Trading sessions in the stock market run during the weekdays, and if there is any national holiday, especially when there is a bank holiday or a festival, the stock market also does not work. India is a country with a tradition, culture and spirituality where people celebrate different festivals and express their happiness and joy with their friends and relatives. And usually on most of the festival days, the stock market trading is halted.

Diwali is one of the most auspicious and celebrated festivals in India, when the stock market is closed. It is not only the festival of lights, but people also share gifts, buy electronic items and invest in gold, silver and other assets like vehicles, properties or stocks. Despite this non-trading day, the stock market is open for investors to get the opportunity to buy stocks, mutual funds or ETFs to bring prosperity in their lives.

And this special trading session on Diwali day is called “Mahurat Trading”, which is not a full trading session, but organised for only one hour, depending on the best auspicious time (Good Mahurat) to invest in such assets. So, today right here in this article, we are going to discuss about Mahurat trading, its importance and how to participate with the right trading strategy, along with the Muhurat trading 2025 date and time.

What is Muhurat Trading in the Stock Market?

Muhurat Trading is a special symbolic trading session organised on the day of Diwali, only for one hour. Just like other normal days, the terminals for trading opened across the channels, allowing investors to participate during this session. Usually it is organised in the evening, but this year in 2025, it will be held at noon.

However, in Mahurat Trading, participants are allowed to trade across multiple segments, including equities, commodity derivatives, currency derivatives, equity futures & options, and securities lending & borrowing (SLB) with the settlement cycle in upcoming working days or as per the exchange rules.

Why is Muhurat Trading Important?

The Muhurat trading has been organised since 1957 on the Bombay Stock Exchange, which was later also introduced by the NSE in 1992. As per the tradition, on the eve of Diwali, people perform the Lakshmi Puja and ignite lights and clay-made lamps. As this day is considered auspicious as Goddess Lakshmi brings wealth and prosperity for the people who invest in Gold, Silver or buy assets on this auspicious day.

Hence, traders and investors find this occasion an auspicious time to buy stocks that will bring fortune and good luck in their lives. Though from the day of Dhanteras, which falls two days ahead of Diwali, it is considered an auspicious phase to buy such assets, but if you want to invest in stocks, “Mahurat Trading” is one of the best times you can invest your money in stocks or in other precious metals.

Is MuhuratTrading Profitable?

The stock you buy in Mahurat Trading doesn’t need to be profitable for you, but as per the mythology and devotion, a stock bought during this time brings fortune and prosperity. It is more symbolic than a profitable trading opportunity, hence it is not guaranteed that the stock will end positively even if the market closes in green. But if you hold stocks for the long term, it can give you good returns.

Also Read: Things to Consider Before Buying Stocks for Long Term: 10 points

On the other hand, profitability from stock market trading is highly dependent on your trading strategy. Before you buy a stock, you need to perform fundamental analysis and technical analysis to find the undervalued stocks that have potential to go up. And using the various technical indicators, you can get to know the right points to buy the stocks and book the profits.

Muhurat Trading Advantages and Disadvantages

Though investing in Mahurat Trading carries a deep cultural significance, it is devoted to bringing fortune and prosperity in our lives. As we said, it is not necessary that Mahurat Trading will be profitable, but it has symbolic advantages with some of the practical disadvantages that you need to know.

Advantages of Muhurat trading:

A Time to Fortunate Start: As this phase is also considered the best time to start investing in such assets, Mahurat Trading is a symbolic and positive way to start the investing journey. It has been believed that investing during this time brings lots of prosperity and fortune in our lives.

Benefit of Market Sentiment: As this day is considered an auspicious time, all the traders or investors trade in the market with positive sentiments. And this kind of positive approach makes market sentiment positive, hence most of the stocks are likely to move up, bringing a good opportunity for profitability.

Rebalance Your Portfolio: This could be the best time for experienced investors to review their portfolio and reshuffle with the new and more opportunistic stocks. Hence, Mahurat Trading could be the best time to take advantage of the festive optimism and make strategic adjustments in your portfolio.

