CA Rudramurthy BV, MD of Vachana Investments, shared his insights on the market trends for the upcoming year. He mentioned that while there may be a 3% to 5% price correction, the broader market could see more correction and valuation adjustments.
Looking at the technical front, CA Rudramurthy BV emphasized the importance of a medium to longer timeframe horizon for the market. He suggested that a time-wise correction would be healthy for the markets in the medium to longer term. He also pointed out that Nifty and Bank Nifty could potentially correct by 3% to 5% from their current levels, with key support levels around 24,000 and 49,500 respectively.
In terms of recommendations, CA Rudramurthy BV highlighted three sectors to focus on for the next year. He suggested that private banks would be a top sector to consider, especially HDFC Bank, ICICI Bank, Axis Bank, and Kotak Bank. Additionally, he mentioned that IT stocks, such as Wipro, TCS, Infosys, and Tech Mahindra, could offer good returns. Lastly, he recommended looking into pharma stocks like Dr. Reddy’s, Sun Pharma, Divi’s Lab, and Biocon.
When it comes to PSU banks, CA Rudramurthy BV specifically mentioned SBI as a potential pick. In the automobile sector, he favored M&M and Maruti as top picks. He stressed the importance of being selective and stock-specific in other sectors while focusing on private banks, IT, and pharma for potential growth from this Deepavali to the next.
Overall, CA Rudramurthy BV’s recommendations provide valuable insights for investors looking to navigate the market trends and identify potential opportunities for the coming year.