New Delhi, Sep 28 (IANS) FIIs, who have sold for Rs 21,640 crore in the cash market in September so far, are likely to sell more, says V.K. Vijayakumar, Chief Investment Strategist at Geojit Financial Services.Even though the market is showing resilience, the undercurrent is weak, he said, adding that the dollar index at 106.59, the US10-year bond yield at 4.62 per cent and Brent crude above $97 are strong headwinds that can pull the market down.
Investors have to be cautious at this stage. Profit booking in the mid-and small-cap stocks which have shot up on hope and aggressive buying would be a good strategy. There is safety in large-caps, particularly in segments like banking/financials, capital goods and autos, he added.
AnandJames, Chief Market Strategist at Geojit Financial Services said despite extremely gloomy opening moves, an outright collapse was avoided as expected, with 19,550 attracting enough buying interest to raise hopes towards a reversal from the 20,200-19,550 down move that has been in play since September 18 .
However, that the upmove stalled at the first level of significance, at 19,727-43, refrains us from an all out buy. We will however be encouraged to aim for 19,780-880 as long as declines do not stretch beyond 19,678-19,654, he said.
Add Chart to Comment
We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:
- Enrich the conversation
- Stay focused and on track. Only post material that’s relevant to the topic being discussed.
- Be respectful. Even negative opinions can be framed positively and diplomatically.
- Use standard writing style. Include punctuation and upper and lower cases.
- NOTE: Spam and/or promotional messages and links within a comment will be removed
- Avoid profanity, slander or personal attacks directed at an author or another user.
- Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
- Only English comments will be allowed.
Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.