What’s in the blog?
This blog decodes the tradition of Muhurat Trading — its cultural roots, market behaviour, and what it truly means for investors. It helps you understand whether this one-hour Diwali ritual is an auspicious start or just market sentiment wrapped in celebration.
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The stock market, no matter where you go in the world, runs on the same fundamentals — demand, supply, and a bit of sentiment. But there’s one concept that’s uniquely Indian — Muhurat Trading.
This one-hour trading window is rooted in our deep belief of inviting Goddess Lakshmi into our lives. Since childhood, we’ve all seen our families buy silver coins, utensils, or even brooms on Diwali, not because they needed them, but because it was shubh.
You know what, only when I grew up and stepped into the world of finance did I realise that this idea of attracting Lakshmi goes far beyond our mothers’ Diwali shopping lists. It exists in our trading terminals too!
So if you’re a new trader, you’re probably just as excited about the Muhurat Trading hour of 2025.
But before you hit that buy button, let’s pause for a minute and ask — does trading in this one hour really make a difference to your portfolio, or is it just a feel-good tradition that connects us back to our roots?
What Is Muhurat Trading?
We can understand Muhurat Trading as the Indian stock market’s way of celebrating Diwali. It’s a one-hour special trading session conducted by the BSE and NSE, marking the start of a new Samvat year (the traditional Hindu financial year).
The word ‘Muhurat’ means auspicious time, and this hour is a symbolic beginning, not a profit-hunting session. Many families place small, thoughtful trades during this time, as a gesture of gratitude and hope for prosperity in the year ahead.
This practice has been part of market tradition for decades. Most Stock brokers decorate their offices, perform Lakshmi puja, and make their first trade as a shubharambh (good start) to the new financial year.
In 2025, Muhurat Trading will be held on October 21 (Tuesday) between 1:45 PM and 2:45 PM, as per the announcements of the exchanges.
How Does the Market Behave During Muhurat Trading?
Historically, the Sensex and Nifty have ended the Muhurat session in the green more often than not. But let’s be honest, it’s not fundamentals driving the rally during this hour; it’s the sentiment.
Trade volumes are usually lower than normal, as institutional participation remains limited. Yet, volatility can spike because of the festive enthusiasm. Most trades come from retail investors and long-time brokers who see it as a symbolic gesture not a serious trading opportunity.
Many investors buy a few quality stocks, often from their watchlist, to mark a ‘shubh shuruaat’ (auspicious start). It’s less about chasing returns and more about building intent for the new Samvat year.
To put it in numbers, in the past decade, Sensex closed positive in over 70% of Muhurat sessions. Even if gains are modest, often under 1%, the tone is almost always optimistic.
| Year | Sensex Closing | % Change |
|---|---|---|
| 2024 | 24,304.35 | +0.39% |
| 2023 | 19,525.55 | +0.51% |
| 2022 | 17,730.75 | +0.88% |
| 2021 | 17,916.80 | +0.49% |
| 2020 | 11,669.15 | +0.36% |
| 2019 | 11,890.60 | +0.37% |
| 2018 | 10,530.00 | +0.38% |
| 2017 | 10,363.65 | -0.23% |
| 2016 | 8,625.70 | -0.04% |
| 2015 | 8,065.80 | +0.50% |
So, is Muhurat trading an auspicious start or just a market hype?
Honestly, the answer depends purely on your perspective. It’s true that markets usually glow a little brighter on Diwali evening. But it’s sentiment, not strategy, that drives the color of the candles that day.
If you believe in the tradition and treat this hour as a symbolic start and for positive intention setting then it’s an auspicious time for you because it carries the spirit of optimism. But, if you see it as a trading opportunity to make gains, this hour will probably feel like a market hype.
Anyways, Lakshmi (wealth and prosperity) doesn’t come from a single trade. She rewards those who stay consistent, patient, and wise through the year.
Tips for Investors During Muhurat Trading
Now, if you plan to participate in Muhurat Trading 2025, approach it with the right intent. Remember that the goal isn’t to chase profits, but to start the new Samvat year with clarity and purpose.
Here are a few pointers to make the most of this auspicious hour:
- Plan Your Trades in Advance – Decide what you want to buy before the session begins. This keeps you focused and prevents impulsive, emotion-driven decisions.
- Focus on Quality Stocks – Stick to blue-chip or fundamentally strong companies, the ones you wouldn’t mind holding for years. Avoid penny or speculative stocks that promise short-term excitement but long-term risk.
- Keep It Symbolic, Not Strategic – This isn’t the time for aggressive trading or high exposure. A small, meaningful investment is enough to mark the beginning of a prosperous financial year.
- Review, Reflect, Rebalance – Use this day to review your existing portfolio, reflect on what worked (and what didn’t) in the past year, and set clear goals for the year ahead.
- Stay Grounded in Discipline – Faith and optimism are great but consistency and discipline build wealth. Don’t let festival emotions override sound financial judgment.
Make this hour more about how you think about money rather that what you buy. Use this as a reminder that wealth isn’t created in one lucky hour, but through the patience and persistence that follows it.
My Take
Muhurat Trading, if you ask me, is less about timing the market and more about tuning your mindset. It’s that one hour where faith meets finance. This hour works great as a reminder that wealth is not simply about numbers but about intent, discipline and gratitude.
Honestly, trading during this session won’t change your financial trajectory overnight. But the symbolism matters. It will set the tone for how you’ll approach the year ahead. If you start with clarity, optimism, and restraint, you’ve already done better than most traders chasing luck.
So this Diwali, as you light your diyas and place your trades, remember Lakshmi stays where there’s patience, balance, and wisdom.
May your journey in Samvat 2082 be guided by both light and logic. Happy Muhurat Trading and Happy Diwali.
Frequently asked questions (FAQ)
Yes, you can place buy and sell orders just like on a regular trading day. However, since the window lasts only an hour and volumes are thin, execution speed and liquidity can vary. Prices may move quickly, so you should use limit orders instead of market orders.
No, it doesn’t. Muhurat trading and it’s impact ends in that one hour only. From the following sessions, market drivers take their position right back.
Yes. Both major exchanges, BSE and NSE, hold the Muhurat session simultaneously. The derivatives, equity, and commodity segments typically follow similar one-hour schedules, announced by exchanges a few days before Diwali.
Yes, NRIs with valid Indian trading accounts and demat access can participate. However, they should consider time-zone differences and ensure their broker provides access during the one-hour session.
