Diwali Muhurat Trading 2024: October 31 or November 1? Check the date, other details here

Diwali Muhurat Trading 2024: As India enters the festive season, stock markets are gearing up for the annual holiday Muhurat Trading session, a special one-hour event held on Diwali.

Date, time of trading Muhurat 2024

Exchanges made a schedule Muhurat Trading November 1 from 6:00 p.m. to 7:10 p.m., according to the BSE website. Participants should be aware that all intraday positions will be automatically settled 15 minutes prior to session close, requiring careful planning of same day trades.

Why is Muhurat trading important?

In India, stockbrokers consider Diwali as the start of their financial year. Many investors see buying stocks during this period as a way to invite prosperity for the coming year. This is also the time for traders to diversify their portfolios and open new checking accounts.

Although largely symbolic, Muhurat Trading often involves active participation, and experienced investors take advantage of the opportunity to adjust their portfolios. However, given the short term, market fluctuations can be quite volatile.

Besides the start of a new year, Muhurat Trading embodies optimism and growth for the upcoming business season. This session strengthens confidence in the stock market and conveys the spirit of prosperity for the coming year.

As November 1 approaches, seasoned investors and newbies alike are looking forward to this festive market event.

Market performance during Diwali Muhurat trading session

During this hour, trading takes place in several segments, including equities, commodity derivatives, currency derivatives, equity futures and options, as well as securities lending and borrowing (SLB).

Historically, investors have enjoyed positive returns, with the BSE Sensex finishing higher in 13 of the last 17 special sessions. Although stock indices have generally performed well during these sessions, trading volumes are generally low and few stocks show significant changes in such a short period of time.

In 2008, however, the Sensex beat even the most bullish forecasts, rising 5.86% in a one-hour session. It ended the day at 9,008, although it remained largely range-bound for the rest of the year due to the global financial crisis.