Expect outperformance from banking sector: Sharma

Expect outperformance from banking sector, says Jatinder Sharma, Partner, Equity Strategists.

Sharma told CNBC-TV18, "If we are to go to about 5350-5400 levels I believe that there almost all sectors will perform equally bad and in fact auto sector is likely to perform worst than what we expect. Because most of the longer term chart patterns are not looking bullish even for Tata Motors or even Mahindra and Mahindra, which was looking a bit stronger and quite a couple of days earlier it has given up all those gains. So any slip below Rs 720 for Mahindra is also very negative." He further added, "Any sort of outperformance or may be relative outperformance I still believe could come in from the banking counters only because they have seen a significant division in their price patterns from their about 2-3 months highs, which they had made. So I believe some sort of outperformance might still come from the heavy weight banking counters like SBI, ICICI Bank or HDFC Bank."