On Diwali, stock brokers perform ‘Lakshmi Puja’ at the exchange. (file)
New Delhi:
Muhurta trading is a one-time activity that takes place in the Indian stock market during Diwali. The evening of Diwali is between 6:15 to 7:15.
It is one of the traditions that maintained its rich past with the business community, who mostly used to be the Gujarati community. Before the start of this session, investors place token orders and buy stocks for their children, which are held for longer periods and sometimes never sold. During the Muhurta session, these traders generally book their intraday profits, no matter how small they are.
It is customary for stock brokers to perform Lakshmi Puja in the exchange and then Muhurta trading takes place. It is believed that Goddess Lakshmi visits and resides at the place of worship, so merchants and shopkeepers are kept awake with all the decorative lights.
Stock brokers perform ‘Lakshmi Puja’ in the exchange and customary Muhurta trading takes place. It is believed that on the night of Lakshmi Puja, the Goddess resides at the place of worship, during which merchants and shopkeepers keep the fire burning throughout the night.
how did it start?
The tradition started with the country’s first traders. A puja is performed, new accounts are opened and new shares are bought on Diwali, which marks the beginning of the Hindu New Year. It is believed that this will start the new year in the right way.
However, there is a flip side to this trading as it is highly volatile during this session. Muhurta trading session is an excellent time to buy or sell stocks as the trading volume is high.
(Except for the title, this story has not been edited by NDTV staff and is published from a syndicated feed.)