Market positioning for Bihar outcome; IT a good hedge: Pros

With the market continuing with its downward trend, market expert Anand Tandon thinks it is positioning itself for Bihar election outcome, adding that it is unlikely for market to go up on basis of the earnings alone.The Sensex ended down 37.67 points at 26552.92. The Nifty slipped 20.50 points at 8040.20. About 1255 shares advanced, 1469 shares declined, and 134 shares were unchanged According to Tandon in the current scenario, IT would be the best hedge especially on back of lack of policy initiatives.However, Tandon is not so worried about seeing downgrades for the market because earnings although not spectacular, 40 percent of them were above expectations and the rest were neutral to negative, he says.SP Tulsian of sptulsian.com believes tomorrows exit polls might show the outcome in favour of NDA with likelihood of 126-127 seats for them. The market might take a positive cue from that and open higher by 100-points on Friday. However, tomorrow it is likely to be a disappointing day for the market and expect sanity may return back to the market post that.Meanwhile, Sudarshan Sukhani of s2analytics.com does not think Bihar election outcome will have a large influence on the market but maybe impact it for a day or two. Given the weak momentum, it is also likely that Nifty will see levels of 7500 by December.Overall, there is no value in the market per se but individual stocks appear to show values, says Mehraboon Irani of Nirmal Bang Securities adding that so far Indian market has relatively out performed but there is a need to adjust in terms of valuations now.Stock specific, Irani is upbeat on Tata Motors from a 12-month perspective. Meanwhile, Tulsian likes ZF Steering and Harita Seating Systems and thinks one should have faith in these companies which are likely to give good returns over the years.For more on their stock/sector specific views watch video