What is Muhurat Trading?
Muhurat trading is a special, one-hour session conducted by Indian stock exchanges—the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE)—on Diwali day. The timing is chosen based on muhurat, an auspicious period in the Hindu calendar, believed to attract good fortune and prosperity for financial ventures. Trades executed in this window are real and settled just like regular trades, but carry added ceremonial and cultural significance.
History and Significance
| Year | Nifty Return on Muhurat Day | Sector Leaders |
| 2020 | +0.95% | FMCG, IT |
| 2021 | +0.49% | Banking, Auto |
| 2022 | +0.62% | Pharma, Infra |
| 2023 | +0.88% | Energy, FMCG |
| 2024 | +0.73% | IT, Retail |
Muhurat trading has deep roots in Indian tradition:
- Began formally in 1957 at the Bombay Stock Exchange, later adopted by NSE in 1992.
- Coincides with the Chopda Pujan ceremony, where traders initiate new account books and seek blessings for a successful year ahead.
- Symbolizes the beginning of the new Hindu financial year (Vikram Samvat), merging faith and finance.
- Today, it’s an eagerly-awaited event for both seasoned professionals and new investors looking to start their stock market journey on a prosperous note.
Features That Make Muhurat Trading Special
Short, Auspicious Trading Window
- The session lasts just one hour—this compressed trading period adds excitement and optimism.
- Trades made are authentic, and settlement follows the standard T+1 regulations.
Festive Sentiment and Optimism
- The mood is consistently bullish, driven by positive sentiment and festive cheer.
- Many investors participate to mark new beginnings for their portfolios, leading to typically higher buying activity.
Segmented Trading Sessions
The one-hour window includes several distinct segments:
- Block Deal: Bulk trades between parties.
- Pre-Open: Equilibrium price discovery.
- Normal Market: Core trading period.
- Closing Session: Orders executed at closing prices.
- Also includes segments for equity, derivatives, commodities, and currency trading.
Participation and Symbolism
- Investors across ages and experience levels, including beginners, participate, often making ‘token’ trades as gestures for future prosperity.
- Trades in strong, blue-chip companies are especially popular.
Portfolio Rebalancing Opportunity
- Many traders use this day to rebalance or kickstart their investment portfolios, aiming to align with new financial goals.
Cultural Rituals and Ceremonies
- Traders perform rituals, prayers, or blessings (Chopda Pujan) before or during the session.
Muhurat Trading 2025: What’s New and Special?
Date and Timing
- Muhurat Trading 2025 will be held on Tuesday, 21 October 2025.
- The special session will run from 1:45 pm to 2:45 pm—for the first time since 1957, the session is in the afternoon instead of the usual evening slot.
- Pre-open segment: 1:30 pm – 1:45 pm. Order modifications allowed till 2:55 pm.
Key Features for 2025
- Afternoon Session: The move from evening to afternoon is aimed at providing better daylight visibility and lighter work schedules—this is a significant shift welcomed by brokers.
- Same Ritual and Sentiment: Investors will continue to participate with optimism and festive spirit.
Why Muhurat Trading Matters for Beginners and Stock Market Seekers
Entry Point for New Investors
- Many new investors make their first trades on this day, attracted by the auspicious timing and supportive community atmosphere.
Learning Opportunity
- The session offers a “low-risk” entry since many participants opt for small trades and the general market mood is optimistic.
Symbolism and Faith
- For those new to investing, it’s a chance to experience the intersection of tradition and modern finance.
Tips for Muhurat Trading Success
Focus on Fundamentals: Invest in companies with strong track records.
- Monitor Volatility: The session can be volatile because of its brevity and festive sentiment.
- Trade Liquid Stocks: Due to limited time, stick to stocks with high liquidity.
- Avoid Euphoria: Don’t get swept up by festive excitement—conduct careful research.
- Be Strategic: Use the session to rebalance and align portfolios with your goals.
- Remember Risk: Returns aren’t guaranteed just because the day is auspicious.
| Feature | Muhurat Trading (2025) | Regular Trading |
| Session Length | 1 hour (1:45 – 2:45 pm) | Standard market hours |
| Sentiment | Optimistic, Festive | Neutral/Varied |
| Symbolic Value | High (Cultural, ceremonial) | Low |
| Investor Participation | All ages, new & seasoned | All |
| Tradability | Equities, derivatives, etc | All instruments |
| Trading Volume | Lower (short window) | Higher |
| Market Impact | Sentiment driven | Analysis driven |
Top Stocks Picks (Example)
Disclaimer: These are not investment recommendations. Please do your own research.
- Tata Consumer – Diwali demand surge
- Infosys – Stable long-term performer
- Asian Paints – Seasonal uptick in home decor
- Titan – Jewelry and watch sales peak during Diwali
Frequently Asked Questions (FAQ)
What is the meaning of Muhurat Trading?
“Muhurat trading” refers to a one-hour special stock market session on Diwali, believed to bring good luck and prosperity.
Can beginners participate?
Absolutely. Muhurat trading is for everyone, including first-time investors looking to start on an auspicious note.
How is Muhurat Trading 2025 different?
For 2025, the session will be held in the afternoon rather than the evening—a historic change.
What are the rules and segments of the session?
Normal market rules apply, but trading is limited to one hour. Segments include block deal, pre-open, normal market, and closing session.
Is trading during Muhurat always profitable?
No. While the mood is positive, prices may be volatile and returns are not guaranteed—invest wisely.
Should I buy or sell shares?
Participants can both buy and sell. Many opt for buying strong, long-term picks.
Which exchanges run Muhurat trading?
Both NSE and BSE conduct the session each year
Conclusion
Muhurat trading blends centuries-old tradition, cultural optimism, and modern finance, offering a festive and symbolic boost to the Indian stock market every Diwali. For 2025, the shift to an afternoon session, coupled with ritual and optimism, makes Muhurat Trading 2025 a memorable opportunity for all market participants—from complete beginners to seasoned investors.
Muhurat trading, a significant ritual in Indian stock markets, is scheduled for October 21, 2025. This auspicious trading session is traditionally observed during the festival of Diwali and is believed to bring prosperity and good fortune to investors. It is essential for participants to be well-informed about the timing and regulations governing muhurat trading to make the most of this opportunity. Investors should prepare accordingly to engage in this unique market event facilitated by the NSE and other exchanges.
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