Taking cues from the previous December-2013 Delhi elections when the in-power Bhartiya Janta Party had won in three states and had to settle for a hung assembly in Delhi
.
The Nifty had formed a short term top at 6415 levels on 9th December 2013 and later went on to correct till 5993, a steep 6.5% fall in the index. This scenario was a classic case of BUY RUMOR SELL NEWS.
In the current scenario, markets are already feeling jittery and nervous before election and went on to correct for six straight trading sessions in row. This correction was to factor in the fact that the AAP might arise as the single largest party with a majority in the election results of the Delhi assembly.
Hence, this might become a case of SELL RUMOR BUY NEWS. After initial knee-jerk reactions which may be witnessed by the markets on Tuesday, the markets may resume its up move in the coming sessions.
Going by the historical data, markets might witness a short term bottom in the next few days, and later rally towards its previous all-time highs
.
The Nifty had formed a short term top at 6415 levels on 9th December 2013 and later went on to correct till 5993, a steep 6.5% fall in the index. This scenario was a classic case of BUY RUMOR SELL NEWS.
In the current scenario, markets are already feeling jittery and nervous before election and went on to correct for six straight trading sessions in row. This correction was to factor in the fact that the AAP might arise as the single largest party with a majority in the election results of the Delhi assembly.
Hence, this might become a case of SELL RUMOR BUY NEWS. After initial knee-jerk reactions which may be witnessed by the markets on Tuesday, the markets may resume its up move in the coming sessions.
Going by the historical data, markets might witness a short term bottom in the next few days, and later rally towards its previous all-time highs
