Avoid getting into Reliance Capital and other ADAG stocks: Ashwani Gujral

Ashwani Gujral, Chief Market Strategist, ashwanigujral.com in an interview with ET Now talks about ADAG stocks.

What is the call on AGAG Group stocks especially Reliance Capital?

When stocks fall like this, they fall below their intermediate lows which these stocks have done. Then confidence gets badly shaken and chances are that they continue to head down like this, maybe lose another 15-20% in fairly short order.

Certainly not stocks that you should be buying. If you have to, on any kind of small pullback you would still try to go short on these stocks because the point is they are no longer high beta. Whether the market goes up or down, these stocks tend to fall. So chances are that they will fall further.