Muhurat trading 2021: Key tips you should know before investing

Despite the fact that people are gradually learning to invest, financial planning is sometimes thrown around or ignored, resulting in a cascade of poor judgments. In this context, let's look at some facts that will help you plan in advance so you don't waste time and can invest smartly during this Muhurat Trading on November 4.

Keep a check on time: According to astrologers, the best time for Muhurat trade on November 4 will be between 6:15 and 7:15. This time has been set accordingly by the BSE & NSE. The block deal will happen for 15 minutes between 5:45 pm and 6:00 pm, while the pre-open session will happen between 6:00 and 6:08 p.m. So, don't forget to make an investment during this auspicious hour of the day.

Look out for all the factors: Any gains in the stock market are strongly linked to a range of external and macroeconomic factors, and they are usually used to predict whether the market will increase or decline overall. If you're investing in stocks, these aspects should be kept in mind. A few things to monitor this year include fuel prices, gold prices, and the COVID-19 pandemic and vaccination rates.

Keep a watch on the market: Traders must keep a keen watch on the resistance and support levels since markets are prone to be turbulent in either direction during Muhurat Trading. Maintaining the resistance and support levels in the center will help reduce risk and balance losses and gains, resulting in fruitful trading outcome.

Do your research: You must maintain your wits in the trading industry, as myths tend to circulate swiftly during the Muhurat Trading hour. So, avoid such erroneous information and do your research related to the facts. Keep in mind that evaluating the fundamentals and sticking to constructing a portfolio that works for you is one of the best approaches to get started. Research on each of the stocks you would like to Buy or Sell and evaluate their growth graph.

Keep realistic expectations: It's perfectly fine to hope for the best from your investments, but take into consideration that Muhurat Trading does not guarantee profits, even if a stock appears to be performing well on Diwali. It is considered as an auspicious beginning to start the trading practise for the year. So, don't hold any unrealistic expectations for stock markets, as stock success is determined by the company's fundamentals, country’s economy, as well as other macroeconomic factors.

Invest in a diversified portfolio: It is imperative to diversify your investments across asset classes in order to mitigate the effects of an economic downturn. Muhurat Trading is an excellent opportunity to diversify your portfolio with Gold mutual funds, ETFs, and sovereign bonds.

When it comes to investing, investors frequently confront the dilemma of when to enter the market. Muhurat Trading is a great time for all kinds of investors and traders to commence their journey. An hour to trade when the entire trading community is very excited, and as per past trends it is a time when the markets set off for another level of highs. This Diwali, sketch a plan for yourself, research and choose stocks that serve your goal, invest wisely in assets that have growth potential and usher in a new era of happiness and prosperity.