Trading holidays can have a significant impact on the market when they occur. For example, if there is news or an event expected to happen on a trading NSE holidays, the markets could experience a higher level of volatility on the next trading day.
Moreover, with the advent of global trading, the holidays of other countries can also impact the Indian stock market. It is always wise to stay informed of the holiday calendar of all the major stock exchanges worldwide to be aware of potential market movements.
NSE BSE Special Trading Sessions
Both NSE and BSE have special trading sessions in place to facilitate trading on certain days:
Pre-Open Session
The pre-open session is a brief session before regular trading hours, during which investors and traders can place orders. Orders can be modified, and their rates can be adjusted within this session. During the pre-open session, the market price discovery process takes place based on the orders placed.
Call Auction Session
A call auction is a session during which an opening price for a scrip is determined based on the bids and offers received during the session. The opening price is determined based on demand and supply and then used in the regular trading session.
Closing Session
The closing session is conducted after the regular trading session and before the post-market session. This session is crucial in fixing the closing price of the scrips traded.
Things to Keep in Mind
Before investing in the stock market, knowing the trading hours and holidays is a must. Trading during a holiday could lead to a potential loss as the stock market is closed during that time. Therefore, it is essential to pay attention to the holiday schedule to invest wisely.
Moreover, global markets play a vital role in the Indian stock market, and therefore it is always wise to stay informed about global holidays that may have an impact on the Indian markets.
Conclusion
Understanding NSE BSE holidays is essential as trading during holidays can impact investment decisions. The article provided a comprehensive guide to NSE BSE holidays, including the types of holidays, trading hours, and the calendar for the year 2021. Knowing the holidays, special trading sessions, and global market movements can help make informed investment decisions in the stock market.