Tag: Muhurat Trading Time

Last Updated:November 01, 2024, 13:51 IST

Over the past 15 years, Muhurat trading sessions have frequently recorded positive returns, with indices closing in the green 12 times out of 15.

The Muhurat Trading 2024 to mark the beginning of the Samvat 2081 will be conducted between 6 pm and 7 pm today.

Muhurat Trading 2024: Muhurat trading, a one-hour symbolic trading session on Diwali, holds a revered position in the Indian stock market. Steeped in tradition, it’s more than just a trading day; it’s a time when market participants embrace the hope for prosperity in the coming year. The latest Muhurat Trading 2024 to mark the beginning of the Samvat 2081 will be conducted between 6 pm and 7 pm today. Here’s what data suggest about the movement of the Indian stock markets on muhurat trading session in the past 15 years.

Over the past 15 years, Muhurat trading sessions have frequently recorded positive returns, with indices closing in the green 12 times out of 15. This positive trend underscores the festive optimism often reflected during the session, even if trading volumes remain lower than average.

In the past 15 years since 2009, only three muhurat tradings — in 2012, 2016 and 2017 — witnessed a fall with the Nifty slipping marginally by 0.3 per cent, 0.04 per cent and 0.6 per cent, respectively.

The year 2022 saw the highest jump in Nifty of 0.88 per cent on a Muhurat Trading Day since 2009.

2023 Muhurat Trading Session: A Year of Strong Gains

In 2023, the Muhurat trading session held on November 12 offered significant gains, ending as one of the strongest Muhurat sessions in recent years. The S&P BSE Sensex rose by 355 points, or 0.55%, to close at 65,259, while the Nifty50 gained 100 points, or 0.52%, closing at 19,525. Mid and smallcap stocks outperformed as well, with the BSE Midcap index climbing by 0.67% and the BSE Smallcap index surging by 1.14%. The day’s gains translated into a collective increase in the market capitalization of all companies listed on the BSE, adding an impressive ₹2.2 lakh crore to a total of ₹322.5 lakh crore.

The performance was broad-based, with 28 of the 30 Sensex stocks and 43 of the 50 Nifty stocks closing higher. Notable gainers included Coal India, UPL, Infosys, and Eicher Motors, which led the day’s gains. The robust performance of large-cap, midcap, and smallcap stocks reflected strong investor sentiment and enthusiasm for the year ahead.

Historical Muhurat Trading Trends

Over the years, Muhurat trading has generally aligned with positive market sentiment. The index typically posts gains, reflecting the collective belief in Diwali’s auspicious timing for wealth-building. Here’s the performance of some recent Muhurat trading sessions:

2022: The indices gained around 1%, maintaining a bullish sentiment amid an uncertain global environment.

2021: Muhurat trading recorded a modest 0.5% increase, driven by a post-pandemic recovery.

2020: The markets reflected pandemic optimism, rising by 0.47%.

2019: Despite global economic uncertainties, indices rose by 0.37%.

2018: Another positive year, with a 0.7% increase in the indices.

Some years, however, did see declines. For instance, the Sensex dropped by 0.6% in 2017, slipped 0.04% in 2016, and fell 0.3% in 2012. These dips were often influenced by global headwinds or local economic concerns that tempered Diwali optimism.

The performance of Nifty in the last 15 muhurat trading days:

• 2023: 0.52%
• 2022: 0.88%
• 2021: 0.5%
• 2020: 0.47%
• 2019: 0.37%
• 2018: 0.7%
• 2017: (-) 0.6%
• 2016: (-) 0.04%
• 2015: 0.5%
• 2014: 0.2%
• 2013: 0.2%
• 2012: (-) 0.3%
• 2011: 0.2%
• 2010: 0.5%
• 2009: 0.02%

Muhurat Trading’s Symbolic Value and Market Sentiment

While Muhurat trading remains largely symbolic, it frequently serves as a reflection of investor optimism and market resilience. Its generally positive returns, even during challenging times, make it a unique annual event in Indian markets. For investors, the day isn’t just about potential gains but also about starting the year on a prosperous note. The consistent performance of Muhurat trading sessions over the years reinforces the idea that tradition, combined with a positive outlook, often brings fruitful outcomes.

The 2023 session stands as yet another affirmation of the Muhurat trend, where markets closed higher, reflecting the vibrant spirit of Diwali and the market’s steady resilience.

Diwali Muhurat Trading 2024: Best Stock Picks

Here are top Diwali stock ideas from top brokerages:

Sharekhan: Allied Blenders & Distillers, Bajaj Finserv, Bharti Airtel, Caplin Point Laboratories, Dabur, Dee Development, Hi-tech Pipes, HUDCO, L&T, Mastek, Powergrid, RIL, SBI, Suntech Realty and Tata Motors.

SBI Securities: Coal India, Macrotech Developers, Bharti Hexacom, Glaxosmithkline Pharma, Nippon Life AMC, Escorts Kubota, Chalet Hotels, Newgen Software, Titagarh Rail, PG Electroplast, Arvind Fashions and Kilburn Engineering.

Motilal Oswal: ICICI Bank, HCL Tech, L&T, Titan, Zomato, IPCA, Angel One, Five Star, Amber and Zen Tech.

Axis Securities: Gravita India, Arvind Smart Spaces, Inox Wind, KPIT Technologies, HG Infra, AU Small Bank, Lupin, Indian Hotels and UNO Minda.

HDFC Securities: Bank of India, JK Lakshmi Cement, Jyothy Labs, L&T Finance, NALCO, Navin Fluorine, NCC, PNB Housing Finance, RIL and SBI as Diwali stock picks.

Kotak Securities: Aadhar Housing, Axis Bank, Fiem Industries, Gravita India, Godrej Agrovet, JB Chemicals, SH Kelkar and Zomato.

“Samvat 2081 can be the year of consolidation for the first few months followed by the likely beginning of an uptrend post next Union Budget 2025-26 which is likely to be presented in the month of February 2025,” said SBI Securities in its report.

Sharekhan said the time has come for rebalancing portfolio and increasing exposure to large caps and at the same time cutting exposure in the small and midcap space, and be very selective, while investing in small and microcaps and exiting companies, where valuation is at astronomical levels with little margin of safety.