Muhurat Trading: A Tradition in the Indian Stock Market
Muhurat trading is a special trading session held on the occasion of Diwali, the festival of lights, in the Indian stock market. It is considered an auspicious time for trading, and it is a tradition that has been observed for more than six decades. The session is typically held in the evening and lasts for about one hour, and it is announced by the stock market exchanges.
During Muhurat trading, stock brokers offices take on a distinctly ethnic look with neatly designed rangoli patterns and innumerable diyas lined up to welcome Goddess Lakshmi. This reflects the cultural and traditional significance of the occasion. The practice of Muhurat trading is a symbolic and age-old ritual that dates back to the 1950s, and it is believed to bring wealth and prosperity to investors engaging in trading during this period.
The session is considered a time for an auspicious beginning to the traditional New Year, and investors often place token orders and buy stocks for their children. It is also a time when traders perform the Chopda Pujan (worshipping the books of accounts) on the day of Diwali before the start of trading.
Muhurat trading is not only a cultural and religious tradition but also an opportunity for investors and traders. The trading volumes are high during this session, and the market tends to be bullish due to the festive spirit focused on prosperity and wealth, which drives people to be optimistic about the economy and the stock markets. This makes it a good time for both investors and traders.
In conclusion, Muhurat trading is a significant and auspicious tradition in the Indian stock market, and it holds cultural, religious, and economic importance for the trading community. It is a time when investors and traders come together to seek prosperity and good fortune for the year ahead, making it a unique and cherished practice in the Indian financial landscape.
