
Trading Rules on Sunday - Budget Day 2026
Markets are open on Sunday, 1 Feb 2026 but it is still a settlement holiday. This means all trades done on this day will be settled on the next working day (Monday). Same-day (T+0) settlement will not be available for this special Sunday session. Also, since banks will remain closed on Sunday, fund transfers through regular banking channels may be delayed. Investors are advised to use UPI or instant transfer options for smoother fund movement.
In This Article
- Introduction
- Market Timings on Budget Day (1 February 2026)
- Settlement Holiday: 1 February 2026
- Trading & Settlement Rules You Should Know
- How Friday Trades (30 January) Affect Your Funds on Sunday
- Quick Summary: Budget Day Trading Rules
- In Simple Words
Introduction
The Indian stock market will remain open on Sunday, 1 February 2026, a special trading because the Union Budget 2026 will be presented on that day. This will allow investors and traders to respond immediately to policy announcements, tax changes, and sector-specific measures announced in the Union Budget. So even though it’s a Sunday, equity, derivatives, and other market segments will be open for trading.
However, while trading will function normally on NSE and BSE, settlement and fund movements will not. Since 1 February 2026 is a settlement holiday, there are a few important rules you will need to understand before placing trades on Friday and also Sunday.
Let’s understand what things you need to take care of to plan your trades well.
Market Timings on Budget Day (1 February 2026)
Trading hours will remain the same as a regular trading day:
- Pre-Open Session: 9:00 AM – 9:08 AM
- Normal Market Session: 9:15 AM – 3:30 PM
There is no early close or extended session. For detailed information on market timings for all segments, click here.
Settlement Holiday: 1 February 2026
This is the most critical part to understand.
Although trading is allowed, settlement will not happen on Sunday. All trades executed on Friday, 30th January will be settled on Monday, 2 February 2026, the next working settlement day.
- Stock bought on Friday 30th Jan will come in DP on 2nd Feb at 12 noon. (Early payin possible during the day on 2nd Feb for shares you sold)
- Stock bought on Sunday 1st Feb will come in DP on 2nd Feb at 9:30pm evening. (Early payin not possible during the day on 2nd Feb for the shares you sold)
This impacts BTST trades, withdrawals, fund availability, and same-day settlement.
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Trading & Settlement Rules You Should Know
No Same-Day (T0) Settlement
Since it’s a settlement holiday:
- T0 / same-day settlement will not be available.
- All trades done on Sunday will follow the regular T+1 settlement, starting Monday.
Selling restrictions: BTST Trades cannot be placed
BTST (Buy Today, Sell Tomorrow) relies on settlement cycles, and since Sunday is a settlement holiday here’s what you need to know:
- Shares bought on Friday, 30th January cannot be sold on Sunday 1st Feb, as it will be a settlement holiday on this special trading session.
- You will be able to sell these shares only on Monday, 2 Feb (or later) once the settlement cycle starts moving.
- Also, shares bought on Sunday, 1st Feb cannot be sold on Monday, 2nd Feb (due to the risk of short delivery from exchange due to high market volatility)
In short: No fresh BTST positions on Friday, 30th January.
Intraday trading is allowed
You can trade intraday on Sunday:
- Equity intraday trades are permitted
- F&O intraday trades are permitted
- Profits or losses from these trades will be credited only on Monday
Withdrawals on Budget Day
- Withdrawals will NOT be processed on Sunday.
- You may place a withdrawal request, but the amount will be credited to your bank account only on Monday, 2 February 2026.
Banks Will Be Closed on Sunday – What This Means for You
Since 1 February 2026 is a Sunday:
- Banks will remain closed
- Fund transfers through traditional banking channels may be delayed
You are advised to use:
- UPI
- Instant transfer facilities (IMPS, real-time wallet transfers)
These methods ensure smoother fund availability for trading.
How Friday Trades (30 January) Affect Your Funds on Sunday
Because settlement is deferred, most trades done on Friday will not release funds on Sunday.
Intraday Equity Trades on Friday
If you made an intraday profit on Friday:
- You will not receive the margin benefit on the profits made on Friday for the Sunday trading session. For e.g., if you made a profit of ₹10,000 on Friday, your limit will not be increased by ₹10k on Sunday, due to settlement holiday.
- It will be credited on Monday and can be utilised for Monday trading.
Intraday F&O Trades on Friday
- Profits from intraday F&O trades on Friday will be credited only on Monday. These cannot be used for trading or withdrawal on Sunday
Options Sold on Friday
- Premium received will not be available for trading on Sunday
- Tradable and withdrawable only on Monday
MTF Holdings Sold on Friday
- Sale amount will be credited on Monday
- Not usable on Sunday
When Money Is Available for Trading on Sunday
If you sold shares on Friday that were bought on or before Wednesday, 28 January:
- The sale proceeds can be used for trading on Sunday
- However, withdrawal will still be allowed only on Monday
Quick Summary: Budget Day Trading Rules
| Transaction Type | Can Trade on Sunday | Can Withdraw on Sunday | Funds Available |
| Intraday equity profit (Friday) | No | No | Monday |
| Intraday F&O profit (Friday) | No | No | Monday |
| Shares bought on Friday | No | No | Monday |
| MTF shares sold on Friday | No | No | Monday |
| Options sold on Friday | No | No | Monday |
| Stocks sold (bought on/before Wed) | Yes | No | Withdrawable Monday |
In Simple Words
- You can trade normally on Sunday, 1 February 2026
- It is a settlement holiday, so money and shares won’t move the same day
- Shares bought on Friday cannot be sold on Sunday
- Withdrawals won’t be processed on Sunday
- Banks are closed, so use UPI or instant transfers
- All settlements will happen on Monday, 2 February 2026
Understanding these rules in advance will help you avoid confusion, manage funds better, and trade confidently on Union Budget Day.
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