22 February 2021 is a day when most participants (those who tradeon buy-side, invest in mutual funds, or are generally bullish about the market)are crying and pulling their hair in horror.
While most Indians were in shock, those traders who arewell-informed and trade in both directions of the market (up and down) have takenaway huge sums of money from investors, gamblers, and novice traders.
For knowledge of novice traders, going long means buying andgoing short or shorting means selling when you do not have the instrument andwill deliver the same from the open market later (which is called covering theshort).
At closing, Nifty 50 is down 2.19%. This index representslargecap companies. Well, in the decline all capitalisations participatedhappily. The midcap companies’ index Midcap 50 was down by 1.73% and the indexfor smallcap companies was down by 1.76%.
In a shocker, the fear index of India INDIA VIX was up about15% from the last trading day’s close. Well, the investors were scare all right.
Now, let’s talk about the sectors which spearheaded thedecline. Media, Realty, IT, Pharma, and PSU Bank indices were down about ormore than 3%.
One sector was sticking out like a sore thumb being up insuch a red day. It was up 1.5%.
Regarding predictions, this author will hold on that today.
Also, every participant who risks his money in capitalmarkets (which includes stock markets namely NSE (National Stock Exchange) andBSE (formerly Bombay Stock Exchange)) does so at his risk.
All information presented is for education purposes only.