Over-optimism in IPO space is a sign of caution: Mehul Kothari, Anand Rathi

Domestic equity market benchmarks BSE Sensex and Nifty 50 were trading nearly half a per cent higher on Tuesday. BSE Sensex was hovering around 53, 150 while the Nifty 50 index crossed 15,950. Infact, Nifty touched an all time high of 15,965 intraday giving hopes of 16,000 being breached on the upside. Mehul Kothari of Anand Rathi spoke to Money9 on whether Nifty can achieve that feat soon. "There are two possibilities. Markets have always faced selling pressure here in the past. There are chances of positive momentum sustaining. Would still recommend investors to remain stock specific" On the rush of IPOs this week, he believes that looking at the over-subscriptions and optimism in primary space has usually led to caution in the secondary markets. "After 400-500 points of an upmove in the Nifty, we see caution coming in", he said. Stock Recommendations PFC | Buy | Target: 148 | Stop Loss: 128 Tata Power| Buy | Target: 150 | Stop Loss: 120