Indian stock markets set for Diwali Muhurat trading on Sunday to mark Samvat 2083

The Indian stock market will hold its annual Muhurat trading session on Sunday, November 8, to mark the start of Samvat 2083. Analysts suggest investors review portfolios and consider selective, long-term investments in strong companies instead of making impulsive decisions.

Market Outlook

Market experts advise caution due to limited liquidity during the special session and benchmark indices nearing important resistance levels. Motilal Oswal Financial Services notes that Nifty valuations are attractive at 17.5 times forward earnings, which is 16 percent below the long-term average. However, small-cap stocks continue to trade at a 25 percent premium to their long-term average, requiring careful selection. For Samvat 2083, Motilal Oswal prefers banking, capital markets, manufacturing, exports, consumption, and digital sectors.

Technical Levels

Hitesh Tailor from Choice Broking expects a sideways session as indices approach resistance zones after recent gains. Tailor places immediate support for Nifty at 24,350 and resistance between 24,700 and 24,800, while Sumeet Bagadia places Nifty 50 support at 24,800 to 24,850 and resistance at 25,130 to 25,200. For Bank Nifty, support sits around 56,000 to 56,300, with resistance in the 57,500 to 57,800 range and stronger resistance at 58,000 to 58,400. Traders are advised to monitor global cues, crude oil prices, and geopolitical developments.

Context

Muhurat trading is a symbolic and auspicious one-hour trading session held across Indian stock exchanges every year on Diwali. While volumes are typically low during this festive hour, it is traditionally seen as a propitious time to initiate new financial investments for the year ahead.