Ashwani Gujral of ashwanigujral.com told CNBC-TV18, "Reliance Industries has a vertical rally, so for my comfort it has to correct, consolidate for several days before I buy because from the day breakout happened it is up 40 percent. Now had it been a midcap it was a different issue. But I think now risk reward is not favourable and you need substantial consolidation before you can buy. It is away from the averages. It is basically a vertical line, it hardly moved sideways for five odd days before it started moving again. So, a risky buy and probably needs to consolidate closer to losing Rs 100 from here."
"Bharat Financial Inclusion and Ujjivan Financial Services have started breaking 200-day moving averages which is not positive, so till they turn I think they remain in a short-term correction. Stocks like Bajaj Finance, Can Fin Homes or Bajaj Finserv, etc. they are doing much better. In this micro-finance space, M&M Financial Services is doing way better than both these stocks. So, probably look at that one if you have to stay with micro-finance," he said.
Disclosure: Reliance Industries owns Network 18 that publishes Moneycontrol.com.
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