Real Estate on downtrend: Rajat Bose

Rajat Bose, rajatkbose.com, in a chat with ET Now, gives his views on real estate stocks


What is your call on real estate counters because you do have a Parsvnath, Orbit Corp, Unitech, Sobha Developers and the like which are seeing a bit of pressure today?

I would say that what is happening is on expected lines. If you look at Indiabulls Real estate or for that matter Parsvnath or Sobha Developers their charts are not looking that great. Only real estate stock that were showing some traction was DLF and DLF was testing its 200 day moving average. It was trying to cross that, it has not been able to do. Rs 235 would be the level where it crosses the 200 day moving average. Other real estate stocks even the second rung real estate stocks like Sobha Developers or Parsvnath, their charts are showing no trendiness. In fact mostly the downtrend is continuing so it would take some time before you see some kind of a recovery and any recovery in this sector would be led by DLF and the second stock that you may consider would be Unitech but I would say as of now any investor thinking of fishing for bargains in real estate stocks it should be DLF and nothing else.