| The Bombay Stock Exchange (BSE) Sensex wound up at 3668.91 (down 52.74 points over its Wednesday's close) and the National Stock Exchange (NSE) S&P CNX Nifty ended at 1152 (16.75 points lower). |
| The market breadth was negative as the ratio of advances to declines on the two exchanges combined stood at 962:1675. |
| Traded volume stood at Rs 1,486 crore on the BSE, while it was more than double that at Rs 3,720 crore on the NSE. |
| The capitalisation of the market breadth was also widely negative as the numbers were Rs 1,471 crore: Rs 3,680 crore on a combined basis. |
| The markets are finally seeing the much-awaited correction as the selloff in the last two hours of the trading session shows. |
| The outlook for Friday's trading is one of circumspection as it is a weekend session and the overseas markets are also weak. |
| The Nifty and the Sensex are unable to clear their hurdles at 1185 and 3760 that I have been advocating since a few days. |
| The indices are now precariously poised at their 13-day simple moving averages which may provide a short-term succour. |
| I would advise traders to exit from long positions on advances. Convert your positions to cash as far as possible. |
| Stock specific activity maybe seen on Mahindra & Mahindra, which has been recommended earlier in this column and has not disappointed traders and investors. |
| As long as the counter remains above Rs 175 levels, expect the bullishness to continue. Stay long in the derivatives and cash segment. |
| Vijay Bhambwani |
| CEO, BSPLindia.com |
| The author is a Mumbai-based investment consultant and invites feedback at vijay@bsplindia.com. |
| Sebi disclosure: The author has no exposure in any of the securities mentioned above. |
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