Cannot rule out 5-10% correction in a bull market: Siddharth Sedani

• Follow

After a good start, the Indian market succumbed to profit-booking and ended marginally lower last week. Last week, both Sensex and Nifty touched their fresh record high levels of 56118.57 and 16701.85. However, on a weekly basis, BSE Sensex fell 107.97 points (-0.19%) to close at 55,329.32, while the Nifty50 lost 78.6 points (0.47%) to end at 16,450.5 levels. The BSE Small-cap was down over 2%. Siddharth Sedani of Anand Rathi spoke to Money9 on whether the dip is an indication of a bigger fall coming.

“Markets have already rallied, especially in midcaps. We are amidst a strong bull run but there is always a chance of a 5-10% correction which is deemed healthy and reasonable.”

Sectors like metals are seeing heavy profit booking, however, he believes this could be seen as an opportunity to enter quality names.

In the markets which have already run up quite sharply, Sedani believes, not every stock will move up from here so sticking with quality is essential.

Stock Recommendations For Next Week

Radico Khaitan | Target: 1009 | Duration : 3-6 months

Crompton Consumer | Target: 549 | Duration: 6- 12 months