Stock picks of the day: A favourable outcome could attract attention towards midcaps

The price action in last few weeks was clearly divided into two parts, the first half was the rub-off effect of previous week’s turmoil due to the US-China trade war, and the second half was the hope rally ahead of the exit polls result.

On May 17, we witnessed a complete gush towards the fag end, which pushed the index significantly higher to reclaim the 11,400 mark on a closing basis by recouping over a percent from the previous week’s damage. 

We are now stepping into a crucial week and since the election verdict is one of the most watched as well as influenced event for our market, people should gear themselves up for wild swings.

Since the last couple of weeks, global uncertainty has been weighing down heavily on our markets; but now, till the time this event gets over, we may probably be decoupled from our global peers for a while.