Move Money From High Beta Stocks To Safe Havens, Say Analysts

The markets offer pockets of opportunities for investors in certain sectors and stocks that are yet to see a rally, according to analysts.

The markets have had a good rally and when we see exuberance in the market, we should try and flip the money into stocks where capital is safer, Vijay Chopra, managing director and chief executive officer of Enoch Ventures Pvt., told NDTV Profit.

"We have seen euphoria in mid- and small-cap companies and must constantly keep on booking profit," he said. When there is market exuberance, one must get into safer stocks and sectors, in which the damage is less in case of correction, and "there would be a very sharp correction," Chopra said.

Markets are in a good bull run and there are still great opportunities to get into, he said. "There are stocks and sectors where we have not seen a huge rally."

Being the last trading day of the year, the markets are ready for consolidation, according to Vaishali Parekh, vice president-technical research at Prabhudas Lilladher Pvt. "As long as we are holding on to 21,500, I would say that the market can continue to be sideways."

Investors are advised to capitalise on every market dip by opting to buy rather than sell, considering the strong foundational factors (macros) supporting India, said Shrey Jain, founder and chief executive officer of SAS Online. "Traders are advised to closely monitor and trail their stop-loss accordingly."

All stocks of the Sensex ended with yearly gains in 2023, and only two stocks of the Nifty ended the year lower.

On Friday, the NSE Nifty 50 closed 47 points, or 0.22%, down at 21,731.40, while the S&P BSE Sensex ended at a decline of 170 points, or 0.23%, at 72,240.26. During the day, the Nifty hit a low of 21,676.90 and the Sensex dropped to 72,082.64.

The upper trajectory levels of 21,800 and 22,000 still hold true and as far as the Bank Nifty is considered, 48,000 will be the near-term support level, Parekh said. "For Bank Nifty, 48,000–48,800 will be the next range for the coming week."

If the Nifty breaks 21,500 levels, then there could be some profit booking, and when there is a break of 21,500 levels, that would trigger many sell calls, he said.

The FMCG sector could do well in the coming month, with crude prices coming down and inflation softening, according to Chopra.

(Disclaimer: The views and opinions expressed by the investment advisers on NDTV Profit are of their own and not of NDTV Profit. NDTV Profit advises users to consult with their own financial or investment adviser before taking any investment decision.)