The equity markets have bounced from their recent lows in spite of the recession fears. It is the steep drop in commodity as well as crude oil prices that are leading to a rally in the equity prices.  

Trend reversal happens when any stock jumps more than 20 per cent from its yearly lows. 

The fear of inflation, rising rates, and recession in US markets along with slowing growth in the global economy are negatively impacting the market sentiments, as of now. From a long-term perspective, the market is trading below its average PE multiples and the market can be considered reasonably valued. With valuation getting a little attractive and most of the negatives being factored in, there is a very good chance that we are trading close to the bottom in the Indian markets.