When is the stock market closed - 3rd or 4th March?

As we approach the first week of March 2026, there is a lot of confusion among Indian traders and investors about the upcoming stock market holiday for Holi. This is because Holi festivities fall over two days in the year 2026, with Holika Dahan falling on March 3 and Rangwali Holi (also known as Dulandi) on March 4, making the confusion among investors completely justified.To clear the air, the official holiday calendars released by the exchanges show that the Indian stock market will be closed on Tuesday, March 3, 2026.Stock market holiday On Tuesday, March 3, 2026, trading will be completely suspended throughout the day on all the major segments of the National Stock Exchange (NSE) as well as the Bombay Stock Exchange (BSE). This comprehensive closure implies no trading activity in the Equity Segment (Cash market), Equity Derivatives (Futures & Options), Currency Derivatives or the Securities Lending & Borrowing (SLB) windows. Investors will not be able to execute any buy or sell orders in these segments, and pending standard orders will be cancelled until the market officially opens the next day.However, the Multi-Commodity Exchange (MCX) and the National Commodity & Derivatives Exchange (NCDEX) will follow a split schedule on Tuesday, March 3rd. The morning session between 9:00 AM and 5:00 PM will remain closed, the evening session will open between 5:00 PM and 11:30/11:55 PM, allowing traders to capitalise on global price movements.On Wednesday, 4th March 2026, the market will be open for regular trading activities.What impact does it have on the T+1 settlement cycle?India's equity markets currently follow the T+1 settlement cycle, which implies that trades are settled by the next business day. Market holidays have a direct impact on how fast funds and shares are credited. Trades executed on Monday, March 2, will normally settle on Tuesday, March 3, under the T+1 settlement cycle. However, since it is a Holi market holiday on Tuesday, the settlement of Monday's trades will be postponed to Wednesday, March 4.This is important for traders who require funds or shares to be available before a specific date. So if a market participant sells shares or closes positions on Monday and plans to withdraw the funds on Tuesday, the funds will not be available until Wednesday. Similarly, any shares bought on Monday will be credited to their demat account on Wednesday, not Tuesday. Traders who intend to use the proceeds from Monday's equity trades to fund positions on Wednesday should account for this settlement gap.Why the confusion between March 3 and March 4?The reason for the ambiguity is that Holi celebrations in 2026 will be divided into two days because of the Purnima Tithi and Total Lunar Eclipse (Chandra Grahan) occurring on March 3rd. Holika Dahan is officially scheduled for March 2 in the evening or the early morning of March 3.While the rangwali Holi, which is a celebration with colours, is scheduled on Wednesday, March 4. However, in the financial markets, the exchanges have fixed the date of March 3 as a non-trading and clearing holiday. Market participants can anticipate normal trading volume and settlement cycles to resume from Wednesday, March 4.What should market participants do?Holiday breaks, especially mid-week breaks, present some unique risks and opportunities for market participants. Here’s how they should prepare:Check margin requirements: Since Tuesday is a stock market holiday, market participants should make sure that their accounts are well funded by the end of Monday evening. If global markets move sharply during the time Indian markets are closed, then Indian markets can have a gap-up or gap-down opening on Wednesday, potentially leading to margin calls.Manage overnight positions: If you are an intraday trader or a high-leverage F&O trader, then consider reducing your position size on Monday. Carrying heavy positions over a holiday makes you vulnerable to event risk.Consider settlement delays: March 3rd is also a settlement holiday. This means if a market participant sells their shares on Monday, March 2nd, and due to the T+1 settlement cycle, the trades are settled on the next business day, thus it will be settled on March 4th.Final thoughtsTraders and investors should mark Tuesday, March 3, 2026, as a trading holiday for the equity and derivative markets on the NSE and BSE in observance of Holi. While the equity markets are completely shut, the commodity traders will still have the opportunity to take advantage of the global price movements in the evening session of MCX.With a holiday-heavy month ahead, maintaining strict margin discipline and planning derivative expiries closely will be key to successfully navigating the month of March. Thus, market participants should make sure that their portfolio is well-prepared for the upcoming holidays in the month of March.

When is the stock market closed - 3rd or 4th March?

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