Zerodha Pre-market Pre-open Session

Zerodha pre-market session timings

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The pre-market session (also called “pre-open session”) on NSE and BSE runs from 09:00 to 09:15 IST, before the regular continuous trading begins. The session uses a call-auction mechanism to determine the opening price for each scrip, accommodating any overnight news flow and balancing supply / demand at the open.

Phases within pre-market

PhaseTime (IST)Activity
Order collection09:00 to 09:08Orders are accepted (limit and market)
Order matching09:08 to 09:12Indicative opening price computed; matchable orders identified
Buffer period09:12 to 09:15No order placement; transition to continuous session
Continuous start09:15 onwardsRegular trading begins; opening price reflects pre-open match

How the pre-open price is computed

During the order collection phase (09:00 to 09:08), orders accumulate. The exchange:

  1. Aggregates all buy and sell orders received.
  2. Computes the indicative opening price that would maximise matched volume.
  3. At 09:08, processes the matching.
  4. Orders that match at the indicative price execute; unmatched orders carry forward to the continuous session.

This is the same call-auction mechanism used by Periodic Call Auction for surveilled scrips, applied to all scrips at session open.

Order types in pre-market

Order typeAccepted?
Limit orderYes
Market orderYes (typically)
Stop-loss orderYes
GTT orderStored; not active during pre-open
Bracket / Cover orderNot in pre-open; from 09:15

Some product types (MIS for some segments) may have specific pre-open restrictions.

Which segments have pre-open

SegmentPre-open?
Equity (NSE / BSE cash)Yes
Index futures (NSE / BSE)Yes (some)
Stock futuresGenerally no
Stock optionsGenerally no
Currency derivativesNo (continuous from 09:00)
Commodity (MCX )No (continuous session)

Index futures have a pre-open mirroring the cash segment for the underlying index. Most other derivatives skip the pre-open phase.

Why pre-open exists

The pre-open session serves several purposes:

  • Smooth opening. Overnight news creates large buy / sell imbalances; the call auction concentrates them for an orderly match.
  • Price discovery. The opening price reflects all morning order intent, not just the first tick.
  • Volatility management. Reduces the chance of large opening gaps with thin order books.

How traders use pre-open

Setting up the day

Active traders place limit orders at desired prices during pre-open:

  • Buy limits at expected support.
  • Sell limits at expected resistance.
  • Orders match at the opening price if the limit is hit.

Inferring sentiment

The indicative opening price (visible on Kite during 09:08-09:15) signals overnight sentiment:

  • Big gap up: bullish overnight.
  • Big gap down: bearish overnight.

Avoiding aggressive market orders

Placing a market order during pre-open may execute at the worst-case price within the matchable range. Limit orders are preferred for pre-open participation.

On Kite during pre-open

  • The marketwatch shows the indicative opening price (updated during 09:08-09:15).
  • LTP is the indicative open, not a continuous tick.
  • Volume and turnover counters start fresh at 09:15.
  • Day’s change displays from prior close once the open is finalised.

Edge cases

Stocks under Periodic Call Auction

PCA scrips continue with their own call-auction schedule (not the standard pre-open). Their pre-open is functionally the same call-auction but with longer windows.

Mid-day suspension

If a scrip is suspended intraday and resumes, the resumption may use a brief call-auction to re-discover price, similar to pre-open.

Holiday open

The day after a holiday typically has more pre-open activity (overnight news accumulates over the weekend / holiday).

See also

External references

References

  1. NSE India, Pre-open session methodology, nseindia.com.
  2. BSE India, Pre-open session rules, bseindia.com.
  3. Zerodha Support, Pre-market session on Kite, support.zerodha.com.

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