Gaurang Shah

Last couple of days we've been going below 8,500 and managing to close above 8,500. So that's a positive takeaway for markets.

The IT pack has come out with disappointing numbers and it (L&T Infotech) has got listed in an environment when there is lot of scepticism about the IT sector outlook.

On the earnings front, it's not like we are going to see a robust turnaround. So from a short to medium-term perspective, for those who have low risk appetite, I think it is prudent to book profits.

Some consolidation is the need of the hour given the kind of run-up we had already seen, next week trigger will be in the form of a rate cut, if it comes through.

Looking at yesterday and today's recovery from the lows, my sense is that we are somewhere close to the bottom, my advice would be to avoid the small and mid-cap stocks right now because their valuations have run up to a great extent.

The market has already priced in a rate hike and we have corrected significantly, the problem will be if the Fed doesn't hike rates tonight, we won't see a runaway rally, we might see some minor sell-offs, but everyone is waiting for this (Fed meet) to get over.