Key Points
Raamdeo Agrawal, Chairman, Motilal Oswal, says "the betting market is still pumping for 295-300 seats for BJP alone in the Lok Sabha polls, NDA might bring in another 40-50 seats..
So, we have to pass through the next three-four weeks of turbulence..
But still if you see the aggregate of the earnings of the total declared results are still 15-17% ahead of the last year's same time that is good and right now like cement and some other sectors they are suffering from the election phobia also in the sense that the ministers are all on the field and the focus is the election rather than the managing the economy...
That is what we are going through and it has come in the form of maybe election uncertainties or FIIs selling, in whatever form it will come but there is a risk and that people must recognise and the last three-four days have made us realise that markets can go down...
So, can I safely say looking at the market technical setup, whether it is open interest or participation or the retail activity you have at your firm Motilal Oswal Securities and looking at the construct of DII selling, the market is nowhere close to what could be called as overbought or extended?.
