Pullback likely to continue; may stretch upto 6100: Ashwani Gujral

In a chat with ET Now, Ashwani Gujral, Fund Manager, Ashwanigujral.com, shares his views on the market. Excerpt:

ET Now: How would you read into the attempted pullback in the last 15 minutes from tomorrow’s trade?

Ashwani Gujral: It appears that there are not any great flows because the strong group which is the IT index did not really go up.

ET Now: But you were making a point about the pullback today.

Ashwani Gujral: The CNX IT has only moved up 10 to 15 points, and Reliance has not moved up at all. The metals, banking and the pharma sector is more attractive.

So, whenever rallies are being led by the weak groups in the market you have to be skeptical. We have seen that with one day’s down move, the market basically takes out everything it has gained over the last four or five days. So, the market is still in a pullback mode. The fundamental concerns may be out but the structure of the market is showing that it is not attracting great amount of fund flows; so, till that does not happen I do not think there will be great momentum or too much upside above 6100.