Following the pandemic, the stock market became a popular alternative source of income due to its attractive returns.
However, high returns come with high volatility and risk. To be a successful trader, one needs to know when to buy and sell.
To determine the right trading time, you need to understand how the stock market in India works at different times of the day. In this article, we will explore the stock market time zones in detail.
Stock market timings in India
In the Indian stock market trading, there are two stock exchanges: the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).
These operate only on weekdays, i.e. Monday to Friday. They are closed on weekends and on National Holidays like Republic Day, Independence Day, etc.
It is essential to know that these stock exchanges operate at the same timings in different sessions. However, the trade time differs for certain commodities.
Timings of different commodities
Here is a list of trading times for different commodities on the stock exchange.
For equity market – 9:15 am – 3:30 p.m
For Agricultural commodities like Cotton – 9:00 a.m – 5:00 p.m
For international agricultural commodities – 9:00 a.m to 9:00 p.m.
For non-agricultural commodities (domestic and international) like crude oil- 9:00 a.m to 11:30 p.m.
For currency – 9:00 a.m – 5:00 p.m
Different sessions in the stock exchange
- Normal or Continuous session- 9:15 a.m – 3:30 p.m
- Pre-opening session – 9:00 a.m – 9:15 a.m.
It can be divided into three parts :
9:00 a.m – 9:08 a.m
During this interval, you can place orders for any transaction. It will be given preference over other transactions when the actual trading begins.
9:08 a.m -9:12 a.m
This interval is for price matching. In other words, during this interval, the price at which the commodity will be traded in the normal trading hours is determined. No order entry, cancellation or modification can be made during this time.
9:12 a.m – 9:15 a.m
This interval ensures a smooth transition of trading from pre-opening to normal trading sessions. No order entry, modification or cancellation can take place during this.
- Post-Closing session : 3:30 p.m – 4:00 p.m
It can be further divided into two parts :
3:30 p.m – 3:40 p.m
During this interval, the closing prices of commodities are calculated by using the weighted average prices of the stock between 3:00 pm to 3:30 pm.
3:40 pm to 4:00 p.m
Here, you can place the orders for the next day at stipulated prices. However, the bids will only be confirmed if there are sufficient buyers and sellers present for trading during this time.
Now that you are aware of the trading hours get yourself a stockbroker, open a Demat account and start trading. For more doubts, consult an expert.