Jai Bala of cashthechaos.com on Tuesday said that the Nifty is likely to head towards 12,000-levels.

In an interview with CNBC-TV18, Bala said, "One must be cautious that the market has been going up for some time. So one needs to be flexible about these targets. So unless the market does something drastically different, I maintain the above view."

Stock specific, Bala said ICICI Bank would make fresh record highs of around Rs 380 and if Axis Bank closes above Rs 627-630, it will explode close to Rs 900, while the conservative target would be Rs 750.

“Axis Bank has been consolidating sideways for almost three years now and that is a symmetrical triangle. When such a compression happens for any security, the move above that compression will be an explosive one and that is why the stock could go to Rs 900,” said Bala.

According to Bala, one of the key pillar for the Nifty would be pharma, "The index is expected to go to a minimum of 17,250 with potential of going to 22,000. But since pharma does not have that much weight in the index, it may not push the Nifty too high. Expect pharma to do what IT did between 2016 and 2017."

Bala is also upbeat on Ashok Leyland and TVS Motor, "Rs 132 on Ashok Leyland stock would be a confirmation that it's going to record highs of above Rs 180. The correction in TVS Motor was just perfect and it's on its way to make record highs and go past Rs 800."

First Published:Aug 21, 2018 6:32 PM IST