Anu Jain: I think probably the bias for the next few days given the long weekend again, coming up, will be slightly negative to neutral. I am not seeing great positive bias for the next few days.
ET Now: The earnings season is upon us at this point of time. So what sectors are you betting on? Which one would really outperform?
Anu Jain: Essentially we have been positive on cement for the last one month. So we have seen them outperform. Our picks out there in the largecaps is UltraTech, Ramco and probably even Heidelberg on the midcap, smallcap side and I think if I had to see them technically also, UltraTech also at around Rs 3200 levels, can give you 8-10 per cent move. It may be the same way for probably Ramco which looks like it is poised for Rs 465. So we are very positive on that. After that, we would be positive on the IT sector.
ET Now: At this point of time, what are really investors looking at? Are they looking at specific stocks or are they betting on sectors in general?
Anu Jain: Essentially, it is where you make money. I do not think it has really got to do anything with stock or sector. Over the last one year, people have not really seen money. Their portfolios make money. So it is more individual ideas where they can see that okay there is a traction in the stock and it really does not matter whether the sector is doing well. So there are some sectoral calls as I said about cement but it would be more individualistic rather than a sector.
ET Now: Some stock picks that you would recommend?
Anu Jain: Ramco is looking very good at Rs 415-420. I think it is a cumulate for about three to four months. You will definitely get a 10-12 per cent overall over the sector. We are positive for the full year because of low base last year and how the volumes have picked up because of elections in various states. So I think I would probably stick with Ramco.
ET Now: What are the near-term triggers that could actually push the markets to go ahead and maybe make more of an uptrend?
Anu Jain: Honestly, I am not expecting anything much from the result season. So it is going to be flows again which is going to guide the market. We do not get flows which are India specific but emerging market specific so if the flows turn positive, then the trader bias automatically turns positive. So it is more a function of flows right now, then anything else.
Source: The Economic Times