Markets continue to remain cautious despite strong macro signals and positive news flow. GDP growth and a surprise rate cut should have triggered a sharp short-covering rally, but it failed to materialize. According to experts, FIIs remain heavily short—nearly 87% short and only 14% long—and SEBI’s new cap on derivative long positions (1.5 crore delta limit) has restricted aggressive buying, limiting upside momentum. This has led to disappointment among traders who expected a quick rebound, prompting unwinding and selling pressure. For investors, however, the strategy remains constructive: buy on dips, avoid shorting, and stay focused on SIPs and mutual funds. Domestic flows continue to be strong, FIIs may turn positive by February–March 2026, and Nifty could deliver 11–12% CAGR if sector

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