What Are Pre-Market & Post-Market Sessions on NSE & BSE?

The Indian stock market has very clear trading hours where investors will get the chance to trade for at least four days in a week. Traders and investors should know the trading hours in India to better fine-tune their plans. In addition, the pre-market as well as post-market sessions on NSE & BSE are used for beneficial order placements as well as price discovery. At the same time, other than equity trading, MCX trading gains some heights too.

Trading Hours in India

The Indian stock market is driving on the upper two, the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE). Consequently, the functions on the equities are as follows:

1. Regular Trading Session (Main Market Hours)

Opening Time: 9:15 AM IST

Closing Time: 3:30 PM IST

Days: Monday to Friday (excluding exchange-declared holidays)

Within this specific time, the traders indulge in buying and selling of stocks in real-time, where the market moves are greatly affected by national and global aspects.

What Are Pre-Market & Post-Market Sessions on NSE & BSE?

In addition to the normal market hours, NSE and BSE have pre-market and post-market sessions to further facilitate trade execution and stabilization in prices.

2. Pre-Market Session: 9:00 AM - 9:15 AM IST

The pre-market session consists of three phases:

Order Entry Period (9:00 AM-9:08 AM).

Position of Orders (9:08 AM-9:12 AM): The exchange finds the opening price dependent on demand and supply.

Buffer Period (9:12 AM to 9:15 AM): This phase prepares for the market opening.

Purpose:

Lessens volatility at the market opening.

Assists in efficient price discovery.

Provides traders the opportunity to react to overnight news.

3. Post-Market Session (3:40 PM-4:00 PM IST)

Investors can place orders for the next trading session.

On the closing price of the stock, orders will be executed.

Allows executing trades after the market closes.

Significance: Drive price stability.

Traders can change positions based on the signal of the end-of-day trends.

Better order management for the next day’s trading.

Introduction to MCX Trading

MCX trading is trading in commodity derivatives like buying and selling gold, silver, crude oil, natural gas, and agricultural products.

It is also part of SEBI's regulatory framework. The exchange provides futures and options contracts to traders for hedging against price volatility.

The Trading Hours for MCX

Unlike the equity markets, MCX operates for more hours:

Opening Time: 9:00 AM IST

Closing Time: 11:30 PM IST (extended to 11:55 PM for international-linked commodities)

Days: Monday to Friday

Why Trade on MCX?

Hedging Opportunities: Protects from price risks in commodities

Portfolio Diversification: Commodities supplement equity investments

Speculative Gains: Price changes can derive profits for traders

Leverage: Margin-based trading to grow returns.

Comparison between the Stock and MCX Trading Hours

Now, if we talk about trading hours, the regular session for NSE and BSE is from 9:15 AM to 3:30 PM, while the pre-market session runs from 9:00 AM to 9:15 AM. At the end of the regular market, post-market sessions come into play from 3:40 PM until 4:00 PM. MCX trading starts as early as 9:00 AM and runs till 11:30 PM, extending time to 11:55 PM for commodities connected to international markets.

Key Takeaways

Hence, trading hours in India will vary between equities and commodities and have considerable implications on execution and trading strategies.

The pre-market and post-market sessions on NSE & BSE aid in price discovery and opportunity trade adjustment.

MCX trading is open for all opportunities beyond the stock market in the commodity market.

By knowing market timings, a trader can be informed to take a rule regarding different trading windows.