When planning a strategy or reviewing annual returns, many people make the mistake of using all 365 calendar days. However, since the stock market doesn’t operate every day, counting all days can produce misleading results. With India’s investor base expanding stronger than ever, crossing 12 crore unique registered investors on the NSE by September 2025, understanding the exact number of trading days in a year becomes even more important. This blog explains how many trading days in a year and why that figure matters for accurate market analysis.
What is a Trading Day?
In simple terms, a trading day is any official day when a stock exchange is open for business. For the Indian market, this refers to the days when the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE) are operational. On these days, market participants can buy and sell securities during the official market hours (typically 9:15 AM to 3:30 PM IST). This definition specifically excludes weekends (Saturdays and Sundays) and public holidays listed by the exchange
How Many Trading Days Are There in a Year
The total count of trading days is not a fixed number; it fluctuates from one year to the next. This variation is crucial to understand for accurate financial analysis and planning.
Typical Average and Recent Data
While the number of trading days in a year changes annually, it generally stays within a narrow range. For the Indian stock market, the typical average is around 250 to 252 trading days. This figure provides a reliable baseline for long-term financial modeling.
However, for precise, year-specific analysis, you must use the official calendar. The trading days calendar provides a specific count. According to the official circular released by the National Stock Exchange (NSE), there will be 247 trading days in 2025.
Why the Number is Not Always the Same
To understand why trading days vary, note that the total number changes annually because of three primary reasons.
- Holiday schedule: The primary reason for the variation is the list of market holidays. In India, this list includes national holidays and important religious and cultural festivals. The dates for many of these festivals change each year.
- Holidays on weekends: The total count is affected by how many of these holidays fall on a weekend. If a scheduled holiday, like Diwali, falls on a Saturday or Sunday, it does not reduce the trading day count because the market was already closed. A year with many holidays falling on weekends will have more trading days. A year where most holidays land on weekdays will have fewer trading days.
- Leap years: Every fourth year, the calendar gains an extra day, influencing the yearly count. If this day is a weekday, it adds one potential trading day to the year’s total count.
How to Calculate Trading Days in a Year
Calculating the total trading days for any given year is a simple process. It involves a simple three-step subtraction.
- First, you start with the total number of calendar days in the year, which is 365 in a common year or 366 in a leap year.
- Second, you subtract all the weekend days. Since there are 52 weeks in a year, this means subtracting 104 days (52 Saturdays and 52 Sundays).
- Third, you must subtract the number of official stock market holidays for that year. It is important to use the official holiday list published by the exchanges (NSE/BSE), not just a standard government list, as they can differ. You must also be careful to only count holidays that fall on a weekday (Monday-Friday). If a holiday like Republic Day falls on a Sunday, it is already accounted for in the 104 weekend days and is not subtracted again.
The final number is your total trading days.
(365 or 366) – (Total Weekend Days) – (Weekday Market Holidays) = Total Trading Days
For example, the calculation for 2025 in India is:
365 (Days in 2025) – 104 (Weekends) – 14 (Weekday Holidays in 2025) = 247 Trading Days.
Trading Days by Quarter, Month & Special Year
The total number of trading days in a year is not distributed evenly across all months or quarters. Some months have multiple holidays, while others have none. On average, an Indian trading month contains about 20 to 21 trading days, and a quarter has approximately 62. This can change based on the holiday schedule. For example, April 2025 in India has multiple holidays, making it a shorter trading month.
A special feature of the Indian trading calendar is ‘Muhurat Trading‘. This is a one-hour special trading session that happens on the evening of Diwali (Laxmi Pujan). Even if Diwali falls on a holiday (which it does in 2025), this special session is still held.
The table below shows the trading holidays for India’s NSE and BSE for 2025, which are:
| Holiday | Date (2025) | Day |
| Mahashivratri | February 26 | Wednesday |
| Holi | March 14 | Friday |
| Id-Ul-Fitr (Ramzan Id) | March 31 | Monday |
| Shri Mahavir Jayanti | April 10 | Thursday |
| Dr. B. R. Ambedkar Jayanti | April 14 | Monday |
| Good Friday | April 18 | Friday |
| Maharashtra Day | May 1 | Thursday |
| Independence Day | August 15 | Friday |
| Ganesh Chaturthi | August 27 | Wednesday |
| Mahatma Gandhi Jayanti / Dussehra | October 2 | Thursday |
| Diwali – Laxmi Pujan (Special Muhurat session only) | October 21 | Tuesday |
| Diwali – Balipratipada | October 22 | Wednesday |
| Prakash Gurpurab (Sri Guru Nanak Dev Ji) | November 5 | Wednesday |
| Christmas | December 25 | Thursday |
In addition, a few holidays in 2025 fall on weekends, so they do not affect the total trading day count. These are:
| Holiday | Date (2025) | Day |
| Republic Day | January 26 | Sunday |
| Shri Ram Navami | April 6 | Sunday |
| Bakri Id (Eid al-Adha) | June 7 | Saturday |
| Muharram | July 6 | Sunday |
Global Differences: Other Markets Compared
The number of trading days in India is specific to the NSE/BSE holiday calendar. Whereas, trading days in the U.S. stock market and other nations follow a different schedule. A comparison of major global markets includes:
| Country/market | Exchange(s) | Approximate avg. trading days | Market timing (Local Time) |
| United States | New York Stock Exchange (NYSE), NASDAQ Stock Market (NASDAQ) | 252 | 9:30 AM – 4:00 PM (ET) |
| United Kingdom | London Stock Exchange (LSE) | 252 | 8:00 AM – 4:30 PM (GMT) |
| India | National Stock Exchange (NSE), Bombay Stock Exchange (BSE) | 247–248 | 9:15 AM – 3:30 PM (IST) |
| Australia | Australian Securities Exchange (ASX) | 251 | 10:00 AM – 4:00 PM (AEST) |
| Hong Kong | Hong Kong Exchanges and Clearing Limited (HKEX) | 245 | 9:30 AM – 4:00 PM (HKT) |
| Japan | Tokyo Stock Exchange (TSE) | 245 | 9:00 AM – 3:00 PM (JST) |
| Singapore | Singapore Exchange (SGX) | 250 | 9:00 AM – 5:00 PM (SGT) |
| Canada | Toronto Stock Exchange (TSX) | 252 | 9:30 AM – 4:00 PM (ET) |
Why This Number Matters for Traders & Investors
The total count of trading days is more than a piece of trivia; it is a vital metric for market participants. The importance stems from factors such as:
- Derivatives pricing
The pricing of options (calls and puts) is heavily dependent on “time to expiration.” The calculation relies on trading days instead of total calendar days. An option’s Theta” (time decay) accelerates as it nears expiration. A 30-calendar-day option expiring in a month with many holidays has fewer trading days, and thus less “time value,” than one expiring in 30 calendar days with no holidays.
