Diwali Muhurat Trading 2025: What to Expect from Nifty 50, Sensex, and Bank Nifty on October 21 as Markets Begin Samvat 2082

Nifty 50 and Sensex may open higher in Diwali 2025 Muhurat trading. Here’s what experts predict for the Indian stock markets on October 21.

Diwali 2025 Muhurat Trading: A Bright Start to Samvat 2082

As India celebrates Diwali, the country’s financial markets are set for their annual symbolic trading ritual — Muhurat Trading 2025 — marking the beginning of Samvat 2082, the new Hindu financial year. On Tuesday, October 21, 2025, Indian stock exchanges, including the BSE and NSE, will open briefly for this auspicious event.

The special one-hour session reflects optimism, prosperity, and a fresh start for traders and investors across India. Let’s take a detailed look at what to expect from Nifty 50, Sensex, and Bank Nifty during this unique trading window.

What Is Muhurat Trading and Why It Matters

Muhurat trading goes beyond being a mere tradition — it marks a fresh financial beginning for investors and symbolizes prosperity and optimism in the markets.The practice has been part of Indian markets for decades, aligning with the spirit of Diwali, the festival of wealth and prosperity.

On October 21, 2025, all major exchanges — BSE, NSE, MCX, and NCDEX — will remain closed for regular trading but will hold a special Muhurat session between 1:45 PM and 2:45 PM. Pre-open orders will be accepted from 1:30 PM, allowing investors to place trades for this one-hour festive session.

Although the trading window is short, the sentiment is often positive. Historically, markets tend to trade higher during Muhurat hours as investors place their first “auspicious” orders of the new year.

Market Recap: Bulls Dominate Ahead of Diwali

In the lead-up to Diwali 2025, Indian stock markets have maintained a consistent upward momentum. On Monday, October 20, both key benchmark indices continued their rally, marking the fourth straight session of gains.

Sensex climbed 411 points (0.49%) to close at 84,363.37.
Nifty 50 advanced 133 points (0.52%) to finish at 25,843.15.

The rally has been supported by robust corporate earnings, resilient domestic demand, and steady foreign inflows. Global markets have also provided a supportive backdrop, with U.S. equities firming up amid easing rate concerns and stable commodity prices.

Technical View: Nifty 50 Outlook

Chart Pattern Analysis

The Nifty 50’s daily chart shows a spinning top candlestick pattern, indicating uncertainty in market direction or minor profit-taking at elevated levels. According to analysts, this pattern signals temporary resistance but doesn’t alter the broader uptrend.

A senior market strategist noted that the index has achieved a clear breakout above the 24,500 level, which was a crucial resistance zone on both daily and weekly charts. Following this breakout, Nifty has maintained higher highs and higher lows — a strong sign of an ongoing bullish trend.

Key Levels to Watch

Immediate Support: 25,650 – 25,700
Immediate Resistance: 25,950 – 26,000
Next Upside Target: 26,300 – 26,500 (in the short term)

The overall market structure remains positive, and according to experts, as long as the Nifty 50 remains above 25650, the upward momentum will persist. However, any sharp intraday correction during the Muhurat session could provide a good buying opportunity.

Sensex Forecast: Momentum Intact

The Sensex, too, reflects strong momentum. The index is comfortably trading above major moving averages, confirming trend strength. With the festive sentiment adding an emotional push, the Sensex may attempt to test 84,800–85,000 levels during Muhurat trading.

Analysts believe that while short-term volatility is possible due to thin volumes, the overall market bias remains upward. Investors are expected to focus on banking, IT, auto, and infrastructure sectors, which have shown strong relative strength in recent sessions.

Bank Nifty: Sector Focused Performance

Among key indices, Bank Nifty remains an outperformer. With solid Q2 earnings from major private banks and an improving credit growth cycle, the banking index has shown remarkable resilience.

The next major resistance for Bank Nifty lies around 56,200–56,500, while support is seen near 55,000. If positive sentiment continues, a short-term move toward 57,000 cannot be ruled out.

Global Cues and Market Sentiment

1. Global Markets

Overnight gains in U.S. equities and strength in Asian peers have lifted market sentiment. The easing of inflation fears and better-than-expected earnings from tech giants have supported global risk appetite.

2. Domestic Factors

India’s economy continues to show robust growth, backed by manufacturing expansion and strong GST collections. The RBI’s balanced monetary stance and falling crude oil prices are also helping sustain investor optimism.

