Oct 10, 2008

Markets tumble once again but recover from the lows It was another terrible session at Dalal Street as benchmark

08 Oct 2008 | 18:25 Markets tumble once again but recover from the lows It was another terrible session at Dalal Street as benchmark

Markets tumble once again but recover from the lows It was another terrible session at Dalal Street as benchmark indices got crushed in line with the global markets meltdown. They however managed to recover in second half of session and ended off the day's low.

While the Sensex finally closed 366.88 points or 3.14% lower at 11,328.36, the Nifty ended with a loss of 92.95pts or 2.58% to close at 3513.65. The broad market indices underperformed as the BSE Midcap and Smallcap indices lost 5.79% and 5.57% respectively. Market breadth was negative as almost five stocks declined for every one stock that rose on the BSE. NSE cash turnover was Rs.12,819crs. Vs. Rs.12,804crs. on Tuesday.

All the sectoral indices ended lower. The top losers were the BSE Consumer Durables, FMCG, IT, Bankex and Metals indices. The top gainers from the BSE-30 were Ranbaxy, Tata Power, M&M, Maruti and DLF. The top losers were JP Associates, Wipro, Sterlite, ICICI Bank and SBI.

With the markets bouncing back sharply from the lows, there is a possibility that the pullback rally could continue for at least the next few sessions. The Nifty could however find resistance between the 3600-3800 levels. We continue with our strategy of using any upsides to exit from long positions entered into at higher levels and initiate fresh shorts.

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