Technical charts signal bottom is in place for markets: Ashwani Gujral

In a chat with ET Now, Ashwani Gujral, Fund Manager, Ashwanigujral.com, talks about the levels markets may see in the days to come.

ET Now: What is your view on Nifty?

Ashwani Gujral: Technical analysis tells you that if the size of the downswing is equal to the size of the upswing, it signals that the market is bottoming out. We had fallen from 8,450 to 7,950 levels on Nifty. Now, we have seen an equivalent recovery. There is a very big chance that the market is putting in a bottom.

We may not run to 9,200 on Nifty immediately. We may move in 8,000-8,500 sort of range. That said, given the way largecaps are moving— particularly Reliance and the overall oil and gas pack, it appears that we should now possibly head to the upside. Therefore, even as we may see some sort of volatility in the futures market, it may be a good idea to buy into 8,200 Nifty July calls as it appears that we should be higher than where we are right now in July.