What is a Trading Holiday?

A
Asma Torgal |
What is a Trading Holiday?

If you have ever opened your CubePlus app on a weekday and found the markets closed, it was likely a trading holiday.

A Trading Holiday refers to a specific day when the stock markets remain closed for trading and settlement activities. On such days, no buying or selling of securities (like stocks, derivatives, or commodities) takes place on the exchanges (NSE, BSE, MCX, etc.).

What happens on a trading holiday?

  • Markets are completely shut

  • No trades will be allowed, whether they are delivery-based, intraday, or futures & options

  • The Clearing Corporation is also closed, so there is no settlement of trades

Example:

If a trading holiday falls on a national festival like Independence Day, Eid or Christmas, the stock markets remain closed for the day, and no transactions occur.

When are the trading holidays?

Every year, the NSE and BSE publish an official list of trading holidays. These include:

  • Major national festivals and public holidays

  • Weekly holidays (Saturdays and Sundays)

  • Special non-trading days declared by the exchange

Check the complete list of trading holidays for 2025

Trading vs. Settlement Holiday

While a trading holiday shuts down the market completely for that day, a settlement holiday is slightly different.

On a settlement holiday, markets are open and you can trade as usual. However, the settlement process (i.e., credit or debit of shares and funds) is paused because the Clearing Corporation does not take up settlement activity due to the Banking holiday. This leads to a one-day delay in receiving shares or funds.

But in a trading holiday, both trading and settlement activities are paused nothing moves.

Do trading holidays affect my portfolio?

Not directly. Your portfolio remains intact. However, any BTST (Buy Today, Sell Tomorrow) or intraday positions will have to be planned around such holidays to avoid delays in fund or share credits.

So, while trading holidays don’t cause any losses, they do pause your market activity, something active traders need to account for.

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