Markets in Uncertain Territory, Eyeing Budget 2016: Sajiv Dhawan

The Nifty could move up to 7,700 or even higher in anticipation of positive announcements in the budget, but a disappointment on February 29 could lead to a major selloff, said Sajiv Dhawan, MD of JV Capital Services. (Watch)

"Markets are currently in an uncertain territory and want to see some action on the ground for the feel good factor to come back," he said.

Mr Dhawan said the turmoil in global financial markets is also hurting Indian markets.

"The situation is very uncertain. It is not just domestic uncertainty but also global uncertainty. Still there is a lot of nervousness and that uncertainty is the problem for the markets."

Mr Dhawan said retail investors who had invested at higher levels are "getting a bit frustrated".

However, after the recent correction, he said, a lot of good quality stocks are available at cheaper levels

He advised retail investors to invest in equity mutual funds with a 2-3 year perspective.

Stock Picks

TCS and Reliance Industries, Mr Dhawan, said are among his short-term stock picks. Investors keep a stop-loss on their positions due to the volatile nature of the market, he added. Mr Dhawan said pharma can be a good sector for long-term investors, but it not suited for trading perspective.