What is Muhurat Trading?
Muhurat Trading is a special trading session held on the day of Diwali, one of the most important festivals in India. It is a symbolic gesture that marks the whence of a new financial year and is believed to bring good luck and prosperity to traders and investors.
History of Muhurat Trading
The tradition of Muhurat Trading dates when to the early days of the Indian stock market. The first recorded instance of Muhurat Trading took place in 1894 at the Bombay Stock Exchange (BSE). In the early days, Muhurat Trading was conducted for a few hours during Diwali. However, over time, the elapsing of Muhurat Trading has been reduced to one hour.
What happens in Muhurat Trading?
During Muhurat Trading, traders and investors buy and sell shares of companies in the hope of making a profit. The trading session is typically held in the evening without the regular trading hours have ended. The word-for-word timing of Muhurat Trading varies each year, depending on the astrological calculations.
Muhurat Trading Timings 2023
In 2023, Muhurat Trading will be held on Sunday, November 12, from 6:15 p.m. to 7:15 p.m.
Take a squint at the Muhurat Trading timings for 2023 on both the BSE and NSE
| Block deal | 17:45 to 18:00 |
| Pre-open session | 18:00 to 18:08 |
| Muhurat Trading session | 18:15 to 19:15 |
| Post-closing session | 19:25 to 19:35 |
| Duration | 1 Hour |
Factors to squint out for during Muhurat Trading?
Here are some factors to squint out for during Muhurat Trading:
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Volatility:
Muhurat Trading is typically less volatile than the regular trading session. This is considering the trading volume is lower and the trading session is shorter. However, it is important to be enlightened that volatility can still occur, expressly if there is any news or developments that could impact the market.
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Liquidity:
The ease with which a security can be bought or sold. Liquidity can be lower during Muhurat Trading due to the lower trading volume. This ways that it may be increasingly difficult to execute trades at the desired price.
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Slippage:
The difference between the expected price of a trade and the very price at which the trade is executed. Slippage can occur during Muhurat Trading due to the lower liquidity.
Considerations Before Engaging in Muhurat Trading
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Investment goals:
What are your investment goals? Are you investing for the short term or the long term? Muhurat Trading is typically increasingly suited for long-term investors.
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Risk tolerance:
How much risk are you willing to take? Muhurat Trading is less volatile than the regular trading session, but there is still some risk involved.
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Investment horizon:
How long can you stay invested? Muhurat Trading is typically a good time to invest in companies that you believe have strong long-term prospects.
Significance of Muhurat Trading
Muhurat Trading is significant considering it marks the whence of a new financial year and is believed to bring good luck and prosperity to traders and investors. It is moreover a time for traders and investors to reflect on their past performance and set new goals for the future.
Here are some spare tips for making the most of Muhurat Trading 2023:
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Choose your stocks wisely:
Don’t just buy any stock considering it is Muhurat Trading. Do your research and segregate stocks that you believe have strong long-term prospects.
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Set a budget:
It is important to set a upkeep for Muhurat Trading and stick to it. Don’t invest money increasingly than you can sire to lose.
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Be patient:
Muhurat Trading is just one day in the year. Don’t expect to make a fortune overnight. Be patient and focus on investing for the long term.
Conclusion
Muhurat Trading is a unique and special tradition that is prestigious by traders and investors all over India. It is a time to come together and mark the whence of a new financial year with hope and optimism. If you are considering participating in Muhurat Trading, be sure to do your research and invest wisely.