Stock Markets Open This Saturday, January 20, 2024!

Table of Contents

Stock market's Special live trading session on Disaster Recovery site

Special live trading session on Saturday, January 20, 2024 by NSE and BSE in the Equity and F&O (Futures and Options) segments.

There’s a special live trading session on Saturday, January 20, 2024, organized by NSE and BSE for Equity and F&O segments. This is part of a safety measure required by SEBI, the market regulator. They want stock exchanges to check their backup systems in a live session to ensure smooth operations in case of any issues as part of their Business Continuity Plan (BCP).

This session will be conducted in two parts as mentioned below:

Trading Session I - Live trading from Primary site

Segment	Market	Open Time	Close Time
Equity	Pre- Open Market	9:00 AM	9:08 AM
Equity	Normal Market	9:15 AM	10:00 AM
Equity F&O	Normal Market	9:15 AM	10:00 AM

Trading Session II – Live trading from DR site

Segment	Market	Open Time	Close Time
Equity	Pre- Open Market	11:15 AM	11:23 AM
Equity	Normal Market	11:30 AM	12:30 PM
Equity	Closing Session	12:40 PM	12:50 PM
Equity F&O	Normal Market	11:30 AM	12:30 PM

Here are the key points to remember for trading on January 20th:

Order Cancellation: Any pending orders from the first session will be canceled before the second session starts. You’ll need to place those orders again in the second session if they weren’t executed in the first one.
Intraday Orders: Intraday orders (like MIS, Cover order, and Bracket order) won’t be allowed for both equity and F&O segments. Also, stop loss orders won’t carry over.
Funds Availability: Any profits made on January 19th won’t be considered as available funds for trading on January 20th. This is due to a settlement holiday.
Selling Shares: It’s recommended not to sell shares on January 20th that were bought on January 19th. Both trading days settle on the 22nd, and selling on the 20th might lead to share auctions.
After Market Orders (AMO): Orders placed on Friday will be executed on Saturday.
SIP Execution: Scheduled Systematic Investment Plans (SIP) for January 20th won’t be executed during this special live trading session.

This is important to ensure everything runs smoothly, and it’s like a practice session for the stock exchanges to handle emergencies.

For more details refer Exchange Circulars:

What Is a Business Continuity Plan (BCP) ?

A Business Continuity Plan (BCP) for the Indian Stock Market is a comprehensive strategy designed to ensure the continued operation of the stock market and its participants in the face of various disruptions, including natural disasters, technological failures, or other emergencies. The BCP aims to minimize the impact of such disruptions on the financial system and maintain market integrity.

Here are some general components that are typically included in such plans:

1. Risk Assessment:
  - Identify potential threats and vulnerabilities that could disrupt normal business operations.
  - Evaluate the potential impact of these disruptions on the stock market.
2. Business Impact Analysis (BIA):
  - Assess the critical functions and processes of the stock market.
  - Identify dependencies between different market participants, infrastructure, and systems.
3. Preventive Measures:
  - Implement measures to prevent or mitigate identified risks.
  - Develop strategies to enhance the resilience of critical systems.
4. Emergency Response Plan:
  - Establish protocols for responding to emergencies and initiating the BCP.
  - Define roles and responsibilities for key personnel during a crisis.
5. Communication Plan:
  - Develop a robust communication strategy to ensure timely and accurate information dissemination.
  - Establish communication channels with market participants, regulatory authorities, and the public.
6. Alternate Site and Infrastructure:
  - Identify alternate sites for trading, clearing, and settlement operations.
  - Ensure redundancy in critical systems and infrastructure to minimize downtime.
7. Testing and Training:
  - Regularly conduct drills and simulations to test the effectiveness of the BCP.
  - Provide training to key personnel on their roles and responsibilities during a crisis.
8. Coordination with Regulators and Authorities:
  - Collaborate with regulatory bodies and government agencies to align BCP efforts with broader financial stability initiatives.
  - Ensure compliance with regulatory requirements related to business continuity.
9. Documentation and Reporting:
  - Maintain comprehensive documentation of the BCP, including procedures, contact lists, and recovery plans.
  - Report incidents and outcomes to relevant stakeholders and authorities as required.
10. Continuous Improvement:
  - Periodically review and update the BCP based on changes in technology, regulations, and market dynamics.
  - Incorporate lessons learned from exercises and real incidents to enhance the effectiveness of the plan.

It’s crucial for all market participants, including brokers, banks, and other financial institutions, to be familiar with and adhere to the guidelines outlined in the BCP to maintain the stability and resilience of the financial system.