Geopolitical Tension Arises between India and Pakistan – 48 hours.
Geopolitical Tension arises between Indian & Pakistan every day. We cannot predict the market movement as it may slide further 5% from here if war is declared between India & Pakistan. Even if market corrected 5% from there, we are pretty much confident of rolling back to same level once the geopolitical tension is over. As communicated earlier the NIFTY is locked up with the circuit of 10650 to 10950. If war declared, we can easily see the NIFTY can break the support of 10650 where as if both countries initiated the softened talk make NIFTY to trade between 10650 to 10950 but breaking 11000 point required strong bull market confirmation like election result.
So we maintain neutral on Indian market and keep adding on dips. Todays watch list Sell TCS and Bata india.