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You can count the numbers, and well, they will be disappointing to put forward. But as mentioned earlier, midcaps and smallcaps had seen a steep increase and have already outperformed all the major or the largecap stocks, if one sees before this correction.

However, this correction has been much steeper than the rise which, even the midcap and smallcap industries have seen.

To put numbers into perspective, the midcap index, which has gained nearly 25% since December beginning, before the correction, has lost nearly 8% this week in merely five trading sessions. The smallcap index had ginaed nearly 33% since December before the correction started. However, it has lost nearly 10% in the last five days. Most of these stocks, which are momentum stocks or which are the trading stocks, have lost nearly anywhere between 25% and 40%.

You can pick any stock, or in a major way the momentum stocks, you will realize it. For example, Gati which was one of the favourite stocks has lost from Rs 215, which is a 30 day high price, to a price of around Rs 145. That means it has shaved off nearly 33%.

You can count on some of the other stocks, which are Thomas Cook, Parsvnath, Suven Lifesciences, Mercator Lines, SPARC which is the Sun Pharma research division and Kalindee Rail. All these stocks have lost anywhere between 30-40%. These are the stocks which are accompanied by higher delivery volumes. That means there is selling pressure, which is coming in all the stocks.

When we were talking about Hindustan Motors being one of the momentum stocks, there are other stocks like Lloyd Steel, which has shaved off nearly 36%. Meghmani Organics is another classic examples along with RCF and TFCI, which has again lost nearly 25% to 30%.

All this correction has taken place in the last five days but more interesting is the recent listings.

Aries Agro and Precision Pipes are today’s listing, but there are some other stocks like Mundra, the way the craze was there for the stock, it has lost from the 30-day high of around Rs 1,325 to today’s price of around Rs 1,050. This means the stock has lost nearly 20% from the recent highs. Again BGR Energy is a very fateful listing. It has lost around 25% from the recent highs. Manaksia and Burnpur Cement are other new listings which have lost nearly 25-30% each.

So pick any segment, whether it is a momentum sector or whether it is a trading sector or the recent listings, they have really shaved off nearly 35%-40% from their recent highs.

Source: Moneycontrol.com