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Your question is incomplete and doesn’t have a meaningful description.
All of sudden (there is no news) the stock / index is getting down. After market hours the experts told that there is Profit booking happens.
ex. last Friday Nifty starts with 100 points (17700) gap up and increase another 100 points (17780) and fall down nearly 250 (17529) points.
If it happens how do we react (whether buy / sell or wait)
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These so called ‘experts’ cannot find any bad news for the fall. So, they’ll simply tell that it’s a ‘Profit booking’. This is when the stock market participants take the profit from the market (probably near a resistance area) or no charted territory.
That was an exhaustion gap, technicians will let that most gaps will be filled (not all). The gap was perfectly filled on that day.
Profit booking in short is just a term used by everyone when they do not what exactly happened. All the experts will let all these when the market is closed.
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All of sudden (there is no news) the stock / index is getting down. After market hours the experts told that there is Profit booking happens.
No one can precisely predict if it is a profit booking or not. It is guesswork. It’s just the so called expert’s opinion.
If it happens how do we react (whether buy / sell or wait)
Invest your time learning price action, trading psychology, trade management and money management. Develop a trading system with rules for entry / exit. Follow the system. Listen to no one but your system. Your system will tell you to enter/exit/hold
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Definiton of profit booking in simple terms.