Do you want to trade or invest in the stock market but are unsure of how to get started? Knowing how the Indian stock market timings operate is, of course, a key component of having the right information, which is essential to succeeding in the financial markets.
No matter how knowledgeable you are about the financial markets, your investment strategy can be significantly impacted by learning the stock market timings. Fortunately, India’s stock market hours are the same across the entire country, so you can buy, sell, or invest in shares during market hours from any location in India.
On Monday through Friday, the Indian stock market is typically open from 9:15 AM to 3:30 PM (Indian Standard Time). At 8:45 am, the pre-opening session starts. To find out how these timings might impact your trading and investing, keep reading.
The stock market timings in India
Regarding the timings of the Indian stock market, there are three distinct trading sessions:
Pre-opening timing
This session runs from 9 am to 9:15 am. Investors may place orders to buy or sell bonds, stocks, and other securities during this time. It is divided into three distinct parts:
- 9.00 am – 9.08 am.
During this time, all types of trade orders are accepted on the Indian stock market. The first orders entered during trading are filled before any others. Investors have an 8-minute window to make any necessary changes to their orders before the pre-opening session officially starts and no more orders can be placed.
- 9.08 am – 9.12 am.
The daily security prices are set by this section of the Indian stock market. The demand and supply prices for a security are matched in descending order to enable fair transactions between buyers and sellers. The final prices at which trading will start during regular market hours are determined by the Indian stock market using a multilateral order matching technique.
The order in which bids and offers are made during a particular session of the Indian stock market heavily influences the price at which a security is traded.
The benefits of an existing order, however, cannot be altered during this session.
- 9.12 am – 9.15 am.
This spans the Indian stock market’s pre-opening and regular trading hours. New transaction orders cannot be placed during this time. Between 9.08 and 9.12 am, wagers are final and cannot be changed.
Normal session
The Indian stock market’s primary trading period runs from 9.15 am to 3.30 pm. All transactions take place at this time using bilateral order matching, with prices determined by the supply and demand of the market.
The securities market experiences significant price volatility due to the instability of the bilateral order matching method. The stock market timings were changed to include the multi-order method, which was created for the pre-opening session, to control this instability.
Post-closing session
There are no more sales or purchases made after 3:30 pm, but the stock market continues to operate in other ways. The starting price of a share the following day is significantly influenced by the closing price, which is determined after 3:30.
The stock market timings in India include two different closing times
- 3.30 pm – 3.40 pm.
By averaging the prices of all securities traded between 3 and 3.30, the stock market’s closing price for the day is calculated. Benchmark and sector indices like the Nifty, Sensex, S&P Auto, and others calculate their closing values using the weighted average prices of listed stocks.
- 3.40 pm – 4 pm.
After the stock market closes, bids for the following day’s trade can be made; this type of order is known as an AMO, or after-market order. All bids made during this period will be accepted if there are enough buyers and sellers present. These transactions are completed at the agreed-upon price, regardless of the opening market price. AMOs may be a better option for people who are busy during regular trading hours.
As a result, the investor will profit if the opening price is higher than the closing price. Bids may be canceled between 9:00 and 9:08 if the closing price is higher than the opening share price.
Muhurat trading
Diwali is a national holiday in India that honors a religious event, so trading on the stock market is frequently halted on that day. However, the market is open for an entire hour on Diwali every year. Diwali is a day when trades are made for luck.
The Muhurat trading took place on October 24 at 6:15 p.m. in 2022, and it would take place on November 12 in 2023.
This year, the times for Muhurat trading will be made public closer to the event. As soon as we have official confirmation of the times, we will update this section.
For investors like you, the process is significantly less stressful when you know the best times to trade on the stock market. The consistent timings make it easy for traders to place orders at the appropriate times in accordance with their strategies.
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