NEW DELHI: Ashu Madan, national head, Religare, said expectations from the Budget are still on the lower side...

Do you get a sense that we can break out of the 4,800-5,000 range on the Nifty by Budget?

Madan: Looks difficult because I don't think there are any positive triggers.
Currently, the risk-reward is not in favour of going long...you will see this intermediate trend of bounce...look at specific stock movements... the retail participation has moved into mid-caps, and that is the space that is abuzz with activity...

Somewhere, I feel that there is fatigue in the system...expectations from the Budget are still on the lower side, and it is also right because every time we get carried away...

If you analyse the results, toplines have increased, which is very good but the bottomlines are not commensurate with that because of rising commodity prices and/or rising input costs...

So, this range probably will be around with a lot of volatility as far as Nifty is concerned...

What is your own reading on metals, which were in a bit of a tear today... how are you reading the valuations?

Madan: We hold a positive view on metals but we are not unduly concerned about valuations. I recommended that one has to buy the stocks on meaningful corrections. 

How are you positiond on the oil sector - overweight, underweight or neutral?

Madan: We were having a neutral kind of a stand... but we were a little bit bullish on HPCL and BPCL just for the trading positions...

Overall, we feel that there is no point putting too much of money leaving out many other opportunities available in the market. We are watching it closely more for academic reasons than active participation.