“From one earnings season to the other, we are definitely seeing some progress being made in terms of better operating profits. These are great times for investors who have weathered the correction which took place over the past few months and now the next few weeks and months look quite interesting. I see a lot of reversion to mean and maybe the indices can cross the previous highs.”

“One of the stocks is NCC, which paid out a Rs 2 dividend. It is a 3% dividend yield on a stock. They have cut down their debt. The order book is strong and they will do well. The second is Ahluwalia Contracts, which is a debt-free company. They have cash on their balance sheet and have been getting decent orders.”

“It is not a rally where everything will move up the way it has moved in the last one-and-a-half months. We should focus on companies which can deliver good results in the next few coming quarters and where there is a resilience which will benefit from commodity prices cooling off and where the valuations are comfortable.”