Sectors to lookout for | Banking | FMCG | Pharma and Healthcare | IT | Auto | CA Rachana Ranade

"last four days since we are out of this channel it has not given positive closing for even one single day that is the only thing which is bothering me right now if we were to continue with this uptrend in a very solid fashion I would have loved if we have some nice green candles with good volumes as well but right now if you see that yes it has broken outside the candle but every single day we are opening every single day we are trying to make a new high today also we made a a fresh high but in fact if you see today's candle this is a classic case of open is equal to high candle"

"if you are asking me about the retail participation not directly but indirectly it is it is really amazing if you have watched if you have read through the Sip numbers for this month and I mean for the previous two months I must say it has crossed 20,000 CR rupees that's huge number I don't remember the exact number whatever it is I just read it in the newspaper but it's it's an amazing number right I mean the the inflows that we are getting from retail individual investors is good no doubts on that but I still believe that it is the confidence is still not there the the the buying confidence is still not there maybe because of the budget discomfort or what"

"Governments do take tough decisions in the first year itself of coming into Power that's what we had seen in 2019 as well tough as which may or may not be liked by retail individual investors so an example could be a tax hike okay but would that really come into reality not sure again on that too early to speculate on things many people were saying that ltcg cut 10% say they they'll you know come into normal whatever we call normal income slabs I really doubt whether that is going to happen or not because even the government feels is what my understanding is that they also believe that yes Indian Capital markets may retail participation has just started there is there is still a long way to go and I think the government would also want to encourage retail individual investors to come into the market to stay in a stock or in an index for a longer index as in index mutual funds or it could be in the form of ETFs they would want to stay invested in a specific stock or whatever for more than one year so discouraging long-term Capital discouraging long-term investment by increasing the tax rate on long-term capital gain I don't feel that really makes sense right"

"India's retail inflation eased out to a 12 months low of 4.75% in May and on an annual basis it was down from 4.83%"

"because of the new Norms of RBI unsecured loans growth there are certain additional restrictions which have been put up by RBI this is about the risk rated assets we are not going to go into absolute details of what do we mean by risk rated assets and exactly what is going to happen this that so it's it's a way I mean it's it's an RBI guideline which could curb unsecured lending by increasing certain restrictions is what you can say instead of saying increasing the risk risk rates I'll say by increasing certain restrictions so now you only understand that if unsecured loan lending okay a quick question for you all if unsecured lending by Banks if restrictions are imposed more and more restrictions are imposed okay repeating quickly one more time if more and more restrictions are imposed on unsecured lending then what will happen to the loan disbursement will the loan disbursement increase or will it decrease"

"if I'm talking about corporate lending I feel that is still going to be on the right track reason being that if during the budget if some big bang announcements are made if uh you know already that that plan is being chocked out on what next what are the government policies this that a lot of a lot of things have already started happening right if that be so I I don't see any reason why the corporate lending should go down"

"fmcg did see a good rally one or two days um but post that not really happy with the entire chart structure per se now see I I've just taken few screenshot so that I can quickly go through certain charts right so if you see a double top on fmcg right now plus fmcg not all stocks are really holding up in fact if you have done my course on technical analysis I've also discussed something like a three black crows pattern that can also be seen on a daily frame for fmcg"

"it is expected also that our finance minister nirmala G she she may May announce some more measures in the union budget the coming Union budget to strengthen the R&D activities in the pharmaceutical sector because she had mentioned this in in the previous budget which was given on the 1st of February 2023 she had highlighted the key role of India in the overall Pharma sector its R&D activities so it'll be really interesting to watch if she again emphasizes on the Pharma sector if certain you know certain policies are rolled out some additional benefits are passed on to the Pharma sector if they spend more and more on R&D it'll be really interesting to watch Pharma and yes even I have added one or two Pharma stocks in my watch list one I've also added in my portfolio"

"data consultancy services Chief secretary recently said that AI will kill the service center industry within a year is what was mentioned he actually said this that you know AI can kill the call Service call center industry for say within a year as well and I hope everyone understands that in India rather than we innovating a lot of software products of course we do I'm not saying that we don't innovate software products but but more than that it's of a support so it Services support is what we are more famous for over five million people are employed in this IT industry which is more of an Outsource process Outsourcing is what I I can say so that can really hurt if you know really whatever he's saying the the AI thing that if that hurts it is going to be a big pain"

"Ganesh is saying ma'am will there be any power Cut Rate cut I mean in Europe and us and will it have an impact on it sector possible yes uh there there could be a good impact positive impact that if the rate Cuts actually start happening then it may have a positive impact"