3. FIIs and DIIs

Both Foreign Institutional Investors (FIIs) and Domestic Institutional Investors (DIIs) have been net buyers ahead of Diwali, signaling confidence in India’s long-term growth prospects.

4. Festive Consumer Demand

With the festive season in full swing, sectors such as automobiles, consumer durables, FMCG, and jewelry are witnessing strong sales momentum — which often translates into positive stock moves.

Expert Commentary

Market analysts remain constructive on the overall outlook.
According to Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, the Nifty’s underlying trend remains positive, and the index could move toward 26,300 over the next week if momentum sustains.

He adds that “the current market action reflects an uptrend continuation with minor volatility at higher levels.” Traders are advised to stay cautious near resistance zones but maintain a buy-on-dips approach.

Other experts agree that the combination of global tailwinds, strong domestic earnings, and festive enthusiasm provides a solid foundation for continued market strength into Samvat 2082.

Investor Strategy for Muhurat Trading 2025

Muhurat trading is more about sentiment and symbolism than major positional trading. However, it can also serve as a great time to begin new long-term investments or rebalance portfolios for the year ahead.

Here are a few strategies investors might consider:

1. Go Light, Stay Positive

Keep positions smaller due to the limited one-hour session and potential for short-term volatility. The idea is to mark a fresh, positive start rather than chase short-term profits.

2. Focus on Quality Stocks

Investors may look at companies with strong fundamentals, steady earnings growth, and solid balance sheets. Banking, infrastructure, defense, and capital goods remain preferred sectors for Samvat 2082.

3. Buy on Dips

If Nifty corrects slightly toward its support zone around 25,650–25,700, it could be a good entry point for long-term investors.

4. Avoid Overleveraging

Muhurat trading volumes are relatively low, which can exaggerate intraday moves. Avoid leveraged positions or aggressive futures trades.

5. Consider SIP or Thematic Investments

For long-term wealth creation, starting a Systematic Investment Plan (SIP) or adding to thematic funds (like EV, defense, or renewable energy) can be a wise Diwali move.

Outlook for Samvat 2082: The Road Ahead

As the market steps into the new financial year, optimism is high. Analysts expect FY27 earnings growth to remain robust, driven by infrastructure spending, bank credit growth, and the manufacturing push under “Make in India.”

Valuations remain elevated, but earnings expansion could justify further upside. The government’s focus on capital expenditure, rural development, and digital initiatives will continue to support market sentiment.

In addition, India’s position as a preferred emerging market destination for global investors remains intact, thanks to its political stability and structural reforms.

Historical Performance During Muhurat Trading

Historically, the Muhurat session has been positive for Indian equities. Over the past decade, the Nifty 50 has ended higher in most years, reflecting investor optimism during Diwali.

While these gains are often modest, they set a constructive tone for the new trading year. However, traders should remember that the Muhurat session is not necessarily predictive of the entire year’s performance.

Final Thoughts

As the curtain rises on Diwali 2025, the Indian stock market stands at a pivotal moment — not just symbolically, but structurally. The combination of a strong domestic economy, steady foreign inflows, and festive momentum bodes well for investors.

The Nifty 50 and Sensex are likely to open higher during the one-hour Muhurat session, with resistance near 26,000–26,300 and support around 25,650. Bank Nifty and key sectoral indices could continue to lead the rally, while investors should remain disciplined amid thin volumes.

In essence, this year’s Muhurat trading is not just about making a trade — it’s about celebrating financial growth, prosperity, and long-term optimism as India steps into Samvat 2082 with renewed confidence.

Author’s Note

This piece is intended solely for informational and educational use. It should not be considered financial or investment guidance. Individuals involved in the market are encouraged to seek advice from certified financial professionals before proceeding with trading or investment choices.

Sources

Livemint – “Nifty 50, Sensex Today: What to Expect from Indian Stock Market in Trade on October 21 on Muhurat Trading 2025”
Business Today – “Muhurat Trading 2025: Key Factors to Watch Before Markets Open for Samvat 2082”
Economic Times – “Diwali Muhurat Trading Today: Timings, Track Record, and Strategy”
Financial Express – “Muhurat Trading 2025: Key Market Cues for Diwali Session”
HDFC Securities Technical Research Note (October 2025)

The Financial And Tech Literacy