The afternoon has not been bad for the market since about 1 o’ clock in the afternoon we have seen some amount of recovery in fact in the morning we were down about 300 points and it’s a nice valley which has formed now; down for the first half of the session and up recovering for the second half of the session. Still very low volume so one doesn’t know where will it end up and quite volatile at that but largecap names lead by Reliance, ONGC, Hindustan Unilever have staged a recovery and the market has found itself back closer to 4800 mark once again. So it’s not been bad going this afternoon.   

Q: Good to see the second half shape up better than the first? 

A: It is but you do not know what to make of this kind of a recovery because volumes have been just 37,000 crore today. It is about the lowest volumes that you have seen even in the midst of these kinds of low volume days. So I think today both the morning’s fall and the afternoon’s rise has been amplified because of the impact cost. Even little bit of buying has tended to take up stock prices quite dramatically in the second half.  

So you do not tend to trust moves, which are really struck out from the shallowest of volume days and today is one more of those days. In any case we are just tooing and froing in that 4,700-4,800 zone not close to any of the extremities of 4,500 or 5,000. So I think it is just one day of a bit of short covering. The Nifty futures premium is quite large, so I suspect in the second half of the day traders might have figured out that the market is not collapsing anymore and therefore they have covered up their shorts.  

Maybe the FIIs have done a bit of that as well going by the way some of the largecap names have moved up.