Techincal analyst Sudarshan Sukhani of s2analyticals.com expects big moves in the market next week. he expects the Nifty to expiry between 5,600-5,700 in March series.
Meanwhile, market expert SP Tulsian of sptulsian.com suggests investors to bet on Reliance Industries and short Bharti Airtel. Anand Tandon of JRG Securities adds that the focus on the economy will start to fade as political jockeying in New Delhi intensifies in the run-up to the polls in 2014.
Below is the edited transcript of the analyses on CNBC-TV18
Benchmark indices just about managed to snap a seven-day losing streak, as a 3 percent-decline in index heavyweight Reliance Industries erased much of the gains. The BSE-Sensex closed at 18704.53, up 23.11 points and the NSE Nifty at 5641.60, up 7.75 points.
There was no respite for midcap and smallcap shares, which continued to slide in the absence of any buying support.
Sudarshan Sukhani of s2analyticals.com indicates the Nifty could end expiry at 5,600 – 5,700. "That’s not rocket science, it is fairly evident. So, I don’t think there are going to be any big moves on expiry day on Thursday. The big moves that are tradable or profitable will come next week," he told CNBC-TV18.
SP Tulsian of sptulsian.com views the L&T deal with Future Generali as positive as it significantly aids the Pantaloon's attempt to reduce debt. "Though the Future group divested stake in the life insurance and the non-life insurance business, it has had no effect on Pantaloon's share-price."
Regarding the Tamil Nadu government's objection to GAIL's installation of a pipeline due to protests by farmers, SP Tulsian says that the objection was very unfortunate from a development point of view. "Sometimes politics spoils economic development. So in the short term the stock is clearly not the market’s favourite."
Tulsian sees little reason for REC and PFC to post a comeback and does not think there is anything particularly negative to cause Reliance Industries to correct below Rs 800. "As an investor, I advise entry a view of one-to-two months at levels of Rs 825-830.”
Advising an approach to Bharti Airtel, the market expert says it is better to watch for Rs 300-305 levels to short the stock and not create long positions at this stage.
Anand Tandon of JRG Securities concludes that for the moment the economy will take a back seat while politics enters centre stage in the next 12 months.