How will the market perform on election result day? | Ft. @SandeepJainStocks | CA Rachana Ranade
Published: 2024-05-31
Status:
Analyzed
Published: 2024-05-31
Status:
Analyzed
Predictions from this Video
Incorrect: 2
Prediction
Topic
Status
It is advisable to reduce market exposure before the Indian election results.
"I feel that you know we should be a bit lighter while going into the elections."
Pending
Even if the NDA wins 340-350+ seats, leading to a market rise, there's a high probability of profit booking ('sell on news') occurring shortly after.
"In any scenario if BJP comes up with 340-350+, markets might go up NDA sorry not BJP NDA markets will go up but there will be some chances of correction also because at that moment you know market participants might do some profit booking because it's like you know whenever uh you know uh you buy on rumors and sell on news so typically that will happen."
Pending
The Indian market's direction after the election results will also be influenced by the full budget, expected in July.
"And then the markets will look up to the budget the full-fledged budget which will come in the month of perhaps in the month of July it happens after the one month of you know the coming in or swearing in ceremony of the government."
Correct
The market is expected to be more comfortable if the NDA crosses 340-350 seats.
"I feel that you know markets will be more comfortable able you know if BJP crosses NDA crosses 340-350"
Pending
A market correction is anticipated across all possible election result scenarios.
"in all the scenarios there will be a correction"
Incorrect
Clients have been advised to hold 30-40% cash, particularly important for traders.
"we have actually recommended our clients in whatever scenario I think one should be on cash 30 to 40% for trader it is very important to stay on cash"
Correct
Corrections are expected in all election scenarios, and the market will subsequently focus on the full budget to be presented in July after the new government is sworn in.
"in all the scenarios there will be a correction so I feel that you know and then the markets will look up to the budget the full-fledged budget which will come in the month of perhaps in the month of July it happens after the one month of you know the coming in or swearing in ceremony of the government"
Pending
Even with a strong NDA victory (400+ seats), it's unlikely all stocks will skyrocket; there won't be a situation where every stock becomes a guaranteed 20%+ gainer.
"so uh I feel that you know it will be safer and it does not mean that even if Modiji come up with or NDA come up with 400+ seats it is not going to happen that you know there are no stocks which you can buy the sky is the limit and all the stocks are going up and up 20% it will not happen it will never happen"
Pending
Reducing market exposure ('going lighter') is a beneficial strategy regardless of the election outcome.
"so going lighter will help you in both the scenarios"
Pending
Measures like GST and income tax reforms under Modi's government have initiated a significant structural change in India's economy, with a positive business landscape expected to continue for the next 5-10 years.
"it's a very very big structural and a paradigm shift in the whole Indian ecosystem it's the formalization of Indian economy GST ,income taxes all these measures in Modi 2.0 Modi 2.1 uh sorry Modi 2 and 1 they have changed the whole you know scenario business landscape of India and that is going to happen for next 5 to 10 years also again"
Pending
Given the exceptionally rapid gains in defense stocks (e.g., GRSC from 913 to 1450), it is advisable to book profits due to the speed of the returns.
"so this is the kind of jump it was in you know Defense stocks so I feel that you know if you have these kind of profits at least it is wiser to book profits because it is too fast too fast a return"
Incorrect
Global market cues, which are currently decoupled, are expected to become re-coupled with the Indian market in the days following the elections.
"and the next few days after the elections all these markets will again get coupled with the Indian markets now you know the global cues are not coupled so uh we will get coupled again recoupled"
Pending
Not all stocks will rally, as upcoming quarterly results (due by June 15th) and the budget will also influence market performance.
"so all the 800 stocks will not go up because then there are quarterly results also yet pending because the last quarter result the March quarter results generally they have to come up in one and a half months but this quarter result is allowed till June 15th"
Pending