dimanche 11 septembre 2016

Biggest test for nascent bull market

Friday's leg down in Europe and America, plus a weak start in Asia make this the biggest test for this bull market.

Simex Nifty indicating a 1.5% drop, which is potentially a fantastic entry level for people who didn't get in earlier. Especially high beta plays like Sun Pharma and Tata Motors could be available at attractive levels despite run up over last 3 days.

I expect Reliance to stay relatively strong based on Friday's favorable meeting with TRAI, where incumbent operators agreed to honor their obligations. Also, over the weekend, robust demand for Jio SIM cards could support the stock.

I also expect ICICI to stay strong and help banking index - ICICI Pru IPO makes this a very attractive story; and this gain should allow the bank to make a serious dent in NPA levels.


Biggest test for nascent bull market

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