The key Indian equity indices traded on a negative note on Thursday with the BSE Sensex losing around 300 points.
At 10.23 a.m., Sensex was trading at 38,315.74, lower by 299.05 points or 0.77 per cent from the previous close of 38,614.79.
It opened at 38,283.90 and has so far touched an intra-day high of 38,359.73 and a low of 38,212.66.
Heavy selling has been witnessed in banking and finance stocks so far.
The Nifty50 on the National Stock Exchange was trading at 11,335.80, lower by 72.60 points or 0.64 per cent from the previous close.
“We are trading below the support of 11,350 but if we are able to recoup and close above this level, we should be back on track to achieve the 11,500 level,” said Manish Hathiramani, technical analyst with Deen Dayal Investments.
He added that traders can use this fall to enter into call options and use a favourable risk to reward ratio where the stop loss can be placed at a Nifty level of 11,200 and a target of 11,500 points.