“Markets over the next eight-twelve weeks timeframe is going to be much lower than where it is at this point of time,” said Jai Bala, CMT of cashthechaos.com in an interview with CNBC-TV18.
“If you are a trader or an active investor, you should be looking at reducing your long positions here and raising cash,” he added.
Bala expects the markets to be somewhere near 11,000 or even lower.
According to him, IT, cements and metals are doing extremely well.
Metals index including the steel sector is a little bit overdone.
“JSW Steel is the best at this point of time. However, stocks like Tata Steel, NMDC or Steel Authority of India Ltd (SAIL) are coming to the end of their move and to a big correction. It is a bit late to get an entry here but if you are already long here, hold on to your longs,” Bala stated.
He also likes Tata Consultancy Services (TCS) and Infosys in the frontline IT space. “Tech Mahindra might play catch up to TCS and Infosys. There is a short-term long opportunity there. With a stop below Rs 900, Tech Mahindra is possibly heading towards Rs 1,200,” he explained.
For full interview, watch the video…
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(Edited by : Pranati Deva)
First Published: Apr 9, 2021 2:14 PM IST
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