Auto sector rally not over yet: Rohit Srivastava

economictimes.indiatimes.com:

«It is pretty much normal because we are in the pre-expiry week when a lot of the stock options go into margin. From Friday onwards the margins start to apply. So, typically, there is a case for some profit booking that comes in, especially related to the option segment,» says Rohit Srivastava, Indiacharts.com.What is your sense, at one point of time it looked like we are going to race towards that 20,000 mark, but now a bit of a tempered move, a bit of a consolidation?It is pretty much normal because we are in the pre-expiry week when a lot of the stock options go into margin.

From Friday onwards the margins start to apply. So, typically, there is a case for some profit booking that comes in, especially related to the option segment. So, we remain prepared for that.

We just want to look at levels. I think what will end up happening is the last three to four days gains, we can retrace a little more either 38% or 61% retracement of that can actually be seen, so to put out levels that would mean either a dip to 19,664 which is 38% and if we do a little more than that say 19,558 is around 61%. Now, Bank Nifty has already given back 38% to 50% percent of the three-four-day rally intraday up to yesterday's low.