Imagine you're ready to
buy or sell some shares, but suddenly you find the stock market is closed. Your
trade is delayed, your plan is affected, and you feel confused. This happens
when we forget to check the stock market holiday calendar. For every trader and
investor, it is important to know when the market is open and when it's closed.
This helps in better planning and avoids unnecessary surprises.
In India, the stock market is mainly operated through two big exchanges – the
National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE). Both are
very important and handle millions of trades daily. But like every other
system, even the Indian stock market takes a break on certain days.
Understanding Indian stock market holidays is not just about dates. It’s about
understanding the system, planning trades smartly, managing risk, and becoming
a more confident investor or trader.
Understanding the Landscape of Indian Stock Market Holidays
Regulatory Framework
Stock market holidays in
India are officially declared by NSE and BSE, usually at the end of the
previous year. These holidays are planned in coordination with other financial
authorities and are published on their official websites (you can check on the NSE
India website and BSE India website).
The decisions are made
by considering:
- National holidays observed across India,
- Important religious and cultural festivals, and
- Any special conditions like elections or
government-declared public holidays.
These exchanges plan the
holidays carefully to ensure there is minimum disruption in trading and
settlement.
Types of Market Holidays
Let’s understand the
different kinds of holidays when the Indian stock market remains closed:
National Holidays
These are holidays celebrated throughout the country. Markets are always closed
on:
- Republic Day (26th January)
- Independence Day (15th August)
- Gandhi Jayanti (2nd October)
Festival Holidays
India is a land of festivals, and many of them are considered for market
closures:
- Holi
- Diwali
- Eid
- Christmas
- Ram Navami, Guru Nanak Jayanti, Ganesh Chaturthi, and
more.
Depending on the year
and location, the list may slightly change.
Special Circumstances
Very rarely, the market may remain closed due to:
- Natural calamities
- Technical issues
- Government orders (like during the COVID lockdown in
2020)
Impact on Different Market Segments
Holidays affect
different parts of the market in various ways.
Equity Market
Equity trades follow a T+1 settlement cycle, meaning that if you buy or sell
shares today, the transaction is settled the next working day. If there’s a
holiday in between, the settlement gets delayed. For example:
If you sell shares on a
Thursday and Friday is a holiday, your settlement will happen on Tuesday, not
Monday.
Derivatives Market
In the derivatives market, holidays can affect the expiry dates of contracts.
If the expiry date falls on a holiday, it gets preponed to the previous trading
day.
Commodity Market (MCX)
The Multi Commodity Exchange (MCX) may have a slightly different holiday list.
It can be closed for the morning session but open for the evening, or vice
versa. Always check the MCX India website for exact details.
The Official 2025 Indian Stock Market Holiday Calendar (and
Beyond)
Below is the holiday
list for Indian stock markets in 2025:
Date | Day | Holiday |
---|---|---|
January 1 | Wednesday | New Year’s Day |
January 26 | Sunday | Republic Day |
March 17 | Monday | Holi |
April 14 | Monday | Dr. Ambedkar Jayanti |
April 18 | Friday | Good Friday |
May 1 | Thursday | Maharashtra Day |
August 15 | Friday | Independence Day |
August 28 | Thursday | Raksha Bandhan |
October 2 | Thursday | Gandhi Jayanti |
October 31 | Friday | Diwali Laxmi Pujan (Evening Session Only) |
November 1 | Saturday | Diwali Balipratipada |
December 25 | Thursday | Christmas |
Note: The list is
subject to change as per the exchanges’ official notification.
Make sure to check:
- Date
- Day of the week
- Occasion or reason
It helps in advance
planning of your trades and investments.
Anticipating Future
Holiday Trends
While 2025 has a fixed
list of holidays, most Indian stock market holidays follow a similar pattern
every year. National holidays remain on fixed dates, but many festivals change
every year as they are based on the lunar calendar. For example:
- Diwali, Eid, and Holi don’t have fixed dates and shift
slightly every year.
To stay prepared:
- Regularly check the official NSE and BSE websites for
future calendars.
- Subscribe to financial news apps that notify you about
upcoming holidays.
Muhurat Trading
One unique feature in
the Indian stock market is Muhurat Trading, held during Diwali. It's a special
trading session conducted in the evening, usually for 1 hour.
Why is it special?
- It’s considered auspicious to start new investments
during this time.
- Many traders and investors perform symbolic trades for
good luck.
- While the volume may be low, the sentiment is usually
positive.
NSE and BSE announce the
exact timings and date for Muhurat trading every year around October.
Strategic
Implications for Investors and Traders
Planning Trades and Settlement
Understanding holidays
helps you plan your trades better. Here’s how:
- Always check the calendar before placing a trade.
- Don’t plan important trades just before a long weekend
or festival holiday.
- Be cautious of the settlement delay during holidays.
Example:
You buy shares on a Wednesday, and Thursday is a holiday, then the transaction
settles on Friday instead of Thursday.
Managing Risk During Holiday Periods
Holiday periods often
see:
- Low trading volumes
- High volatility, especially before long weekends
This means prices can
move unpredictably due to fewer buyers/sellers. So:
- Avoid large positions just before a holiday.
- Always place a stop-loss to manage risk.
- Consider reducing exposure in volatile stocks.
Long-Term Investors and Holidays
If you're a long-term
investor, holidays won't affect your investment much. But being aware helps
you:
- Understand why the market isn't moving on a particular
day.
- Read your portfolio reports correctly.
- Track dividends or IPO allotments accurately.
It’s also helpful when
you schedule regular investments through SIPs or plan to sell for financial
goals.
Impact on IPOs and Other
Market Events
If you’re applying for
an IPO or waiting for an allotment, holidays can delay:
- Listing dates
- Refund processes
- Share credit to demat accounts
Similarly, other events
like buybacks, dividends, and rights issues may also get delayed around holiday
seasons.
Staying Updated and Reliable Resources
Official Exchange
Websites
For the most reliable information, always refer to:
- NSE India Website – Check the "Market Holidays" section
- BSE India Website – Find the calendar under
“Trading Holidays”
These sites update the
calendar well in advance and are the final authority for holiday dates.
Reputable Financial News
Outlets
Apart from official
sites, many reputed websites also publish the holiday list. These include:
These sites are
trustworthy and update regularly.
Avoiding Misinformation
Many times, holiday
information spreads through social media, WhatsApp, or unverified sources.
Always cross-check with official exchange announcements. Relying on fake holiday
lists can lead to poor trade execution and losses.
Let’s recap what we’ve
learned:
- Indian stock markets follow a well-planned holiday
calendar.
- National and festival holidays are the main
reasons for closure.
- These holidays affect trading, settlement, IPOs, and
volatility.
- Being aware of them helps in strategic planning and
risk management.
- Always check the NSE and BSE websites for confirmed and
latest updates.