What is Muhurat Trading & Why It Matters

 

What is Muhurat Trading & Why It Matters

Muhurat Trading refers to a special, symbolic one-hour trading session held on the Indian stock markets—National Stock Exchange of India (NSE) and Bombay Stock Exchange (BSE)—to mark the beginning of the Hindu new year (Samvat) during the occasion of Diwali. mint+2Wikipedia+2
The term “muhurat” means an auspicious moment, and this session is treated by many investors and brokers as a token of wishing prosperity, wealth and optimism for the year ahead. Wikipedia+1

Historical & Cultural Context

The origins of Muhurat Trading lie in old business traditions where traders used Diwali, and the associated Chopda Pujan (worship of account books), to symbolically close one financial year and open the next. Paytm Money+1
The BSE introduced the formal Muhurat session in 1957, and the NSE followed when it began operations. mint+1 Over time, the practice evolved from just a ritual to a brief formal trading window on Dalal Street, combining cultural symbolism with market activity.

Muhurat Trading in 2025: Date & Time

For 2025, the Muhurat Trading session is scheduled as follows:

  • Date: Tuesday, 21 October 2025. mint+1

  • Session Time: 1:45 PM to 2:45 PM (IST) for normal market segment. A pre-open session (1:30 PM-1:45 PM) will precede this, and specific segments like block deals and derivatives have cut-off timings. Groww+1
    It is noteworthy that this year the session is being held in the afternoon instead of the usual evening slot—a shift from previous years. Paytm Money+1

Significance for Investors & Markets

  • Symbolic fresh start: Many investors believe that trades executed during this hour carry the blessing of new beginnings. Buying a share during Muhurat Trading is considered auspicious. HDFC Bank+1

  • Optimism boost: Historically, the market has shown positive sentiment during the Muhurat session, as investors adopt a hopeful outlook for the new year. mint+1

  • Increased participation: Both seasoned and new investors may participate in the session, although volumes may not match a full trading day. Groww

  • Ritual meets finance: It blends culture (Diwali-linked traditions) with commerce (stock trading) in a unique way, reminding us how markets often reflect societal moods.

Things to Keep in Mind

  • Not a guarantee of profit: While symbolic, Muhurat Trading does not guarantee superior returns—the usual market risks apply. Paytm Money+1

  • Short window, lower liquidity: Since the trading window is only an hour, liquidity and price movements may be different from full-day sessions—investors should be cautious. Groww

  • Long-term focus remains key: Many participants treat Muhurat trades as long-term holdings rather than short-term speculation. Paytm Money

  • Settlement obligations apply: Trades made during the session are treated like any other—settlements and formalities apply. Groww

How to Approach Muhurat Trading in 2025

  1. Plan ahead: Know the timing (1:45 PM–2:45 PM) and mark it on your calendar.

  2. Do your homework: Choose fundamentally sound stocks rather than chasing sentiment.

  3. Avoid impulsive moves: Treat the session as a ritualistic bouquet rather than an aggressive trading opportunity.

  4. Mind risk: The session’s brevity means conventional strategies may not apply—be prepared for lower liquidity and possibly higher volatility.

  5. Stay realistic: Use the session to symbolise a start—not to expect dramatic gains just because of the “auspicious” label.

Conclusion

Muhurat Trading 2025 is more than just an hour of stock market activity—it’s a fascinating blend of tradition, optimism and financial participation. Set for 21 October from 1:45 PM to 2:45 PM, this session invites investors to participate in the new Samvat year in a purposeful way. While the market’s culture may sit alongside its commerce, the fundamentals—risk, choice, strategy—remain unchanged. Use this hour wisely, embrace its symbolism, and let it mark not only a trading moment but a renewed mindset toward long-term investment success.

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