"Defense minister today has emphasized on defense exports on resuming his birth today so the faith in the sector has strengthened"

"the problem in this sector is about the small cars a lot of people have started to buy SUVs if you have been following one or two I don't remember how many streams back but I've discussed about this in absolute detail SUVs as a theme is picking up pretty fast but the inventory on small cars has been piling up quite a bit"

"government has a target of 20% Ethan ethanol blending with petrol till 2025 will it make related sugar stocks more attractive Amit I think I read about 25% ethanol blending ethanol blending I'm just Googling it out why do I remember reading 25% roadmap at least said that if I'm not mistaken PM mod rolls out 20% not bring States okay right now it is 20% but I somewhere read it that there is a crash there's a possibility that they could take it up to 25% as well if that be so it'll be definitely you know a good one for all sugar stocks"

"Jubilant Food Works I'm just going to quickly pull it up for you let me just quickly check it's not exactly a rounding bottom to to be honest but yes it has clearly started an up move since when I'll quickly show my screen as well to tell you what I'm saying so here it was in absolute clearcut downtrend okay where it was a high low lower high lower low lower high similar low then a kind of a higher high a higher low and since here it has again continued its Journey upward so this was one more choke point for this stock so if you see here I'm just going to quickly draw this see if you can see here it was it was here for 1 2 3 4 5 6 7 8 N9 almost 10 12 days it was here so this this is another choke point which is at right now once it clears this directly like 20 30 rupees ideally it gets a clearance there is a big candle right here"

"nice so even if I want to draw a trend like this joining the dots will be interesting to watch if this closes above our trend line this is surely like rounding bottom not a textbook pattern definitely not a textbook pattern but yes very close to aing bottom you always say that in technical analysis you have to have a little bit of broad mind then only you can say okay plus the volume build up look at this interesting volumes I would really want this stock to close Above This level on a monthly time frame I hope you understand this trend line clearly touching that's that's how you analyze any stock right if you want to be I mean if you want to be more sure on before you take any position on any stock should understand these Basics"

"Nmdc was the next one that you had asked yes the stock is is going on strong let me also pull up the weekly chart alar monthly chart as well altar yes so if you see here I told that this one is like a choke Zone correct and after that this was this huge monthly candle of 32% has it closed Above This choke Zone it has it has closed so there was a breakout here previous month also it has it has closed above this right now it is somewhere here this does look interesting this does look interesting"

"Polycab a stock which has broken the hearts of so many people polylex broke downward trend line daily time frame bounced back from long time low absolutely it has has started to come to life a little bit"

"if unsecured loan l ending okay a quick question for you all if unsecured lending by Banks if restrictions are imposed more and more restrictions are imposed okay repeating quickly one more time if more and more restrictions are imposed on unsecured lending then what will happen to the loan disbursement will the loan disbursement increase or will it decrease"

"it'll be really interesting to watch if she again emphasizes on the Pharma sector if certain you know certain policies are rolled out some additional benefits are passed on to the Pharma sector if they spend more and more on R&D it'll be really interesting to watch Pharma and yes even I have added one or two Pharma stocks uh in my watch list one I've also added in my portfolio"

"AI will kill the service center industry within a year is what was mentioned he actually said this that you know AI can kill the call Service call call center industry for say within a year as well"

"Fed rate cut is what we got to know that it was expected that there could be three rate Cuts back to back uh but uh right now he has mentioned that you can expect one rate cut this in this calendar year"

"PM mod rolls out 20% not bring States okay right now it is 20% but I somewhere read it that there is a crash there's a possibility that uh they could take take it up to 25% as well if that be so it'll be definitely you know a good one uh for all sugar stocks"

"defense minister today has emphasized on defense exports on resuming his birth today so the faith in the sector has strengthened"

"the problem in this sector is about the small cars a lot of people have started to buy SUVs if you have been following one or two I don't remember how many streams back but I've discussed about this in absolute detail SUVs as a theme is picking up pretty fast but the inventory on small cars has been piling up quite a bit"

"if the qsr space gives up good Advanced Tax numbers and all the other so so qsr as a space may get reating that it has performed really bad in the last one year now the Advanced Tax numbers are better as compared to the previous ones there is a possibility that this could do better and that is why the sector gets R-rated by the analysts"

"even if I want to draw a trend like this joining the dots will be interesting to watch if this closes above our trend line this is surely like rounding bottom not a textbook pattern definitely not a textbook pattern but yes very close to aing bottom"

"I do believe that some things might come up for Pharma so just you know based on that plus uh there was also a technical chart pattern because of which I entered into that stock"