A week of surprises and holidays pushed the NSE index beyond the 5000 level. With the September weeks approaching, it is to be seen how the market handles the stress levels from the downside to a surprise recovery and further uphold the momentum built.
One question which you might start asking is that is it the right time to enter the market anticipating it to do good in the near future?
Well, the levels for most of the stocks look attractive but yes one can start accumulating some of their preferred stocks gradually. The month starts with festivals and ends with a start of another which gives some great opportunities from sectors such as Sugar and Jewellery. However, looking at different sectors at the moment we would like to pick the power sector for our discussion and the hot picks among those. As a long term perspective, the sector as a whole is looking strong with some out performers among the Transmission and EPC companies. Some companies in the renewable energy segments could also be looked upon.
Listing down some of the hot picks for a good hold for some time would be:
Renewable energy: Orient Green power, Suzlon
Power generation: CESC, Tata Power
Power equipment: BHEL, Techpro
Power finance: REC
Transmission: Power Grid, KEC
Bell The Bull Says: A strong recovery to boost the trading sessions to the month of September looks good for accumulating stocks in a gradual as well as intelligent manner would be the best approach.