In today’s episode of Taking Stock – Mihir Vora, Director and CIO of Max Life Insurance, and Jai Bala, CMT of Cashthechaos.com discussed with CNBC-TV18 this week’s trading action. Vora said, the mojo never went away and that it is still a retail buy on the dip market.
In today’s episode of Taking Stock – Mihir Vora, Director and CIO of Max Life Insurance, and Jai Bala, CMT of Cashthechaos.com discussed with CNBC-TV18 this week’s trading action.
Vora said, the mojo never went away and that it is still a retail buy on the dip market.
“If you look at the single stock future positions of the retail investors, it is almost going to $9-10 billion, very close to all-time highs that we saw 3-4 years back. In fact, the retail volumes in the market are now far more than the institutional volumes which is a phenomenon that has developed over the last 12 months. So it is completely in the hands of retail, the sentiment is good and the party continues,” he said.
Talking about the telecom sector, Vora said, even without a two-player market, there are signs of the pricing having bottomed out. The incremental price adjustments over the last 18 months have only been in the positive direction, he said.
“So to that extent, I think the period of maximum stress for the sector is probably behind us and we are in for a period of gradually increasing average revenue per unit (ARPU) and gradual consolidation and return to profitability of the sector,” he added.
Jai Bala, CMT of Cashthechaos.com, shared his views on the technicals for the next week.
On stocks and ideas, he said, “We have to come out of pharma...chemicals you can continue to be there. If you look at something like Vishnu Chemicals, it is out of the mainline stocks people follow, that is doing phenomenally well.”
Moreover, Bala anticipated gold to go below the March lows on the MCX as well as on the COMEX gold. “The Dollar Index is going to strengthen to somewhere close to 96 so that is going to be a factor in bringing down gold lower,” he said.
Watch the accompanying video for more.
(Edited by : Kanishka Sarkar)