As Nifty Touches 9300 For The First Time & Still Goes Up, Continue With Profits from It

We have been saying for quite some time now that equity markets in India shall touch record highs in near future and here we have a record breaking market rally enthusing all of us as Nifty touched first ever 9300 on April 25 with miles to still go. I hope none of you who has been in touch with us has missed this rally and the profit from it. In case you have missed the bus this time around, worry not as the rally seems to have more legs to it and may take markets to further heights.

Don’t be surprised if Sensex grows 20 per cent from the current levels i. e. 36,000 in just one year from now. This growth of 20 per cent should be sustained by the markets for coming three years at least. For long-term investors this is an opportune time for making fresh equity investments and see them grow fast. In shorter run, the major trigger for the markets will be the quality of Q4 results. As we have been saying for some time now, cement companies did post very good set of results and growth in business. We re-iterate even now, latch on to your favourite cement companies and hold these stocks with a five year perspective as the infrastructure spending in India will keep these companies on growth trajectory.

Globally the set up is ripe for equity prices to gain with markets reacting positively to the French premier election development even as Donald Trump euphoria is seen fading. India stands out as an investment destination for foreign investors even as confidence amongst the global leaders grows in the current government and its ground breaking decisions which are now seen as conducive for growth. Indian equities will continue to see FII inflows and DII inflows at steady rate supporting the stock prices.

This issue, we have cherry picked seven equity mutual fund schemes that should help long-term investors to stay invested in a diversified manner in large-caps, mid-caps and small-caps. For more discerning investors picking stocks across market capitalisation using bottom’s up approach will be a rewarding experience in this market environment.

Don’t miss our take on the stocks of the liquor companies--we will suggest at this time, stay away from them, they can really be injurious to your financial health. Read the report inside to know more about it.

As market grows, efficiently finding undervalued stocks will become a herculean task while on the other hand it also means any undervalued stock can be expected to attain its fair value quickly implying quicker returns for choosing right undervalued stock at right time. We remain unconvinced about the IT sector along with liquor stocks and at best would recommend investors to stay away from these sector stocks.

Investors can focus on banking and financial stocks, Infrastructure related stocks, cement stocks and logistics stocks. Here again you need to pick stocks adopting bottom up approach and focus on intrinsic value for each of your pickings. Healthy market outlook should only prompt an investor to participate in equity markets keeping the risk profile in mind and any version of misadventure like penny stock investing should be avoided as the broader markets are delivering impressive returns.

It is easy to get carried away due to rising stock prices. Ideal market environment should be used to observe and see the growth in portfolio happening without over-trading and being overly active in the market.

Happy Investing !!