As the festive season approaches, India’s stock markets are getting ready for the annual Muhurat Trading session, a special one-hour trading event that takes place on Diwali.
What is Muhurat Trading?
‘Muhurat’ means an auspicious time chosen based on the position of planets, believed to bring good luck. Every year, the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) hold this unique trading session to celebrate the start of the new financial year according to the Hindu calendar. It coincides with Laxmi Pujan, a ritual that honors wealth and prosperity. Investors trade during this time to invite good fortune for the year ahead, marking the beginning of Samvat 2081.
Date and Timing for Muhurat Trading 2024
The BSE has confirmed that Muhurat Trading will take place on November 1, 2024, coinciding with Diwali and Laxmi Pujan. However, the specific timing for the trading session has yet to be announced. The BSE and NSE will provide more details as Diwali approaches. It’s important for traders to note that all intraday positions will automatically close 15 minutes before the session ends, so planning is essential for same-day trades.
Why is Muhurat Trading Important?
In India, stockbrokers view Diwali as the start of their financial new year. Many believe that buying stocks during this time brings prosperity for the year to come. It’s also a chance for traders to diversify their portfolios and open new accounts.
Although it’s a symbolic event, Muhurat Trading often attracts many participants, including experienced investors looking to adjust their holdings. Due to its short duration, market movements can be quite volatile.
Beyond just marking the new year, Muhurat Trading symbolizes optimism and growth for the upcoming business season. It fosters confidence in the stock market and reflects the hopeful spirit of prosperity for the year ahead.
As November 1 approaches, both seasoned investors and newcomers eagerly look forward to this festive trading event.
Disclaimer: The views and investment tips expressed by investment experts on Sharepriceindia.com are their own and not those of the website or its management. Sharepriceindia.com advises users to check with certified experts before taking any investment decisions.
