While trading will continue as usual on NSE and BSE, the settlement of funds and stocks will not take place on this day. This can impact how your recent trades are processed, especially if you plan to sell shares bought a day earlier.

If you actively use BTST (Buy Today, Sell Tomorrow) strategies, here’s something important to keep in mind:

Groww now allows BTST transactions even on settlement holidays, for both regular and MTF orders. This helps ensure you don’t miss opportunities to act on market movements
However, BTST is not permitted for T2T stocks, as per exchange rules.
Also, on settlement holidays, even when BTST is allowed, sell credit may not be available on the same day due to delayed settlement cycles.

Let’s understand what this means in detail.

What is a Settlement Holiday?

A settlement holiday is a day when you can buy and sell stocks normally but actual exchange of funds and securities (pay-in and pay-out) does not happen.

In India, stock settlement follows a T+1 cycle, which means:

Shares bought on T day are credited on T+1
Funds from a sale are also received on T+1

However, when a settlement holiday falls on T+1:

The settlement is pushed to the next working day
This creates a temporary delay in credit of shares or funds

What is a BTST (Buy Today, Sell Tomorrow) trade?

A BTST trade is when you:

Buy a stock on T day
Sell it on T+1 day, before it is credited to your demat account

This works because brokers can facilitate the sale by marking the shares for pay-in on T+1, after the payout (credit) for T day buy is received in demat account ,

What Changes on a Settlement Holiday?

On a normal day shares bought on T day are credited on T+1. This allows brokers to complete pay-in for BTST sells and the sell credit can be availed on such sales on the same day (by EOD).

While, on a settlement holiday:

No shares or funds are settled.
Shares bought earlier are credited to your demat with a delay of 1 day.
As a result, pay-in for BTST sell orders cannot be completed on the same day, but actually on the next business day

This is because the settlement cycle is interrupted due to the clearing holiday, and the shares are simply not available yet for delivery.

Let’s understand this with an example:

Let’s say you buy shares worth ₹1000 on March 30, 2026, and then sell the same for ₹1100 on April 1, 2026. This will be treated as BTST order

On a normal trading day, you would be able to use this sell credit on April 1 (EOD).

However, due to the settlement holiday, this ₹1100 will not be available for use on April 1 or April 2.

You will not be able to use this amount for new trades or withdrawals on April 2 and the funds will only be available in EOD after settlement on April 2, 2026.

That said:

Your trade is still executed successfully, and your risk is now only limited to non delivery of shares by the exchange.
The impact is only on when you can use the funds, not on your executed trade.

Impact on Fund Withdrawals

Withdrawal requests placed around this date may be delayed
Funds will be processed on the next working settlement day

Impact on Margins and Available Balance on April 01, 2026

The currency markets will remain closed for the day.
The auction market will be closed.
Profits and credits received from exiting positions in the intraday and derivatives segment (F&O and CDS) on March 30, 2026 will be available for withdrawal on April 02, 2026, by EOD.
There could be a slight delay in the pay-in of funds added using RTGS/NEFT/IMPS on April 01, 2026, due to the Annual Bank closing.
Instant withdrawal will not be available on April 01, 2026.
Regular withdrawal requests placed on April 01, 2026, will be processed on April 01, 2026, and you will receive the funds on April 02, 2026.