‘One can buy in a falling market, one can never buy in the fallen market’: Ajay Bodke invokes market axiom
Market expert Ajay Bodke said one can never buy in a fallen market because at that point of inflection no one can predict anything about it. Hence, one needs to start preparing a portfolio of blue chips, which can post secular growth in earnings, which have the pricing power and where the market opportunity is large, and which are market leaders, he explained.
“There are a couple of sectors where the valuations are coming into a range which can be termed as attractive. Banking, IT and telecom are three sectors where I think one should look at being overweight, along with an improvement as you move to the second half in terms of capacity utilization in the manufacturing industry, leading me to believe that the capex cycle is also on the mend and hence capital goods and engineering also should be a sector where one needs to be overweight,” he said.
He was underweight on steel and cement stocks and remained equal weight in the pharma sector.