Promotes Long-term Investing: Mahurat Trading is only a one-hour trading session, so it is not possible to earn significant profits in such a short span of time. You need to wait and hold your investment for the long term to get good returns. Hence, it also encourages investors for long-term investments.  

Also Read: Positional Trading Strategies for Long Term Trading Strategy

Disadvantages of Muhurat Trading:

Limited Time Frame: One of the biggest drawbacks of Mahurat Trading is that you will get only one hour to trade, as the market is opened only for Mahurat Trading, whether it is a weekday, weekend, or holiday. So, you get a limited time to trade and buy the right stock during this period.

Low Trading Volume: As the time frame for Mahurat Trading is limited to only one hour, the participants are also limited, resulting in low trading volume. Here, the wide difference between bid-ask spread can also make it difficult for you to execute the large orders or buy stock in huge volume.

Risk of Emotional Factors: As you know, Mahurat Trading is considered an auspicious time to trade, hence you can enter into an emotionally driven trade position. You can make your investment decision in excitement or joy of festive celebration, which can lead to impulsive behaviour while taking the right decision in investment.

Risk of Market Volatility: During Mahurat Trading, the market remains open only for one hour; this limited time duration availability for trading can make the market volatile. As a result, there could be sharp moves in the price of the stocks, making it difficult to find the best entry and exit points.

Also Read: How to Trade in High Volatile Market: Best Trading Strategies

Limited Chances of Returns: Mahurat Trading could be auspicious, but it doesn’t guarantee positive returns. The first thing is that the trading time duration is very short, and the stock market movement is affected by various factors like economic activities, sector or industry trends and the fundamentals of the company. And picking the right stock with a significant investment time horizon can bring you some positive outcomes.

How to Trade in Muhurat Trading?

To trade or participate in Mahurat trading, you need to check the timing of trading and keep logging your trading panel at that point of time. The market opens just like normal days, there will be a block deal session, a pre-open session and a normal market session. If you are a retail investor, you can participate in trading and buy the stock between the time of Mahurat Trading with the right trading strategy.

Muhurat Trading Strategy

Though Mahurat Trading is considered an auspicious time for trading or investing, you need to be cautious and trade with the right strategy that defines your investment objectives and risk appetite. As there is limited time to trade, the volume would be low and the market could be volatile, hence you need to plan a trading strategy as per the following objectives, investment goals and trading strategies.

Short-Term Trading Strategy: If you are a short-term trader, you could pick the momentum stocks or trade with a scalping technique. You need to focus on the highly liquid stocks like blue-chips or large-cap stocks. You can also pick from the main index stocks or from the futures and options segment.

Also Read: Short-Term Trading Strategies that Work in the Stock Market

Long-term Trading Strategy: In Mahurat Trading, if you are looking to buy stocks with a long-term perspective, then you need to buy the stocks of companies that are fundamentally strong. It could also be a good opportunity to reshuffle your portfolio investment, and you can invest in some good stocks. ,

Follow the Trading Rules: Participating in Mahurat Trading doesn’t mean forgetting the golden rules of trading and investing. Plan your investment goals, perform fundamental and technical analysis, avoid emotional or speculative trades, diversify your investment and trade with proper risk management.

Muhurat Trading 2025 Date and Time

As per the latest updates from both exchanges (BSE & NSE), the Mahurat Trading will be held on Tuesday, October 21, 2025. Though in the historical days, the timing was usually in the evening, but this time it will be conducted during the afternoon, and the market will open for the special session called Mahurat Trading from 1:45 PM to 2:45 PM for all segments, equity cash and futures & options.

Summing-up

Mahurat Trading is always considered an auspicious time to trade or invest in the best stocks that can bring prosperity and fortune into the life of an investor. It is organised on the Day of Diwali every year with a special trading time of one hour as scheduled by the stock exchanges.

Also Read: Trading or Investing  Which is Better and More Profitable

Though it is not always profitable, it is considered a symbolic action. Hence, plan your mahurat trading with the right strategy, and hope to invest or trade on this auspicious day with positive devotion, the Goddess Lakshmi will bring more prosperity and good fortune in your life.