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Muhurat Trading 2026: Meaning, Timing, History and Importance

Posted On:24th May 2024
Updated On:22nd Oct 2026
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Key Highlights

  • Muhurat trading is a specific time during which the Indian stock market allows traders to make trades during Diwali.
  • Because Diwali is considered an auspicious festival, many investors and traders choose to trade during this period.
  • It is a one-hour period that is considered auspicious, which various traders like to capitalise on.

Every Diwali, NSE and BSE open the stock market for about an hour on Lakshmi Pujan day. This is Muhurat Trading. This year it falls on Sunday, 8 November 2026, a day the market would normally be shut. For many families, buying even one share in this window is as much a part of Diwali as lighting diyas. Below, we explain what the session is, its 2026 timings, where the custom came from, and how to take part without overspending.

What is Muhurat Trading?

"Muhurat" simply means an auspicious time. Muhurat Trading is the short session the exchanges hold on Diwali evening (sometimes afternoon) to mark the start of Samvat, the Hindu new year that a lot of traders and business families still follow. The 2026 session will usher in Samvat 2083.

Nothing about the trading itself is symbolic, though. Orders go through the normal system, prices move with demand and supply, and every trade is settled like one placed on a Monday morning. What's different is the mood. Most people buy a small quantity of a stock they already like, almost as a token, hoping it sets the tone for the year.

Muhurat Trading 2026: Date and Timings

The date is fixed. NSE's holiday list for 2026 marks Sunday, 8 November, as Diwali Lakshmi Pujan is held, and Muhurat Trading will be held that day. BSE shows the same date. What we don't have yet is the clock time. The exchanges usually put out a separate circular a few weeks before Diwali, and we'll update the table once it's out.

SessionDateTiming (IST)
Block Deal Session8 November 2026To be announced
Pre-Open Session8 November 2026To be announced
Normal Market Session8 November 2026To be announced
Closing Session8 November 2026To be announced

Note: Check NSE and BSE for the official circular

To give you a rough idea, this is what the NSE schedule looked like last year, on Tuesday, 21 October 2025:

SessionDateTiming (IST)
Block Deal Session21 October 20251:15 PM to 1:30 PM
Pre-Open Session21 October 20251:30 PM to 1:45 PM
Normal Market Session21 October 20251:45 PM to 2:45 PM
Closing Session21 October 20252:55 PM to 3:05 PM

A quick heads-up: don't assume it'll be in the evening. For years, the session ran around 6 PM, but in 2025 it moved to the afternoon. Wait for the official circular. Also note that Tuesday, 10 November 2026 (Diwali Balipratipada), is a market holiday.

How to Participate in Muhurat Trading

If you already buy shares online, you won't need to do anything new. If you don't, start a few days early.

Step 1: Get a Demat and trading account

You can't trade without both. New investors can open a Demat account online, but give it time; KYC checks can take a day or two. Existing users should just log in once and make sure nothing is blocked.

Step 2: Fund your account before Diwali

Transfer the money a day or two ahead. Brokers sometimes switch off withdrawals or pledging on the Muhurat day, and you don't want to be stuck sorting out payments during a one-hour window.

Step 3: Make your list in advance

Decide which stocks you want and how much you're willing to spend before the day. Sixty minutes is not enough time to read annual reports.

Step 4: Place the order

Log in five or ten minutes early and put in your order once the normal market session opens. Prices can jump around, so a limit order (where you name your maximum price) is usually safer than a market order.

Step 5: Check that it went through

Look at your order book. Your broker will also email a contract note with the price and charges.

Step 6: Wait for settlement

Nothing special happens here. Shares you buy in the session will land in your Demat account a working day later (T+1), as always. NSE lists the exact dates in its Muhurat circular.


Also Read: Best Things to Buy on Dhanteras for Prosperity

Things to Keep in Mind Before Muhurat Trading

The festive buzz can easily sweep you up. A few things worth thinking about first:

  • How much risk you can take: put in money you won't need soon. If the stock drops after Diwali, you should be able to hold on.
  • Your research: a stock isn't a good buy just because everyone is talking about it this week. Look at what the company actually does and how it has been doing.
  • Sudden price swings: with many orders packed into an hour, prices can spike and fall within minutes.
  • WhatsApp tips: "sure-shot Diwali picks" from unknown groups are best ignored. If you want ideas, use a registered adviser or reliable sources.
  • Thin trading in some stocks: smaller companies may have very few buyers and sellers in the session. You might not get your price or might not be able to exit quickly.
  • Your time frame: a Muhurat buy works best as the start of a long-term holding, not a quick flip.
  • Impulse buys: set a budget before you log in, and stop when you hit it.
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What is the History of Muhurat Trading?

The act of opening the markets to allow traders to invest during Diwali is a long-standing tradition. It was started by the BSE (Bombay Stock Exchange) in the 1950s. When the NSE (National Stock Exchange) was established later in 1992, the tradition was continued. Both these exchanges are made available to traders during these Muhurat trading hours.

What Happens During Muhurat Trading Session?

Now, let's learn about the intricacies of what happens during a Muhurat trading session:

Block Deal Session: During this period, two parties agree to buy or sell securities. The deals are usually large, and a stock exchange is informed about it.

Pre-Open Session: Orders are collected for a few minutes before trading starts, and the exchange works out the opening price from them.

Normal Market Session: This is the period where most of the Muhurat trading occurs.

Call Auction Session: Most of the illiquid securities are traded during this period.

Closing Session: Traders and investors can place an order during this period, and it gets filled at the closing price of the session.


Also Read: Gold Shopping on Dhanteras and Diwali: Tips to Buy Smart

Importance and Significance of Muhurat Trading

Ask ten investors why they trade on Diwali, and you'll hear ten slightly different answers. Some see it as a ritual, like doing Lakshmi puja for the account books. Others just like starting the new year with a purchase. A few of the common reasons:

  • New books, new year: traditional businesses open fresh ledgers (chopda pujan) on Diwali. Buying a share in this hour carries the same idea into the stock market.
  • Upbeat mood: people tend to feel optimistic during the festival and are more willing to buy. Prices sometimes rise during the hour, but that isn't a rule, and it says little about the weeks that follow.
  • Busy trading in popular stocks: a lot of investors log in at once, so well-known shares see plenty of activity. Smaller ones may still be quiet.
  • Faith in good timing: if you believe in auspicious moments, this day is the one the market sets aside each year.
  • A nudge to check your portfolio: even if you don't trade, it's a handy yearly reminder to see whether your investments still fit your plans.

None of this makes Muhurat Trading a way to earn quick money. The hour is special, but stocks bought then carry the same risks as on any other day.

FAQs About Muhurat Trading

What is Muhurat trading?

Why is Muhurat trading significant?

When Does Muhurat trading usually take place?

Can foreign investors participate in Muhurat trading?

Is Muhurat trading limited to stock markets?

Is Muhurat trading risky?

What are the benefits of Muhurat trading?

Are there any special regulations for Muhurat trading?

Can I place limit orders during Muhurat trading?

Should I invest a significant portion of my portfolio during Muhurat trading?

Disclaimer

The information contained herein is generic in nature and is meant for educational purposes only. Nothing here is to be construed as an investment or financial or taxation advice nor to be considered as an invitation or solicitation or advertisement for any financial product. Readers are advised to exercise discretion and should seek independent professional advice prior to making any investment decision in relation to any financial product. Aditya Birla Capital Group is not liable for any decision arising out of the use of this information.



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