Stock Market Today: Sensex Tanks 1000 Points, Nifty Plunges Amid US Tariff Jitters; How Traders Can Turn This Crash Into Opportunity

Stock Market Today: The Indian stock market, particularly the Sensex, has plummeted by over 1,000 points in the early trading session around 11:20 AM. Apart from Sensex, Nifty 50 is also seeing a decline, breaking its first candle support, leading to huge red candles on a 5-minute time frame. The top stocks contributing to today's stock market down trend include Infosys, Bajaj Finserv, HDFC Bank, Shriram Finance, Axis Bank, Bajaj Finance, and HCL, all of which are down by nearly 2%.

This sharp decline has created panic among retail traders and investors alike. In this article, we will explore why the stock market is falling today and how traders can benefit even in a bearish market.

Why is Stock Market Down Today? 

As of 11:25 AM, the Sensex is down by 1,113 points, while the Nifty 50 has fallen over 286 points. Among the 50 Nifty stocks, 31 are trading in red, while only 19 are in green, highlighting a clear bearish sentiment in the Indian stock market.

One of the key reasons behind the market decline today is the fear surrounding the US reciprocal tariffs. Donald Trump recently announced that these reciprocal tariffs on India and other nations will take effect from April 2, 2025—which is tomorrow. This has created massive fear among traders, as India is directly affected by these trade policies.

Reports suggest that India and the US are currently negotiating a deal to reduce the impact of these reciprocal tariffs. However, without any official confirmation, investor sentiment remains weak, leading to a continued downtrend in the market.

How to Benefit from the Falling Stock Market? Smart Strategies for Traders

For investors and traders, the key to success lies in hitting profit targets and minimising losses. But what should traders do when the market is declining rapidly, with the Sensex down over 1,000 points?

Don’t Hold on to Losses

Many traders quickly book profits but hesitate to exit losing trades, hoping for a reversal. Cutting losses early is crucial in a falling market.

Risk Management is Key

If a stop-loss gets triggered, it’s best to exit the trade rather than hold on and suffer further losses. If a reversal occurs with strong volume, traders can re-enter after analysing fundamentals and price action.

Avoid Trading on Highly Volatile Days

Volatile markets create panic, leading to impulsive decisions. If you are uncertain, it's better to sit out and protect your capital rather than make unnecessary trades.

Look for Strong Fundamental Stocks

A falling market provides excellent entry points for long-term investments. Look for fundamentally strong companies and, with the right professional guidance, make strategic investments.

As the stock market today remains volatile, traders should focus on risk management and strategic entries to navigate the uncertainty caused by US reciprocal tariffs and global trade tensions.