Here is how you can play the markets on election result day

During periods of high volatility, the best opportunities are offered in the options segment. Fortunately, the election result is falling on the day of weekly expiry; one can take maximum advantage

After the exit polls showed a strong possibility of the incumbent Narendra Modi - led National Democratic Alliance (NDA) coming back to power, the markets have risen nearly 4 per cent. The current rally took the benchmark indices to their lifetime high levels of 11,856 (Nifty 50) and 39,487 (BSE Sensex). 

However, investors now need to be cautious. If the actual results are way off the mark as compared to what the exit polls have predicted, there could be a sharp slide in the markets. Volatility is likely to be high and may even cross over 4 per cent