The markets have been trading with extreme volatility. The Vix is close to 25.
We are awaiting a bigger fall ahead of us. The markets are trying to recover but every upside move is being sold into. However, because the markets are extremely oversold, I am expecting a bounce where nifty will go as high as 16750-16850 just to trap bulls and again fall below 15700 levels within 1-2 months.
We are already seeing a lot of pain in mid caps and smallcaps. This pain is likely to persist and slowly spill over to largecaps.