Two weeks after two major events—Donald Trump winning the US presidential election and demonetisation in India—the course of domestic equity markets has altered drastically. Benchmark large-cap indices have corrected about 6.5%, while mid- and small-cap indices have corrected around 10-12%.
Looking deeper into market segments, some sector indices have corrected as much as 20% in these two weeks and many have corrected at least 10%. Should you jump in and buy, given that valuations are looking much cheaper? Also, should you buy across the board? Here are some mistakes to avoid in this sharp correction.
