A morning walk down Dalal Street | 11,300 on the cards if Nifty decisively breaks crucial support of 11,549

Sensex reclaimed 39,000 while Nifty50 rose above 11700 level in trade on Monday, but soon bears took control and pushed the index towards their crucial support levels.

Investors have turned cautious as oil prices continue to boil and sharp rally in the last couple of months resulted in a premium valuation of key indices. 

General elections, as well as the start of Q4 earnings season, are some of the factors which are making investors cautious and as long as Nifty stays below historical highs further profit taking cannot be ruled out.

In terms of sectors, the IT sector was the top gainer on account of a weak rupee. The rally was led by NIIT, Infosys, Tech Mahindra, and TCS. 

On the other hand, profit booking was seen in realty, oil & gas, and metal stocks.