Nifty, MidCap, SmallCap: Should you buy the dip? Here's what charts say

The NSE Nifty50 has strong supports placed around at 20,920 and 20,750 levels. Meanwhile, the broader indices are seen testing support at respective 20-DMAs, show charts.

The NSE Nifty50 index tanked as much as 2.9 per cent from its new summit at 21,593 hit on Wednesday, to a low of 20,977 this morning. Prior to this, the Nifty had rallied over 14 per cent in the last two months. Hence, some profit-taking following the smart gains seemed warranted.

In comparison, the broader indices took a sharper hit. The NSE Nifty MidCap index tanked 4.7 per cent, while the SmallCap index plunged 6.7 per from its peak.

Given the sudden fall, you as an investor should be worried or look to buy the dips?

Here's what the