Will markets resurrect on Monday?

New Delhi: Experts are of diverse views on whether markets will open on a positive note on Monday.

However, they say the markets are looking attractive on the back that valuations have eroded by 15-20 per cent.

Some experts say that markets will be volatile while others feel that they will open weak and then will consolidate.

However, the over-leveraged positions, which were triggering of margin's calls have eased out and the markets are lighter now.

Investment Advisor, S P Tulsian has some helpful tips for all market watchers and investors.

• Over leveraged positions have got eased out so markets are looking light. Valuations are looking attractive and the indices having eroded by 15 per cent are also attractive.

• The problem of F&O leveraging seems to have eased out because all the brokers have liquidated the retail F&O positions, as they were unable to collect the margins. So the markets have become very light.

• As regards the political statement from the Left, we are not sure whether that will disturb the market.

• The market has come on track now because it was over leveraged and that was bothering the market and creating trouble.

• Do not see any panic at least from Monday onwards.

• The valuations also has eroded by about 15-20 per cent having markets coming at 11000 levels.

• Individual stocks, front line stocks, have corrected by about 15-20 per cent, which makes them an attractive buy.

• If you consider all these, then you could also see a bounce back from Monday. It might open in the green and remain in the green.

According to Upendra Kulkarni of Fortress Financial

• Once the market settles down then you can selectively looking at buying opportunities.

• I am not bearish on the market but currently times are uncertain. Lot of margin calls have been triggered off, so you don't know when it stops now and that is the big worry.

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• Once the market settles down then you can selectively look at buying opportunities. One should not run into the market until and unless you are a long-term investor.

• Markets will be very volatile next week. When substantial correction happens and margin calls get triggered off and that is worry some.

Sumit Rohra of Antique Stock Broking however feels that there could be some amount of panic even on Monday morning.

• Today's sell off has been more to do with local squaring up of outstanding F&O positions. Local funds have been very big buyers and selectively Foreign Institutional Investors are also buying.

• There has not been a major panic because of FIIs but this was basically because of F&O unwinding.

• This was bound to happen because there were Rs 45,000 cr F&O positions.

• We can see a 200 point fall and from there on market will stabilize and consolidate between 11,000-11,500 on the upper side.

• This panic has led to the erosion of wealth and now the lack of confidence in the market is going to make people not come forward. If Monday, the market is at low levels of 10,700, then it would act as major support.

• Liquidity is drying up from the retail side. Investors should selectively look buying because the 10,500 will give support to the market. I am still bullish on the market and the GDP will continue growing. India story is still intact.