Nithin Kamath share his point of view on new extending trading hours. Nithin Kamath tweet about that on twitter. Zerodha is india’s largest and biggest broker in indian market till date.
He told ” Extended trading hours for F&O will maybe signal the maturity of our markets.
They also level the playing field for domestic traders against international traders and are also good for capital markets businesses in terms of revenues, but I’m conflicted.
I’m unsure how it will affect the mental health of active retail F&O traders in the long term. Tracking P&L for long hours is stressful & can affect life outside trading.
Also, active traders don’t make money, primarily due to overtrading. Longer hours can accentuate this.
While it could boost revenues for the capital markets business in the short term, I’m unsure if retail investors will end up doing better.
This could then potentially lead to lower participation and liquidity in the longer run, which will affect everyone. “
No Official News Till Date
From last few days, social media was fill with rumours that the NSE is trying to get ready to extend market trading hours for both equity market and derivative segments.
However, there has been no official announcement from either the stock exchange or market regulator SEBI.
SEBI Extend Trading Hour In Case
“If the trading on the affected stock exchange does not resume to normal even one hour before the scheduled market close, trading hours for all stock exchanges would automatically get extended for additional one and half hours for that day,” said SEBI
If NSE and BSE systems servers down then SEBI will give extra one and half hour for traders to execute their trades in that time.
Effect On Indian Markets
Due to increases in trading hours, traders get extra time and it will increases their overtrading habits and finally make more losses. Thier mental health also affected by more screen timing.
Nithin Kamath also told same health problems will happen with traders.