Indian share marketplace benchmarks BSE Sensex and Nifty 50 have tumbled more than 7 per cent from the all-time highs touched in mid-February 2021. Markets have been reeling beneath stress due to increasing US 10-year bond yields. Sanjiv Bhasin, Director, IIFL Securities Ltd, told Surbhi Jain of TheSpuzz Online in an interview that greater yields will assistance banks to lead the gainers pack, when technologies stocks on Nasdaq will witness profit booking. He mentioned that the Nifty 50 index could locate assistance about 14,300-14,350 amid volatility, when it will face resistance at the 15,200 level. Sanjiv Bhasin shared a handful of trading tips for the coming 1st quarter of the next economic year. Here are edited excerpts from the interview:
1. Amid present marketplace situation, what are your assistance and resistance levels for Nifty 50 and Bank Nifty in the close to to medium term?
Nifty finds quite robust assistance about 14300/350 & faces resistance about 15200, when Bank Nifty finds robust assistance about 33250 & 35500 will act as resistance.
2. Spike in US bond yields spooked investor sentiment. What must be investors’ method? Should they use it as an chance, be cautious or wait for the additional downside?
There are inflationary expectations that have noticed bond yields spiked in the US. Also, the big US$1.9 trillion stimulus will see enormous borrowing by the Federal Reserve. This is to be taken with a pinch of salt as brief term there can be the repatriation of threat on income back in the US. But in the medium-term, it indicates the development momentum is quite robust which shows US banks come out of 3 years of low yields and now will reap the positive aspects of greater yields which will see banks lead the gainers when technologies stocks on the Nasdaq see profit booking. Emerging markets have currently noticed profit booking but financials will see enormous outperformance as greater yields will see more margins with this becoming a terrific chance to diversify into banks and NBFCs from pick IT and digital plays.
3. What are your leading trading tips for the April-June quarter of new fiscal?
The leading trading tips for the 1st quarter of the new fiscal year are State Bank of India (SBI), ICICI Bank, Godrej Properties Ltd, HCL Technologies, Sun Pharmaceutical Industries and Bandhan Bank.
4. What must investors do with PSU stocks on divestment hope?
PSU stocks are a terrific play, as immediately after 4 years of non-efficiency now look set to outperform in 2021. The leading PSU stock picks are BHEL (Bharat Heavy Electricals Ltd), BEML Ltd, Container Corporation of India Ltd (CONCOR), NBCC (India) Ltd and Hindustan Petroleum Corporation Ltd (HPCL).
5. Besides, grey marketplace premium, people today look at IPO subscription status, is it adequate to ascertain listing gains?
This has been the current elephant in the area with a beeline to purchase on listing for speedy returns, with most possessing burnt their fingers. Returns disappear as speedy as they came with pick new listings seeing as well substantially froth–Be watchful.