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Diwali Muhurat Trading Date And Time 2023

As the festival of lights, Diwali approaches in 2023, stock market enthusiasts in India are preparing for the much-anticipated Muhurat trading session. This year, the session will be held on 12th November. The trading begins with a 15-minute pre-opening session at 6:00 PM and concludes at 7:15 PM.

This article will delve into the concept of Muhurat trading, explore the specific timings for Muhurat trading in 2023, and highlight its advantages.

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The term "muhurat" literally means “auspicious timing”. Muhurat trading is a time-honoured Indian tradition that involves the trading of stocks and commodities during the auspicious hour of Diwali. This practice is rooted in the belief that conducting financial transactions during this auspicious moment will bring good luck and prosperity for the coming year. Muhurat trading is a way for traders and investors to blend their financial activities with Diwali's cultural and spiritual celebrations.

Muhurat Trading Time

In 2023, Muhurat trading is scheduled for Sunday, 12th November, coinciding with the Diwali festival. The exact timings for Muhurat trading session is to be announced by the stock exchanges closer to the date. Traditionally, the session occurs in the evening and lasts for approximately one hour. The trading session typically comprises various phases:

1. Block Deal Session (5:45 PM to 6:00 PM): This session involves two parties agreeing to buy or sell shares at a predetermined price and informing stock exchanges to execute the deal.

2. Pre-Open Session (6:00 PM to 6:15 PM): This short session, lasting approximately 15 minutes, determines the equilibrium price set by the stock exchanges.

3. Muhurat Trading Session (6:15 PM to 7:15 PM): The main trading session is where investors can buy shares from various companies.

4. Call Auction Session (6:20 PM to 7:05 PM): This session involves trading illiquid securities meeting specific criteria set by stock exchanges.

5. Closing Session (7:15 PM to 7:25 PM): The final part of Muhurat trading, during which investors can place orders at the closing price.

History of Muhurat Trading

The roots of Muhurat can be traced back to ancient trading communities in India. Traders of yore would perform puja (worship) of their account books and ledgers on Diwali, a practice believed to bring prosperity and good fortune. Over time, this tradition evolved into the modern practice of Muhurat trading in stock markets.

The tradition of Muhurat trading has a history that spans over six decades. It first took root at the Bombay Stock Exchange (BSE) in 1957 and was subsequently adopted by the National Stock Exchange (NSE) in 1992.

Amidst this auspicious moment, many Hindu investors engage in Lakshmi Pujan, offering prayers to Goddess Lakshmi before making stock purchases. Although Muhurat trading does not guarantee profits, it is believed to positively influence one's wealth for the upcoming year. Over time, the BSE Sensex has frequently delivered encouraging results on this special day, fostering optimism among participants.

Benefits of Muhurat Trading

1. Favourable Start: Muhurat trading is thought to usher in luck and financial success. It's often seen as an opportune moment for fresh investments or decisions.

2. Investor Sentiment Influence: The optimistic atmosphere that prevails in Muhurat trading frequently establishes the outlook for the upcoming year, potentially elevating investor self-assurance.

3. Reduced Market Fluctuations: Thanks to its shorter trading hours and decreased trading activity, Muhurat trading typically experiences reduced volatility, establishing a safer trading environment.

Key Points to remember before trading/investing during Muhurat:

  1. Informed Day Trading: Keep a vigilant eye on support and resistance levels to make informed decisions.
  2. Position Commitment: It's important to note that open positions at the session's close become binding commitments.
  3. Fundamental Insights: Understand a company's fundamentals before committing to investment.
  4. Exercise Prudence: Exercise caution when encountering unsolicited advice from various sources.
  5. No Assured Returns: Always keep in mind that investments made during this session do not guarantee returns.

Muhurat trading is more than just a financial event; it's a cultural and spiritual tradition combining finance and faith. By participating in Muhurat trading, investors seek financial gains and embrace the hope and positivity that this auspicious occasion represents. Remember to plan wisely, stay informed, and monitor your emotions to make the most of this special trading session. May your investments in

 

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