Market likely to be range bound; remain long positionally: Experts

The market on Wednesday slipped in early trade but both the indices managed to close in green with support of HDFC twins, ITC and SBI.

Sudip Bandopadhyay of Inditrade Capital said one was hoping for a breakout after the Moody’s upgrade on a positive side but the market is stuck in a range. So the upgrade had a sentimental impact and the actual impact of upgrade which could be incremental allocation from pension funds, long-term funds globally will happen over a period of time. It is still time before we see the flood of investments because valuation concerns still remain.

The Sensex was up 83.20 points at 33561.55, while the Nifty was up 15.40 points at 10342.30.

Meanwhile, domestic investors also at the current valuations seem to be taking a pause and are looking at their portfolio on whether they need to book profits and reshuffle it, said Bandopadhyay.

Therefore, a clear breakout for the market is still some distance away -- be is a positive or negative one, said Bandopadhyay. Market will likely remain range bound for the next one-one and half months barring any global event that may enable it to break the range, he said.

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Ashwani Gujral of ashwanigujral.com said market is kind of correcting/consolidating and the upsurge which was there on the back of Moody's upgrade is getting absorbed. However, given the mood in which global markets are, it is difficult to see how we will break 10,100 on the Nifty. So at some point we will break 10,400.

According to him, all of these range bound days or rallies of 50-60 points are not meaningful. The day market opens above 10,400 and keeps the trend that is the day when fresh expansion will start. Maybe that could happen with some sort of macro news but the idea should be to remain long on market positionally.

Independent Market Expert Ambareesh Baliga, Mitessh Thakkar of mitesshthakkar.com, SP Tulsian of sptulsian along with others shared their view on stock specific action and answered some twitter queries.

For the entire dicussion, watch video