Bulls may remain in control
After a fairly volatile month, looks like the market may have kicked off the much-awaited pre-budget rally. The Sensex gained 4.5% in January after a listless December. The rise last month came without much support from the FIIs, who have been pretty slow in the first month of the new year. However, if Friday's session is any indication, the outlook for overseas portfolio investment appears bright. S&P's decision to upgrade India to investment grade should also help attract more money into India. However, one must be always careful as the indices are in unchartered territory and there's always danger of a correction though any fall is unlikely to be too severe. Still, it pays to be on a safer side. Also, with the results out of the way, the market may turn rangebound and choppy in the near term. The medium to long-term outlook remains bullish. Although stock specific activity will continue, the market is expected to witness some consolidate at higher levels. Although, we would like to believe that the undertone for the market is upbeat, one must not get sentimental. The market has risen smartly in last couple of sessions. So, some profit booking is not ruled out. Investors should stick to a stock centric approach.