5 Dariya News

Know about Indian Share Market timings with Bajaj Broking

5 Dariya News

20-Jun-2024

Introduction

Stock exchanges like the NSE or National Stock Exchange and the BSE help investors trade in assets like bonds, commodities etc. In this aspect, the stock market timings play a crucial role in establishing successful investment strategies. 

This is why investors need to know the Indian share market timings. This holds specifically true for traders and investors looking to invest and trade in Futures and Options. Share market timings are also important for intraday trading.  

There are many investors trading stocks online daily. With the knowledge of financial ratios, decisions.  prices, and the right share market timing, traders can make potentially profitable investment 

Indian Share Market Timings

The Indian stock market has fixed intervals during which investors and traders can participate. It is during the weekdays, between the hours of 9:15 am and 3:30 pm that investors and traders can indulge in trading stocks online. This can be done through a brokerage platform like Bajaj Broking. The timings mentioned here are the same for both the NSE and the BSE.

The Indian stock market is open during these times only during the weekdays and stays closed during the weekends and on national holidays. Diwali is a different occasion where a special one-hour trading session, known as “Muhurat Trading”, takes place. This is because Diwali is considered an auspicious day. 

For trading stocks online, investors or traders require a demat and a trading account

Timing Segments in the Indian Stock Market

There are three different sessions or divisions for trading stocks online in India

1. Pre-Opening Session:

The pre-opening session helps traders or investors to place orders to buy or sell assets or securities between 9:00 - 9:15 am. The session is further divided into three categories:

9:00 to 9:08 am

This time is specifically for placing orders to buy/sell assets. They can also modify or cancel the orders during this time. This time frame can also be recognized as the order collection time. Post the collection, orders are matched at a single price, which is also known as the open price.   

9:08 to 9:12 am

During this time the process of price matching takes place. This means that this time, demand and supply are compared. This helps traders determine the price at which a particular share or shares are trading in the stock market. 

9:12 to 9:15 am

In these three minutes, the transition from the pre-opening session to the actual trading session starts. During this time frame, traders cannot place, modify or cancel any orders.

2. Normal Trading Session:

Also known as the continuous trading session, the normal trading session lasts from 9:15 am to 3:30 pm. During this time, traders are free to buy shares or securities without restrictions. There is a bilateral order matching system in place during this time. This means that a sell order is matched with a buy order of the same price and vice versa. 

During this time, the share market remains quite volatile, leading to fluctuations in the market. As a result, this can affect prices of the shares or securities. Once the training time of 3:30 am approaches, no trades can be carried out after it.

3. Post-Closing Session:  

In the Indian stock market, the closing time is divided into two segments

3:30 to 3:40 pm

This time frame is used to calculate the closing price by taking the weighted average of all the stock prices that were traded between the 3:00 to 3:30 pm window. For the closing price of both Nifty 50 and Sensex, the weighted average price of all stocks listed on NSE and BSE are considered. 

3:40 to 4:00 pm

During this window, traders are allowed to place bids for the next day of trading. Such orders are called AMO or After-Market-Orders. If there are enough participants in the stock market during this time, every bid made during this time can be confirmed. 

Conclusion:

By knowing the share market timings, trading stocks online can become more profitable for investors and traders. With the timings in mind, investors and traders can form better investment strategies.