Zerodha Currency derivatives CDS Trading hours

Zerodha currency segment timings

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The NSE / BSE currency derivatives segment (CDS / BFO-CDS) on Zerodha trades from 09:00 to 17:00 IST, longer than the equity continuous session (09:15 to 15:30) to accommodate international currency-market activity.

Session hours

PhaseTime (IST)
Continuous trading09:00 to 17:00
No pre-open / closing sessionn/a
Daily settlementAfter 17:00

The currency segment does not have the equity-style pre-open auction. Continuous matching starts at 09:00.

Currency pairs traded

Currency derivative contracts available on Zerodha:

PairDescription
USDINRUSD / INR (most-traded)
EURINREUR / INR
GBPINRGBP / INR
JPYINRJPY / INR
Cross pairs (some)EURUSD, GBPUSD, etc. (cash-settled in INR)

Contracts are listed by expiry month, with weekly contracts available for some pairs.

Why longer session than equity

Currency markets globally are 24-hour. The CDS session extends to 17:00 IST to:

  • Cover European session active hours.
  • Allow late-day adjustments to dollar exposure.
  • Align with USDINR fixing time (the WMR fixing happens at 16:00-17:00 IST).
  • Provide hedging window after equity market close.

The 17:00 close is well before the start of the US session; some traders use OTC markets after CDS close.

Expiry timings

Currency derivative contracts:

  • Monthly futures: Expire on the last working day of the contract month.
  • Weekly futures: Expire on Friday.
  • Options (weekly): Expire on Friday.
  • Options (monthly): Expire on the last working day of the contract month.

Expiry is at 12:00 noon IST for most CDS contracts (not at session close).

Settlement

Daily MTM settlement happens post-17:00:

  • Profit / loss credited / debited overnight.
  • Margin requirements updated.
  • Next-day session opens with adjusted margin.

Final settlement (on expiry):

  • For futures: contract value at the RBI reference rate on expiry date.
  • For options: similar reference-rate-based settlement.

Margin

Currency derivatives margin is much lower than equity F&O:

  • SPAN margin: Typically 1-2% of notional value.
  • Exposure margin: Small additional buffer.

Total initial margin: ~3-4% of notional for most contracts. This makes currency derivatives capital-efficient but leverages position size significantly.

Liquidity

USDINR is the deepest contract by far:

  • Highest volume.
  • Tightest spreads.
  • Multiple weekly and monthly expiries.

Other pairs (EURINR, GBPINR, JPYINR) have lower but adequate liquidity at ATM strikes.

On Zerodha Kite

For clients with the currency segment active:

  1. Search USDINR, EURINR, etc. in the marketwatch.
  2. Trade during 09:00 to 17:00 IST.
  3. Margin updated continuously.
  4. Closing session for the day at 17:00.

For activation: contact Zerodha support; currency requires income proof similar to F&O.

Holidays

The currency segment follows the broader Indian exchange holiday calendar. See Zerodha holiday list 2026 .

Note: Some international currency events (Federal Reserve meetings, ECB decisions) happen outside Indian session hours. The next-day session opens with overnight gap reflecting these events.

Tax treatment

Currency derivative P&L is taxed as business income (not capital gains), similar to F&O:

  • Speculative or non-speculative based on the trade type.
  • Subject to tax-audit requirements above certain turnover thresholds.

For complex tax situations involving currency derivative business income, consult a Chartered Accountant before filing.

See also

External references

References

  1. NSE India, Currency derivatives segment trading hours, nseindia.com.
  2. BSE India, Currency derivatives session hours, bseindia.com.
  3. SEBI, Currency derivatives framework, sebi.gov.in.
  4. Zerodha Support, Currency segment on Kite, support.zerodha.com.

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The WebNotes Editorial Team covers Indian capital markets, payments infrastructure and retail investor procedures. Every article is fact-checked against primary sources, principally SEBI circulars and master directions, NPCI specifications and the official support documentation published by the intermediary in question. Drafts go through a second-pair-of-eyes review and a separate compliance read before publication, and revisions are tracked against the SEBI and NPCI rule changes referenced in the methodology section.

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Conflicts of interest
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