Last week saw the market jump to an all-time high. Although the market has been volatile since then, investors are keen to buy stocks at a lower level. The market closed with gains this week.
Although the market experienced a correction of more than five per cent before the budget, the stimulus provided by the budget pushed the market to new heights again. The Nifty and the Sensex are up more than 10 per cent following the budget. Many stocks gained 30-40 per cent in this jump.
Many investors share the concern that this unusual move has put the market at a cost. This is because the stock index is expensive in terms of valuation.
The Nifty and Sensex doubled from March lows. Many stocks have tripled or quadrupled during this period. At this point, investors are asking if this is an opportunity to make a profit.
At the same time, in the current market environment, do not think that it is time to withdraw the investment completely. Strong reasons for continuing to invest still exist. Intermediate corrections occur naturally but the market is likely to remain bullish.
The Nifty has resistance at 15,260 and 15,500 levels and support at 14,750.
