During Diwali, the stock market remains closed all day except for one hour for the Muhurat Trading session. Before the Muhurat Session begins, traders perform Chopra Pooja in which accounting books are worshipped. It is believed by many that if you trade stocks during Muhurat trading, good luck follows you for the rest of the year till next Diwali.
Muhurat trading started at BSE in 1957, taking a queue from the two prominent business communities, Gujaratis and Marwaris, who have a century-old tradition of performing pooja of their ledgers and wealth chest every Diwali. NSE has been holding it since 1992. Both BSE and NSE permit trading for one hour on Diwali evening.
When is Muhurat Trading this year?
It is usually held in the most auspicious hour on the day of Diwali. This year Diwali is falling on November 14. The Muhurat Trading will be carried out between 6:15 pm to 7:15 pm on the day.
What is the schedule of the Muhurat Trading 2020 session?
Here is how the time around Muhurat Trading is allotted
5.45 pm to 6 pm: Block deal session
6 pm to 6.08 pm: Pre-opening
6.15 pm to 7.15 pm: Muhurat trading
6.20 pm to 7.05 pm: Periodic call auction
7.15 pm to 7.30 pm: Closing session
Trade modification cut-off time is till 7:45 pm
Who decides the time of the Muhurat trading?
Stock exchanges specify the time. During this hour, live trading takes place.
How does the market behave during Muhurat Trading?
Historically, markets have remained positive during the symbolic trading session. However, trading volume has been low. Stock movements tend to below as well.
