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Home > Business > Is The Stock Market REALLY Open On Diwali? The Muhurat Trading Mystery, What Every Investor MUST Know!

Is The Stock Market REALLY Open On Diwali? The Muhurat Trading Mystery, What Every Investor MUST Know!

Stock Market On Diwali: India’s stock market pauses regular trading but opens for a special one-hour Muhurat Trading session, blending tradition with finance, marking the Hindu financial year’s auspicious start.

Published By: Aishwarya Samant
Last updated: October 5, 2025 10:04:23 IST

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Stock Market On Diwali: Is the Stock Market Open or Closed on Diwali? What’s the Deal with Muhurat Trading?

Diwali’s around the corner, sweets are piling up, lights are twinkling, but wait, what about the stock market? Is it open or closed on Diwali?

Well, here’s the twist: yes and no. The NSE and BSE take a break from regular trading, but they light up for just one special hour a tradition called Muhurat Trading.

Think of it as the market’s version of lighting a diya, symbolic, festive, and full of good vibes.

This year, on October 21, 2025, you’ll get a one-hour trading window from 1:45 PM to 2:45 PM IST. It’s a nod to the new Hindu financial year, Samvat 2082.

Should you buy? Sell? Or just soak in the tradition? That’s up to you. But one thing’s for sure, it’s the most festive hour on Dalal Street.

Ready to trade with the gods?

Stock Market On Diwali: What is Muhurat Trading, Really?

Ever wondered why the stock market lights up for just one hour on Diwali?

That’s Muhurat Trading, a festive, one-of-a-kind trading session held on Diwali Laxmi Pujan. In 2025, it falls on Tuesday, October 21, kicking off the new Hindu financial year, Samvat 2082.

So, why all the buzz? Because it’s not just about numbers, it’s about tradition, optimism, and a dash of good fortune. Investors place their “first” trade of the year, hoping to start on an auspicious note.

It is purely one hour of sentiment, sparkle, and maybe some smart moves.

Stock Market On Diwali: When Does Muhurat Trading Take Place? Let’s Break It Down.

Planning to trade this Diwali? Wondering when exactly that one-hour magic window opens? Let’s get you sorted!

In 2025, Muhurat Trading will take place on Tuesday, October 21, from 1:45 PM to 2:45 PM IST, this is a bit earlier than usual (yes, it’s not in the evening this time! Every year the trading used to happen in the eveing).

The pre-open session begins at 1:30 PM, so be ready before the opening bell rings!

You’ll be able to trade across equities, derivatives, commodities, and currencies, and yes, all trades are settled just like regular ones.

Think it’s just symbolic? Maybe. But many investors treat it as an auspicious moment to kick off the new financial year, Samvat 2082, with positive vibes (and surely for a smart stock pick or two).

So, is your Watchlists ready? Alerts set? This isn’t just trading, it’s Diwali, and that too Dalal Street style.

Muhurat Trading: Where Markets Meet Tradition

The reason goes way beyond numbers and basically is deep rooted in the traditions of the Indian stock market. This is very fasinating. way back in time this is was an oppurtunity just for a less number of people as they would do this pgyciasally gpinto the exchnage office, unllike now that everuthing is done sifutally 

Muhurat Trading dates back to 1957 on the BSE (yes, before color TVs!) and 1992 on the NSE. But its roots are even older. Traditional Indian business families would shut their old account books (bahi-khaata), perform Chopda Pujan, and open fresh ledgers on Diwali, all under the watchful eyes of Goddess Lakshmi. The stock market just gave this ritual a modern twist.

Back in the day (pre-digital era), brokers met in trading halls, lit diyas, and made their first trade- more prayer than profit.

And about the timing? Until recently, Muhurat Trading was a cozy evening affair (think 6 PM to 7 PM). But in 2025, it’s gone afternoon! 1:45 PM to 2:45 PM IST.

Time change? Yes. Spirit of tradition? Still strong.

Why Muhurat Trading Matters

To most investors, Muhurat Trading is rather a tradition than a strategy. We often notice a frenzy of buying in blue-chip stocks and index-heavyweights, not always due to profound thinking, but as a gesture of making a good beginning to the new financial year.

Although this is mostly a ceremonial event, the trading volumes can be quite high during the session, owing to the festal mood and optimism.

Over this single golden hour, there is no limit on the type of trade that one can engage in, as equities, derivatives, currency derivatives, commodity derivatives, and even securities lending and borrowing (SLB) can all be a part of the mix. It is simply a normal market session crammed into an hour and a half.

One consideration to keep in mind: all your trades in Muhurat Trading would be subject to the ordinary settlement regulations. Whatever you sell or purchase, you must pay it all out at any rate!

How The Flow Works (Step by Step)

To help you visualize, here’s how 2025’s Muhurat day unfolds:

  1. Pre‑open (1:30 PM – 1:45 PM)
    Orders pour in, bids meet asks, and the “opening price” for the session is decided.

  2. Main Trading (1:45 PM – 2:45 PM)
    The symbolic hour when real trades happen. Investors place token buys and sells across segments.

  3. Order Modification Cut-off (Until 2:55 PM)
    Even after the main hour ends, you can adjust or cancel certain orders. Useful if you made a mistake.

That’s the core. No trading before 1:30 PM, no after 2:55 PM!

(With Inputs)

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