Will bulls stay in control during Muhurat trading? Experts decode outlook

Keeping in line with the historical trend and the ongoing momentum on Dalal Street, analysts expect a positive bias in the Muhurat trading session set to take place this Sunday, November 8. 

 

Muhurat trading is generally a one-hour trading session, which has grown into a crucial market event. The special trading session this year will be held from 2:20 PM to 3:30 PM. A 15-minute pre-opening session will take place from 2:05 PM to 2:20 PM. The markets will remain closed otherwise, with trading set to take place only during this special session.

 

Data shows that the Sensex and Nifty 50 have gained in eight of the 10 Muhurat trading sessions between 2016 and 2025. The two indices declined on only two occasions during this period, in 2016 and 2017. 

 

 

For the upcoming Samvat year 2083, which will kick off on Sunday, analysts see indices hitting fresh highs by next Diwali as valuations improve and corporate earnings recovery catches pace.  Vinit Bolinjkar, head of research at Ventura, said he sees Nifty reaching 26,500–27,000 by the next Samvat year and pegs Sensex target range at 85,500–87,000. 

 

What to expect on Muhurat trading this year?

Positive momentum in Indian equity markets could continue into Muhurat trading, supported by festive optimism, improving investor sentiment and expectations of better corporate earnings, said Abhinav Tiwari, senior research analyst at Bonanza. 

 

Sensex and Nifty closed Friday on a positive note, taking their winning streak to the seventh straight session. During this period, Sensex has gained 7782 points or 10.62 per cent to 80,434.65 and Nifty 50 has added 2331.5 points or 10.27 per cent to 25,030.35.

 

Ravi Singh, chief research officer from Master Capital Services, cautioned that while the positive momentum could sustain, the one-hour session "should not be interpreted as confirmation of a sustained rally" as it is often driven by sentiment and relatively limited participation.

 

The approach for Muhurat trading sessions should be towards build long-term wealth rather than make quick profits by focussing on quality businesses. 

 

Muhurat trading is a good occasion to start or add to quality investments with a disciplined, long-term investment strategy, said Tiwari. He advises gradual investment approach, considering global uncertainties and market volatility. 

 

Banking, consumption, infrastructure and capital goods stocks may attract investor interest due to their long-term growth potential, he added. However, global uncertainties, foreign investor flows, crude oil prices and elevated valuations remain concerns and could limit the upside. 

 

"Festive sentiment may support short-term gains, sustained market momentum will depend on corporate earnings and economic fundamentals. Investors should remain selective and avoid aggressive buying," the Bonanza analyst added.

 

Disclaimer: Views and outlook in this report belong to the brokerages and analysts cited. They do not reflect the views of Business Standard. Readers are advised to exercise discretion.