Trading Hours Extension Concerns for Retail Traders & Investors.

Feb 19

I am writing to express my opposition to the proposed extension of trading hours for retail traders. While I understand the potential benefits that this change might bring, I believe that it could also lead to several negative consequences that should be carefully considered.

We believe this is not a favorable decision for retail traders, particularly positional traders, as they must monitor their positions until 11:30 PM.

Mental Health Concerns: Retail traders may already struggle with the stress and pressure of trading. Extending trading hours could exacerbate these issues, leading to burnout, anxiety, and other mental health concerns.

Reduced Quality of Life: For retail traders who are full-time traders, extending trading hours could significantly impact their work-life balance and personal relationships. This may lead to decreased overall well-being and happiness.

The success rate for day traders is estimated to be around 10%, and increasing trading hours may not necessarily improve this statistic.

In the long term, the idea of extended market hours may not help in increasing market volume but could potentially lead to a decrease.

The real factors affecting trading volume are not related to trading hours, such as the example of GIFT NIFTY trading success due to the absence of STT in the GIFT NIFTY as opposed to Indian markets

There are more negative points than positive ones when considering the implementation of extended market hours.

In conclusion, while the proposed extension of trading hours may seem appealing at first glance, it is crucial to consider the potential drawbacks and negative consequences for retail traders.
I urge you to reconsider this decision and prioritize the well-being and fairness for all market participants.

I encourage all traders and investors to file a complaint email regarding this to SEBI and NSE. [e-mail]