Market at record high! Which stocks should your money chase now?

The euphoria on Dalal Street got a further leg up on Thursday from the US Federal Reserve, which offered a dovish outlook on future interest rate hikes and pushed the BSE Sensex to an all-time high.

The Sensex closed 1.2% higher at 62272.68 points after hitting an intraday record high of 62412.33 points. The Nifty50 ended at a record high of 18,484.10 but is a little over 100 points away from its intraday lifetime high of 18,604 touched in October 2021.

With bulls gaining strength, market experts see more legs to the rally and expect the Nifty50 to also scale a fresh high before the end of this month.

Here are a few views and tips from some of the experts on where you can put money in a rising market:

V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services
Two triggers assisted the Sensex rally to record highs. First, in the mother market US, the market construct turned favourable with rising equities, declining bond yields and a falling dollar.

Second, macro developments in India show a steady rise in credit growth and capex, indicating strong economic recovery. Along with this, a sharp correction in crude is a big positive.

Ajit Mishra, Vice President - technical research, Religare Broking
Markets have reclaimed buoyancy, and we expect the tone to continue. However, participants shouldn’t go overboard and continue with selective buying.

The banking and IT pack look firm to us, while others are seeing a mixed trend. We reiterate our preference for index majors and quality midcaps and suggest focusing more on overnight risk management.

Mohit Nigam, Fund Manager & Head - PMS, Hem Securities
We believe that Indian markets are trading in a positive trend backed by strong corporate earnings, easing supply constraints, cooling commodity prices and strong demand across various sectors.

Investors should use any significant dip as a strong opportunity to buy in these markets.

On the technical front, immediate support and resistance for Nifty50 are 18300 and 18600, respectively. Immediate support and resistance for Bank Nifty are 42500 and 43500, respectively.

Yuvraj A Thakker, MD, Stoxbox and BP Wealth.
There are few pockets in the Indian market which are looking good from a medium to long-term perspective. The corporate earnings, especially on the banking side, have surprised us positively.

Strong credit growth, lower provisioning post-Covid and improving asset quality bodes well for the next leg of growth of the sector.
Investors can also keep a tab on automobiles, capital goods, infrastructure and select consumption and cement stocks.

On the flip side, the chemical sector has largely disappointed, given the margin pressure and gloomy global scenario. We feel that it would take some heavy lifting by the guys in this sector to justify their valuations going forward.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)