Stock market holidays in 2026: What to take care of while considering the Settlement & Trading Holidays?

Every year the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE) publish an official list of market holidays. It is important to take note of these holidays, as they might have a direct impact on trading activity, settlement timelines, and liquidity planning.

Stock market holidays in 2026: Quick overview

This year, the stock market will observe 15 trading holidays across national and religious occasions. A trading holiday means trading will be suspended in both equities and derivatives segments across both NSE and BSE.

Below is the list of Trading holidays in 2026.

Note: November 8, 2026, shall be a trading holiday on account of Diwali Laxmi Pujan. Muhurat Trading will be conducted on that day. Timings of Muhurat Trading shall be notified subsequently through a circular.

The holidays falling on Saturday / Sunday are as follows:

Below is the list of Settlement holidays in 2026.

Trading holidays vs settlement holidays

A trading holiday refers to a complete shutdown of the stock exchanges. No transactions are permitted across equities, derivatives, or currency segments. Examples include Republic Day on January 26, 2026, and Christmas on December 25, 2026.

A settlement holiday is when trades can be placed normally, however, due to bank or depository closures, the transfer of funds is executed on the next trading day. 

How settlements work around market holidays

The settlement cycle in India functions on a T+1 rolling period, which was introduced on January 27, 2023. Under this framework, trades executed on a given day are settled on the next business day. On a regular trading day, securities and funds are exchanged within this one-day window.

What traders should take care of around stock market holidays

As a trader and investor, it is essential to plan trades according to the holidays, as trading activity, settlement timelines, and liquidity planning may have an impact on the trades. 

A few things to keep in mind are:
1. If a futures or options expiry falls on a trading holiday in a derivatives position, it shifts to the previous trading day. This could affect the trader's margin requirements and exit schedules.

2. Before the holidays, market participants frequently square-off their positions, which lowers market liquidity. When markets reopen, this could lead to larger bid-ask spreads, increased volatility, and price gaps.

3. Settlement holidays may cause delays in margin collection and fund settlements.  Maintaining sufficient margin buffers, avoiding excessive leverage, and keeping settlement holidays apart from trading holidays are all important for traders.

Conclusion

There are 15 trading holidays alongside several settlement holidays in 2026 published by the NSE and BSE which might impact trades in the stock market. It is important to plan positions, monitor expiry schedules, and maintain operational buffers accordingly so that one is better equipped to manage the shifts.