On the brighter side, Dabur expects Q2 gross margin to expand at a faster pace than Q1 when the metric had risen by 74 basis points year-on-year to 46.6%.
“Whenever consumer stocks correct 20% odd from the top, we take a look. Asian Paints has its own issues going because of the entry of Grasim into the paints sector, growing competitive intensity and to that extent, it is a different story. But possibly something like Dabur, Godrej Consumer or Britannia, are the stocks we can buy at lower levels.”
Bank Nifty is trading at an inflection point and 46,200-46,500 levels in the upside are very critical as only a close above 46,500 levels will confirm the overall larger breakout.
According to independent market analyst, Ravi Nathani, both Nifty FMCG, and Auto indices hint at a bullish trend in the near-term, and traders can employ sell-on-rise strategy