Expect the Sensex to drop nearly 2 percent or 250 points for the day below the 12,000 mark.
The markets are likely to be shaky on negative cues from abroad and a high degree of uncertainty on the political front, as the exit pole results suggest a tie between UPA and NDA. Metal, IT and FMCG were on the losing end. We are likely to see big slide in Realty, Auto and Banking stocks today. Stay away from these sectors for the next two days.
Book profits in Axis Bank, Suzlon, Hindalco, L&T and Sterlite Ind as these stocks have gained decent ground in the past month.Exit Unitech, DLF and other second rung Realty counters.Exit midcap counters and stay away from the market for the next few days.
Investors are advised to take some money of the table in KEC International, Ashapura Minechem and IndiaBulls financial Services, as we believe that these stocks have stretched a little bit more than warranted. Overall, a choppy market is in the offing and bears might dominate for the next few days.