Incremental sell orders at institutional desk: Dealers

The market continued its bloodbath from last week as the Nifty fell below 5,400 level, while the rupee touched to new lows on Monday. Dealers in the market say that there were incremental sell orders are the institutional desk from the larger institutions in the over-owned sectors and stocks, reports CNBC-TV18's Nimesh Shah.

Pharmaceuticals, bank stocks cracked in the day’s trade. The bank index is down more than 3 percent. Some of the over-owned pharmaceutical names and defensives are getting sold into. It shows the panic among larger institutions looking to book profits or sell. Also read: Emerging market taper terror 'quite overdone': Mobius The other important factor to watch out is the Nifty level on the technical side. A lot of technical analysts believe that if the Nifty decisively closed below 5,400, it will open the gates for another 200 points kind of a fall on the Nifty. That is a possibility which a lot of dealers are talking about from a technical point of view. There is incremental sell orders post the European open. There was an attempt of a pullback rally in the first half of trade but that has got sold into. Now there is not even an attempt for a pullback rally at this point in time. There is a bit of buying coming from domestic institutional investors (DIIs) which had happened on Friday too, but that is not good enough to support the kind of fall in the large-cap names. Investors are nervous and post the European open, a fresh round of ETF selling has been seen, which is clearly visible now on some of the largecap names.