Markets may swing depending on poll results coming from five states on Thursday

With counting of votes subsequent to assembly polls in five states to begin early on Thursday, markets are expected to follow the trends closely. Sensitive indexes are expected to react positively in case BJP does it better than expectations and moreover, taking reigns of rule of Assam from Tarun Gogoi. An indication which has already emerged from various exit poll calculations.

Assam win, if that happens, will be a very important one for BJP as it is the only state where BJP is expected to make serious inroads and form government with minimal chances of it in West Bengal, Tamil Nadu, Puducherry and Kerala.

The exit polls findings, suggesting BJP win in Assam may have been already discounted by the market , but election results will remove any uncertainty in the results. Markets do not like any uncertainty. With win in Assam, BJP's increasing strength will boost investors confidence and may lead to investors taking higher exposure in Indian markets. On the other hand, if the exit polls go wrong and Gogoi's Congress party comes back to power, sentiments of the markets may get dampened.

TMC in west bengal , DMK-Congress alliance in Tamil Nadu and UDF in Kerala are expected to win by various exit polls. While exit polls showing clear trend in West Bengal and Kerala, the fight looks closure in Tamil Nadu according to variety of exit polls.  Anti-incumbency seems to working in all states except in West Bengal where Didi is expected to comfortably rule the state for next five years, as per the exit polls. However, optimism has been hovering high for the Left-Congress unique alliance as their leaders have been rejecting the exit polls results indicating all such token polls went wrong during last Bihar and Delhi assembly elections.

In a word, keep fingers crossed till the lunch hours on Thursday and wait for the markets to behave volatile at least during first four hours.