Bearish sentiment is catching up.

The first most important factor of today's market action is that the market was so much into indecisiveness or bear grip that there was no new highs registered today. New lows were 12 in number. This shows that demand for stocks are slowly coming down and many traders are waiting in the sidelines for the next direction. Media Industry is the big loser today with DISHTV and SHREEASTHA registering new lows.

Fuel price hike is a big hit for the economy, though a positive for the oil cos. Still the Energy sector was the biggest loser today in the markets. HPCL and IOC were big losers in this index while almost all the stocks in this index closed negative.. There are no big surprises in the stocks movements, most of them that ruled the toppers list in both the Ready to Take off and the Big Money channel have repeat appearances. 

Market is awaiting new triggers, budget can be one of them and with the way the market is showing its moves, it seems like the budget surprises are already factored into the price. In case there are any positives, market would react adversely. So traders need to be cautious about their positions. Stronger stocks will have good opportunity when they reach value zones.

Whatever may be the strength of the stock, there are pretty good chances that the direction may abruptly change, so ensure every trade is protected with its adequate stop. Cement stocks which are the darlings of the market now will have good opportunities in them when the price come down to value zone. Almost all the Cement stocks are strong, so there is a good chance for a high probability trade in these stocks. 

Most of the trend following positions on the daily charts have come out of their trades, they have given good returns for the risk taken. Now we have to wait in sidelines for the next opportunity to get in. With the accumulated profits, we will be able to take bigger positions in the next run.

This week being a short week for trading and a big event risk ahead, traders need to be pretty cautious about their positions. Trade light and once there is confirmation, increase positions.

Have a very happy trading day.