IGI Logo

Below the Quote on Daily Market Analysis by Ajit Mishra, SVP, Research, Religare Broking Ltd

Markets fluctuated sharply within a range and ended up losing nearly half a percent, wiping out the gains from Tuesday’s session. After a flat start, Nifty plunged sharply in the early hours but a recovery in select heavyweights helped pare some losses as the day progressed. It eventually settled at 24,324, down by 0.45%. Most sectors ended lower in line with the benchmark, with auto, metal, and IT being the top losers. The broader indices also took a hit, pushing market breadth into negative territory.

The intraday slide in the index has slightly dented sentiment, but resilience in certain pockets limited the damage. We believe it is prudent to refrain from aggressive long positions in the index for now and wait for further clarity. Additionally, we have started seeing erratic swings across the board, which are likely to intensify with the start of the earnings season. Traders should prefer a hedged approach and closely monitor their position sizes.

Above views are of the author and not of the website kindly read disclaimer