Muhurta trading is a tradition in the Indian stock market on the occasion of Diwali. Although the stock exchange is a holiday on this day, it is also opened for one hour especially in the evening, which is called Muhurta trading.
To mark the occasion, stock exchanges BSE and NSE will hold a one-hour special muhurta trading session on Friday, 1 November 2024 from 6 pm to 7 pm. The pre-opening session on muhurta trading will be from 5.45 pm to 6 pm.
The Muhurta trading time slot will also see trading in multiple segments like Equity, Commodity Derivatives, Currency Derivatives, Equity Futures and Options and Securities Lending and Borrowing (SLB). BSE-NSE announced this in separate circulars on 20 October.
On normal days the market opens from 9:00 AM to 3:30 PM Monday to Friday. The pre market session is from 9:00 to 9:15. Then normal session till 3:30 pm.
Last year the market closed with a gain of 354 points Last year, the Sensex closed at 65,259.45 with a gain of 354.77 points (0.55%) in the late trading session. The Nifty also gained 100.20 points to close at 19,525.55. If we talk about the last 5 years i.e. 2019 to 2023, the stock market has closed with gains every time. The Sensex closed the year with gains of 525 points in 2022, 295 points in 2021, 195 points in 2020 and 192 points in 2019.
The tradition of Muhurta trade is about 68 years old The tradition of Muhurta trading on Diwali in the stock market is about 68 years old. According to the Hindu calendar year, the Hindu Vikram Samvat year 2081 is starting from the day of Diwali this year. All over India this festival is considered the most auspicious time to welcome wealth, prosperity and good fortune. Similarly, a similar concept is associated with the trade of this muhurta. Stock market investors consider this day very special to start investing.
Muhurta trade is considered auspicious In Hindu customs, a muhurta is a time when the motion of the planets is considered auspicious. Starting any work during an auspicious time gives positive results. That is why on the auspicious occasion of Diwali, when the stock market opens for an hour, many Hindus start investing. Most of the people prefer to buy shares as they symbolize Goddess Lakshmi. According to beliefs, people who trade during this hour have a better chance of making money and achieving prosperity throughout the year.
5 things to keep in mind for stock market investors…
1. Maintain discipline Making dramatic changes in the portfolio increases the risk. Such habits can negatively impact long-term goals. Better to ignore immediate market fluctuations and maintain discipline. Make minor changes if portfolio changes are needed.
2. Monitor the investment When you invest in multiple types of assets, you cannot track all investments regularly. In such a situation, it will be difficult to react accurately to changing market trends. So if you are unable to track your investments, take the help of a trusted financial advisor.
3. Do not sell shares at a loss Ups and downs are the nature of the stock market. Investors should not panic because of the fall in the stock market. Even if you have invested money in the stock market and suffered losses, you should avoid selling your shares at a loss, as there is hope for a recovery in the market in the long run. In such a situation, if you hold your shares for a long time, your chances of loss will be reduced.
4. Diversify the portfolio Portfolio diversification is a good way to maintain stable investment value in volatile markets. Diversification means dividing investments into different assets according to risk appetite and goals. The advantage is that if one asset (such as equity) is falling, a simultaneous rise in the other asset (such as gold) will mitigate the loss.
5. Stock basket will be suitable In this you create a basket of shares and invest in all these shares. That is, if you want to invest a total of 25 thousand rupees in these 5 shares, you can invest 5 thousand rupees each. This reduces the risk.
Note: The information provided in this article is for information only. This should not be considered investment advice. You should consult investment advisors before making any investment. Bhaskar is not responsible for anything related to investment.
Image Credit: (Divya-Bhaskar): Images/graphics belong to (Divya-Bhaskar).
