The recent rebound in benchmark stock indices has led to 49% of the top 500 stocks on the National Stock Exchange (NSE) trading above their 50-Day Moving Averages as of April 13, a significant increase from 18% on March 19, during the peak of the West Asia conflict. However, this short-term recovery is not enough to confirm a long-term bullish trend. Currently, 67% of stocks are still below their 200-Day Moving Averages, which is a key indicator of long-term market strength. Rajesh Palviya, head of research at Axis Securities, noted that while the short-term indicators show improvement, the long-term trend has yet to turn positive, indicating that investor confidence remains fragile. Rohit Srivastava, founder of strike.money, emphasized that although the worst of the war appears priced into the markets, many stocks are still significantly below their 200-DMA, suggesting that the recovery is in its early stages. Historically, extreme oversold conditions have led to strong market returns in subsequent months, but analysts caution that the current improvement may take time to solidify.