Muhurat trading - Wikipedia

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2024-11-01 17:00:03

Muhurat trading is the trading activity in the Indian stock market on the occasion of Diwali a big festival for citizens of India.Many traders believe that Muhurat trading brings good luck for the coming year.

Regular stock trading is closed during the festival. Muhurat Trading is open for one hour. The schedule for the trading varies from year to year. Usually, it is held during the evening hours. It is announced by the stock market exchanges notifying traders and investors of the extra non-scheduled trading hour.[ 1] [ 2] [ 3] The National Stock Exchange of India (NSE), Bombay Stock Exchange (BSE), and the Multi Commodity Exchange of India (MCX) hold Muhurat trading. [ 4]

More than six decades ago, the tradition of Muhurat trading was born. It all started at the Bombay Stock Exchange (BSE) in 1957. Fast forward to 1992, and the National Stock Exchange (NSE) also embraced this auspicious practice. Since then, every Diwali has been marked by the time-honored Muhurat trading session. It's a tradition that unites the financial community in seeking prosperity and good fortune for the year ahead.[ 5]

Stock brokers' offices take on a distinctly ethnic look with neatly designed rangoli patterns and innumerable diyas lined up to welcome Goddess Lakshmi. Muhurat trading is one of the many links the broking(trading) community retains with its rich past. The practice of Muhurat trading has been retained and observed for ages. The schedule of the muhurat trading is announced by the stock exchange and the Sensex closes on a higher note at the ending of the trading hour. With this, the traders on Dalal Street welcome the New Year on a positive note. Many start the New Year with traditional ceremonies and pujas. This tradition has been followed as a ritual for many years.

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