The midcap index is down 2%, and that is where it will close. The Sensex and Nifty are both in the red. So, even if we thought that there would be a retracement from the highs of the day I don’t think too many people in the morning would have bargained for a closing in the red today, which is what we are confronted with. The Nifty is at 4860, and the Sensex is down 36 points. So, it has been a big turnaround for the largecap universe.

The breadth too has declined quite a bit, just about 530 advances to 700 declines and volumes have been slightly higher at Rs 63,000 crore odd. But very bad closing, disappointing closing you would expect at least for the bullish traders. The bears will find heart once again after being out of the game for the last couple of days. The largecaps have been disappointing led by metals, banking and technology stocks.