Market trend is clearly up: Sajiv Dhawan

Sajiv Dhawan, MD, JV Capital Services

What do you think of the markets right now?

The trend is clearly up. If you buy at dips, you are making money. If you are trying to catch the short position, at best, you may be getting 40-50 points, it is just not worth the risk. If you have a stop loss of 50 points to make 50, over a period of time you are not going to make decent profits. This is zero-sum game.

The way probably lot of short sellers are playing the market is by buying put options, they are not expensive. What you buy for August, for September, they are not that expensive at all. Aggressive shorting, the problem is that even with all the bad news that you have seen globally over the last couple of months, the markets really are not cracking unless you see a complete absence of liquidity.