Nitin Fire looks encouraging: Deepak Mohoni

Deepak Mohoni, Director, trendwatchindia.com in a chat with ET Now talks about Nitin Fire.

How does Nitin Fire look?

Any stock that goes up 18% is certainly going to look very good in the short term but this is not too bad for long term either. It did come down to about 65 and the demand is back. In fact Nitin Fire has been hitting the circuit today as well. It has come down from the circuit but it was there twice and it is kind of bouncing up and down from there. So this looks quite encouraging at least short term and not too bad from the long term perspective either.

We have a few circuit stocks today. So these are small signs which seem to add up that we are maybe starting an intermediate uptrend because the stocks, which were getting battered down so much - small caps and midcaps, bouncing back is a very positive sign. Even on Friday - when we had that bounce back from the market - the midcap for the first time outperformed the Sensex and Nifty in almost a month or first time since Diwali on a good rally. So the demand is coming back into these sectors and that I think is very positive. So Nitin Fire, for example, is symptomatic of this recovery and augurs well for the market - may be going ahead a couple of weeks.