Majority of BSE 500 stocks trading below 200-day moving average

Broader markets witnessed sharper selling pressure, with Nifty Midcap and Smallcap down around 4 per cent each.

A majority of stocks from the BSE 500 universe are now quoting below their 200-day moving average (DMA).

As of Monday, 257 stocks were trading below their 200-DMA — a significant negative indicator. The general rule is if a stock is trading below its 200-DMA, the trend is largely downward, although there could be a short-term upward movement.

A number of consumer, pharmaceutical, and banking stocks are trading below their 200-DMA. Some of the prominent stocks include Hindustan Unilever, Dr Reddy’s Laboratories, Lupin, Colgate, Marico, Britannia Industries, Axis Bank, Eicher Motors, Kotak Mahindra Bank, ICICI Prudential Life Insurance, HDFC Bank,