Markets bounce back: Experts pick their current favourites

The market has bounced back well today on the back of positive global cues, and experts give their views on few sectors and stocks that they are positive on.
The IT and FMCG sectors seem to be favourites with most market analysts, they also like cement.

Positive on FMCG, cement, metals, power equipment stocks

The overall macro environment, which has been changing, one should have a combination of defensive stocks as well as certain stocks, which on a pro-active basis look good.

We like the FMCG space and particularly ITC on a long-term basis, other sectors like cement, the non-ferrous metals like Hindalco and Sterlite Industries look good.

We also like the power equipment sector, stocks like ABB, Siemens, the power transmission segment. These the sectors, which we are concentrating at the moment and also some selective midcaps.

Technology is also a defensive play at this point
I think as far as the technology pack is concerned led by Infosys, which has given 30% guidance in the increase in profits and I think most of them will follow this. I think technology appears to be defensive at the current level and at the same time, the way the rupee is threatening to go down, will also give a lot of comfort and so in our sense, the technology pack will be a part of the overall defensive portfolio strategy.

ITC, RIL, Bharti, Dr Reddy's look positive

I am looking at a good bounce in ITC. My target for ITC is Rs 181 and it could be met today or tomorrow. Reliance Industries is also looking pretty much positive. Bharti - Airtel and Dr Reddy's is also looking quite positive. Slightly away from index stocks, I also like Sterlite Opticals.

I am not actually expecting the bull run to be back, or saying that markets have already formed a major bottom and all. I am only looking at it from a trading perspective. I would settle all these issues only when Sensex crosses 10,735 level and moves to about 11,050.