Investors should wait for Lok Sabha election results before taking a call

The sharp rise in the BSE Sensex – up 3.75 per cent or 1,421 points – left market players and stock market investors pleasantly surprised on Monday. 

It wasn’t unexpected, given the exit poll prediction that the National Democratic Alliance (NDA) government will make a strong comeback at the Centre. The market was looking for stability, and the outcome may be exactly that.

Retail investors also find themselves in a sweet spot after the 2,000-point rally in the last two trading sessions. The question many existing investors would be asking is whether it is a good time to book profits,