz

12 August - one day out.

Not in anger, just to be counted.
One ask: weekly expiry at 3:15 PM, outside CAS.

IRITA was formed for exactly this.

One voice for India's retail traders.

@IRITA_india

[IRITA @IRITA_india]

#CAS
12th August 2026, no trading day...

[A Digital Blogger @adigitalblogger]

Manipulations during CAS. SEBI investigates but will it find anything?

Does it even matter?

The regulator shall see what ought to be. Looking in the wrong direction here?

[IRITA @IRITA_india]

#CAS

[Ashish Gupta @AshishGupta325]

SEBI is probing CAS trades for possible manipulation.

So the mechanism which was designed to improve price discovery is now being investigated for whether the price itself was manipulated 😂😂

Interesting times ahead 👏

https://t.co/ptQioEt45u

[IRITA @IRITA_india]

#CAS

[Sarang Sood @SarangSood]

Introduced CAS to improve price discovery

One week later, investigating the prices it discovered 😭

[IRITA @IRITA_india]

Lets have healthy discussion with our representatives..
@CNBC_Awaaz @_anujsinghal

[IRITA @IRITA_india]

This is exactly why IRITA was formed. 🇮🇳

A heartfelt thank you to CNBC and Anuj Singhal for acknowledging and recognising the trading community and giving our concerns a national platform.

Traders and investors deserve to be heard, recognised and respected as an important part of the financial ecosystem.

We sincerely request media houses and financial platforms: Please give IRITA a platform. Invite our spokespersons and members to your discussions and debates.

We are not here to oppose.
We are here to participate, present facts and suggest solutions.

One Community. One Voice. Stronger Together. 🤝🇮🇳

#IRITA #VoiceOfTraders #TradersAndInvestors #RetailTraders #SEBI #IndianStockMarket

[IRITA @IRITA_india]

This is exactly why IRITA was formed. 🇮🇳

A heartfelt thank you to CNBC and Anuj Singhal for acknowledging and recognising the trading community and giving our concerns a national platform.

Traders and investors deserve to be heard, recognised and respected as an important part of the financial ecosystem.

We sincerely request media houses and financial platforms: Please give IRITA a platform. Invite our spokespersons and members to your discussions and debates.

We are not here to oppose.
We are here to participate, present facts and suggest solutions.

One Community. One Voice. Stronger Together. 🤝🇮🇳

#IRITA #VoiceOfTraders #TradersAndInvestors #RetailTraders #SEBI #IndianStockMarket

[IRITA @IRITA_india]

#CAS too much room for manipulation??

[Yatin Mota @yatinmota]

SEBI probing August 3-4 trades during CAS to check for possible manipulation

SEBI is looking into the trades to determine whether the sharp movements observed during the initial days were a result of genuine market activity or whether any participants attempted to influence closing prices, sources told Moneycontrol.

SEBI examining trades during Closing Auction Session.

Concerns raised over Nifty jumps on Aug 3 and 4.

Regulator analyzing data for potential manipulation.

Source:

https://t.co/ZahCvzgHai

[IRITA @IRITA_india]

Are you Trading on 12th August 2026?

[IRITA @IRITA_india]

#CAS

[IRITA @IRITA_india]

@SEBI_India @NSEIndia @BSEIndia @_anujsinghal @CNBC_Awaaz @NDTVProfit @ETMONEY

[IRITA @IRITA_india]

Any such rule the regulator implements with lack of required infra( #CAS implemented without short selling) puts small retail at a disadvantage and is a blessing in disguise for large institutions to arbitrage out of it.

@SEBI_updates @NSEIndia @_anujsinghal @CNBCTV18Live

[IRITA @IRITA_india]

@CNBCAwaaz @anusinghal @_anujsinghal

[IRITA @IRITA_india]

What a warm Monday morning! ❤️

IRITA — Indian Retail Investors & Traders Association — being noticed on national television is a proud moment for all of us. 🇮🇳

Thank you @CNBCAwaaz & @AnuSinghal for highlighting IRITA and amplifying the voice of traders & investors.

[IRITA @IRITA_india]

What a warm Monday morning! ❤️

IRITA — Indian Retail Investors & Traders Association — being noticed on national television is a proud moment for all of us. 🇮🇳

Thank you @CNBCAwaaz & @_anujsinghal for highlighting IRITA and amplifying the voice of traders & investors.