Expect government to support Vodafone, high risk investors can buy the stock: Milan Vaishnav

The Indian equity benchmarks opened flat on Friday ahead of the Reserve Bank of India’s (RBI) bi-monthly monetary policy outcome. The central bank is likely to keep policy rates unchanged. Broader markets, midcap and smallcap indices traded higher. Among sectors, gains were seen in banks, metals and auto stocks, while IT and pharma indices were under pressure. Milan Vaishnav of Gemstone Equity Research spoke to Money9 on how should traders approach the current markets.

“Markets achieved a very strong breakout zone. Moving ahead, in the next 50-100 points we will see Nifty again consolidating. Broader markets will now ease a bit while the large caps will now catch up. Expect better performance from Nifty Bank as well”, he said.

On telecom stocks Bharti Airtel and the news developments in this space, he said a lot of speculation is taking place. Although he believes that the government should work out some thing to support Vodafone.

“Investors looking to buy the bottom in Vodafone idea, can do that but must only risk the money they can afford to lose”, he added.

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