Groww TV Live | Gold @ ₹1 lakh, metal stocks shine; Where should you invest in a volatile market?

"UBS has also forecast 13% earnings growth for the consumption sector for FY26."

"So here is the Nifty chart. Right? So one second let me just remove this panel from here okay and okay okay so here is Nifty which is in a line chart and here is the candle chart which is of the index so which is of gold so gold is far outperforming the Nifty because from here we are waiting that Nifty will rally here and we will be able to you know both ideally work in an opposite direction but this time based on the current set of events you can see here that since the beginning of April gold is also going up largely because of the political tension and we are seeing a recovery in Nifty as well."

"So here one thing is clear that as long as there is tension in the market, the prices of gold are not going to fall."

"So 103 and 106 are coming towards the target."

"So if I take out this particular chart again, you will see that this closure towards 90000 to 95000 is actually an ideal level for buying in gold from a trading perspective."

"Now from an investment perspective, if you have to, that would be closer towards only ₹ 85,000."

"So if you see the movement of the metal index for the past several weeks, we will see that this is right from the month of October 2024, it has been making a lower lower high."

"So if you look at this index, if you put a small retracement here, then an immediate resistance zone is coming here, closure towards 8880, so this is an immediate resistance."

"So until it crosses the March high, you will face a lot of trouble. And now why would it hurt? Because the overall movement here looks like it's going to be the end of the move. So I will wait and will not participate until it crosses the near term high."

"So if you talk about Nifty, from 21800 to 23800, now Nifty has claimed even 24000, so this was a move of 2000 points and in the seven to eight sessions that this move happened, many people could not participate in it because it was a very accelerated move."

"So Dobara jab yeh gap aaye around 1000 so that would be a good time to buy in this yes the news is positive but the second question is well I should buy it now the answer is no buy it on dips you should remain a buyer not a seller but then buy it on dips."

"So here you have to factor in that profit booking can happen here and profit booking could get it towards these 40 100 to 4250 levels."

"But where will I say goodbye? You can buy closer towards this zone which is around the 4250 mark."

"So now if I go to the chart, okay, let's go back to the chart. From this particular page that I was showing you, I'm able to get a good perspective of the setup. Look, this setup, after the fall, which happened in March, the prices actually went through a consolidation here, and again, it is coming up now."

"So now if you ask me AD five would be on the spot would be a resistance zone for Indus Bank."

"So see, we do have some gold allocation right? I think it's a smart idea to have gold allocation at this point and time given the type of uncertainty that is happening between the US and China, and I think most of the upmove and gold has been seen because China is buying a lot of gold, right?"

"And on the other hand see the equity market is showing tremendous strength right now right in Indian equities you can see the real relevance right now and I think very strong movement in the number of stocks and industries things are a strong pick up that is happening and I think you know people should confidently step into the equity rally right now"

"I think that Trump tariffs are delayed but there's only a 90 day delay right things will change there will be a lot of geopolitical announcements I think the rate cut Donald Trump is trying to fire Rome Paul if he does that will of course in the markets as well so there is a lot that could happen ah"

"So essentially you know you have a tilt towards quality but you know we don't believe in quality by itself we think you also have to look at the expectations from those stocks and also you have to look at the price movement that is happening around those stocks but in such a scenario you know if you have a focus on quality fair valuations and stuff like that you will still end up doing better than the markets"

"See I think financials have really you know broken out. So financial was a good good allocation. I think we've always had that allocation to ah consumer electronics and consumer goods. Right? So we have some tilt around that in our portfolios. I think that is what will be strong. Right?"

"I think technology allocation definitely you know seeing a lot of volatility earnings have not come good at all for the technology stocks and you know there are amazing companies in the technology sector but the current market environment is not in favor of that. So maybe I won't suggest people to have very high allocation to technology"

"I think agro chemical agro goods are very interesting so definitely be allocated"

"India's consumption story will support our markets right so I think that will be there"

"See I think you know because of the government of India's announcement supporting the local steel industry I think that has been the reason for the upmove right which is the big positive supporting the metal sector"

"but I would still not have too much confidence in the metal stocks because see I think with all the political uncertainty geopolitical uncertainty ah you know commodity stocks have been struggling if there is a recessionary fair that happens in the US right that will you know you won't see a big upsurge in commodities at that point in time"

"Small caps correct sharply but obviously they will recover as well."

"for a medium risk investor, you know, you should have ah let's say 10 to 15% allocation to gold, or you should have some debt allocation, right, you should have some liquid allocation for your needs, and and you know a good mix of funds, right, so now recently, if you look at mutual fund data, we saw a lot of people are investing into ah flexi caps, right, more like the recent flow in, like in January, people are investing into thematics, and people are investing into small and mid caps, now it has all shifted to Flexi caps right so in your portfolios I think having some exposure to a flexi cap strategy that can modulate between a different market caps plus you know have some small and mid cap exposure have some ah high quality large cap exposure right now I think we have chosen your funds wisely but or I think having a good equity allocation right now 60 70% could be reasonable for sure"