By Vikas Singhania CEO at TradeSmart
Muhurat Trading started back in 1957 on the BSE and in 1992 on the NSE as a one-hour window termed as Muhurat Trading as it is performed after Laxmi-Pujan on the day of Diwali. Considered as an auspicious time for traders to enter the market, many investors think that the planets are aligned during the Muharat occasion in such a way that trading done during this time is free of the influence of bad forces, and anyone investing in the market at this period is more likely to have a profitable outcome.
The Bombay Stock Exchange and National Stock Exchange decide the timing of Muhurat Trading each year, and according to the belief, whoever trades during this one hour has a better chance of accumulating wealth and prospering throughout the year.
This year, stock exchanges will hold the customary one-hour special ‘Muhurat’ trading between 6:15 p.m. and 7:15 p.m. on 4th November. The block deal session will take place from 5.45 p.m. to 6 p.m and the pre-open session will begin at 6 p.m. and end at 6:08 p.m.
On the Muhurat trading day, the Sensex usually closes higher. In addition to stock exchanges, commodity exchanges offer Muhurat trading for investors. For the business community, the new fiscal year begins with Diwali. The business owners perform the ‘Chopda or Sharda Puja’ in which all the old account books or ledgers are closed and new ones are opened.
Traditionally, it has been one of the most auspicious times to trade and garner profits to set a prosperous tone to new financial beginnings and goals. For someone who has never invested in stocks before or never been into the trading industry, this could be the right opportunity to give it a good start and earn a high ROI.
While the Muhurat Trading practice started more than 60 years ago, it still is not known by most Indians and is a lost opportunity to make smart money by trading enthusiasts. This trend has flourished through the years amongst the Trading community, however, it has a lot of untapped potential to increase numbers and volumes of trade. Millions of millennials and Gen Z Indian population are unaware of this incredible opportunity, and being in this segment, we aim to introduce them to this opportune concept.