The Indian markets are neither spared by weak global clues. There has been a consistent volatility in the global markets and it will continue to hit the Indian markets. Researchers are of the opinions that they does not see a strong upside in the market but it may yield good returns in a period of 12 months from now. At the current valuations the Indian markets seems to be inexpensive and people should opt for value buying.
Because of global clues and tightening of monetary policy in the domestic market and these factors has turned the market down. The monetary policy is close to its peak and in near future we may see a hike of another 25 basis points.
In the short run we may see a limited upside. The markets are risky and it is extremely important that you buy stocks with proper valuation. Though fundamentally the Indian stocks are constructive and valuation is inexpensive.
In the present market it is really very difficult to predict the right direction of the market. It is not a market to trade rather it is a market to do value buying. If you have idea on assets value which you are getting in terms to price to book value than investment in those stocks will yield you good returns.
“Bell the Bull says that the market for the next few months is a little likely to perform and this is why you are getting the stocks at a cheap price.”