Discontent over RBI cut, global mkt cues drag indices: Pros

In a bull market this kind of correction is the time to buy, Gujral says, adding, those who go short could get trapped and may later have to go scampering to cover positions.

Another expert Deepak Shenoy, however, feels it is best to tread carefully. He says today’s market decline hints at a pull-out of funds by foreign institutional investors who had largely been net buyers for the last couple of months. Considering weak economic data leading to weakness in global markets, any consistent outflow of foreign funds could lead to a huge correction, he says.

Parag Thakkar of HDFC agrees with Shenoy. After the recent rally, I would prefer to be defensive and if at all would look for only high quality large cap stocks on dips, Thakkar says.

Market expert Anand Tandon feels there is nothing exciting in store for investors with inadequate interest rate cut and lacklustre corporate earnings expectations.

The market had seen a 10 percent rally with no real reason for such a gain and similarly, unless something dramatic occurs globally, it may not give up all gains, he says.  Assuming nothing changes materially in global markets, there may only be some retracement and then indices would start looking up again, he adds.Meanwhile, Vikas Khemani, President & CEO, Edelweiss Securities believes the correction could be just gains being given away after a strong rally in March.Moreover, the strong foreign inflows seen in the month of March too indicate attractiveness of emerging markets and especially India.The market according to him could be in a range between 7000-7500 for sometime before one sees pick up in corporate earnings. As Andrew Holland, CEO of Ambit Investment Advisors also puts it, the market looked overbought after the recent rally. But it should also be noted that it is a small fall compared to the huge gains seen so far. SP Tulsian and Sandeep Wagle also expressed their opinion on the market and specific stocks and sectors.