In an interview to CNBC-TV18, market expert Jai Bala, shared his reading and outlook on markets, specific stocks and sectors.

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Talking about markets he said, "The Nifty is on track for its medium term price objective that I have been projecting to 12500. However, in the short term, traders need to give allowance for some kind of volatility.

"My anticipation is that whatever be the type of correction, in extreme short term, there are a couple of possibilities but the way the market has panned out in the last half an hour, I think it is coming back to that 11300 ballpark. In technical parlance we call it an expanded flat, I think that is the kind of correction it is doing at current levels. So, that should bring the Nifty closer to 11275 and that will post the right structure for this market. Similar for the banking index, you might see 29100 for one more time.

"Traders need to expect a bigger volatility in the banking index compared to the Nifty. The support for the Nifty is at 11275, I do not think that is going to go but the next one is at about 11100, likewise for the banking index 28000 is holding pretty well. However, the broader point is whatever be the correction you should focus on the higher time frame, you should build positions whatever be the fall. I still continue to believe that this is a buy on dip markets, nothing has changed, we are still going to record highs."

On stocks he said, "Between October and January it was FMCG which led the markets and now it has pulled back and corrected. HUL about which I spoke last time too has come to a very important support and is bouncing back from those supports. So, watch out for a few FMCG names.

"Autos--I tweeted last week that Tata Motors has formed an inverse head and shoulders pattern, and even before that I had said during the headline number of February that it has put in a spike bottom and is likely to go back and retest somewhere around Rs 150-160 mark but it came slightly deeper than that. So, what Tata Motors is actually doing at current levels is probably reversing a part of the move from 2015 to 2018 decline. So, that is another interesting bet.

"Many of the auto names are bouncing, even Maruti when we spoke last time, I said it needs to go back and put in a second leg around the Rs 6500 mark, it exactly did that and it is bouncing back, it has come up to Rs 7200. Once 7300-7350 is taken out, I think it is heading somewhere close to Rs 7900.

"So, autos, FMCG are looking good and IT is in on the verge of clocking fresh all-time highs. So, most of the names are looking good."

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