Market regulator SEBI and the Indian stock exchanges have strengthened their surveillance mechanism to keep a check on manipulative activities this week as impactful election related events line up.
The heightened surveillance measures have already been placed with monitoring systems for Monday, the first trading day after the announcement of exit polls results. It will be further ramped up on Thursday, the day of final Lok Sabha election results, a senior official told PTI.
Poll results are known to have bearing effect on trading. With increased monitoring, manipulations and excessive volatility in the markets can been kept under control. Manipulators tend to exploit such volatile situations in the stock markets.
The vigilance will continue till 23 May. PTI reported that movements in the Nifty futures and options on the Singapore exchange will also be closely watched.
SGX Nifty is the derivative of the Indian Nifty 50 index on the Singapore exchange and is also the first indication of how the Indian stock markets will open for a given trading day. Due to time difference, it opens ahead of NSE's Nifty 50 index.
Following exit polls, on Monday, BSE's Sensex gained 1000 points, reclaiming the 39,000-mark while Nifty 50 rose above 11,700.