- Financial modeling
Many financial models, especially those for pricing options and other derivatives, use the number of trading days as a key input. It measures time decay, meaning how quickly an asset such as an option declines in value with passing time.
- Volatility and risk calculation
Financial metrics like standard deviation (a measure of risk) are calculated using trading day data. Annualised volatility equals daily volatility times the square-root of yearly trading sessions (about √250). A different denominator changes the risk profile.
- Backtesting strategies
When a person tests a new trading idea using historical data (backtesting), the results depend on the number of trading days in that period. A strategy tested over a “month” must use the 21 trading days in that specific month, not 30 calendar days.
- Performance and goal setting
Understanding how many stock market trading days in a year remain helps in managing portfolios. If an investor is reviewing performance in October, they know there are roughly 60-63 trading days left in the year, not 90.
Practical Tips: Using Trading Day Data in Strategy & Planning
Individuals can use trading day information to improve their market awareness and planning, which include:
- Bookmark the exchange calendar: The most practical step is to find the official “Market Holidays” list on the NSE or BSE website at the beginning of each year. This prevents any confusion about when the market is open.
- Special sessions: Be aware of unique sessions like Muhurat Trading. This one-hour symbolic session on Diwali is an official trading day, but with different timings and often specific sentimental, rather than technical, drivers.
- Settlement cycles: Remember that settlements (T+1 in India, meaning shares are credited one trading day after purchase) also rely on working days. This can be affected by clearing holidays (when banks are closed), which are sometimes different from trading holidays.
- Managing expirations: Be aware of monthly and quarterly expirations for futures and options (F&O). In India, these are typically on the last Thursday of the month. However, if that Thursday is a trading holiday, the expiry date shifts to the preceding trading day (usually Wednesday). This can catch unaware traders by surprise.
- Adjust periodic calculations: When reviewing monthly performance, always note the number of trading days in that specific month. A 2% gain in February (19 trading days) is different from a 2% gain in August (22 trading days).
- Differentiate day types: Always clarify if a calculation uses “calendar days” or “trading days.” Interest on a savings account or a loan might use 365 calendar days, but calculations for stock market returns or volatility must use the ~250 trading day count.
- Use averages for long-term planning: For estimating long-term financial models (e.g., 5 or 10 years), it is more accurate to use a stable average, such as 248 trading days per year for the Indian market, than to use 365.
Conclusion
The true rhythm of the market is measured in trading days, not calendar days. Knowing how many trading days in a year is the first step in providing the correct denominator for all your risk and return calculations. This simple figure is what separates an informed investor from a casual observer, refining your entire market perspective and making every strategy you build more robust and accurate.
FAQs
There are typically around 250 trading days a year in the Indian stock market. In 2025 specifically, there will be 247 trading days, accounting for weekends and official market holidays observed by NSE and BSE.
A trading day is any official day when stock exchanges like NSE and BSE are open for buying and selling securities during market hours, excluding weekends and exchange-declared public holidays.
The number varies due to the timing of national holidays, religious and cultural festivals which affect weekdays. If holidays fall on weekends, they do not reduce trading days. Leap years adding extra weekdays also influence the count.
No, trading days vary by exchange and country. For instance, NSE/BSE have around 247-250 trading days, while markets like NYSE or LSE generally have about 252. Differences arise from distinct holiday calendars and market timings.
Subtract weekends (104 days) and all official stock market holidays that fall on weekdays from the total calendar days (365 or 366). The result is the total stock market trading days for that specific year.
On average, each quarter has about 62 trading days, though this can vary monthly depending on the number of holidays. For example, some months like April may have fewer trading days due to multiple holidays.
In 2025, there will be 247 trading days on Indian stock exchanges, considering the official holiday calendar, weekends, and the effect of holidays coinciding with weekends, based on the NSE/BSE schedule.
