Chinese stock index has fallen 15% from the levels of last week. There is great panic and it may fall further due to that.
Sensex has also started reacting to the fall in China and has gone into red after a smooth upward drive last week. RBI's concern over containing Inflation , Raising value of rupee, Monsoon this year are other important factors that are going to have a say in index. Meanwhile , there are some big IPOs in line like DLF and it's already raining NFOs in the mutual fund market.
The best thing for a retail investor at this point of time would be to take cautious steps. For MF investors , SIP route would be the safest. Any lump sum investment in any of the NFOs can potentially keep you away from panic. Caution in stock picking also will help especially when Indian markets are near an all time high.It doesn't mean that we will have a bear run from hereon...this is just to be on the cautious side.