As bulls return to Street, what should be your investment strategy?

A steady fall in Covid cases in the country that triggered gradual re-opening of the economy amid supportive global cues has helped market bulls get their mojo back.

The upbeat sentiment is not only limited to the benchmark indices - the Sensex and the Nifty but has had a rub-off effect on the small- and mid-cap indices that are trading at all-time highs.

While FIIs seem to be returning to the Street after a two-month hiatus, analysts believe active retail participation is also a major driving force in the market. 

Technical chartists see more upside in the offing and expect the Sensex to hit 53,000 going ahead, while the Nifty is seen crossing the 16,000 mark for the first time ever.

At the fundamental level, while most economists and brokerages have trimmed India's fiscal 2021-22, or FY22, growth estimates, they see the impact of the second wave contained within the April - June quarter of this fiscal. Corporate profits, analysts believe, are likely to rise going ahead, but the fact remains that valuations are very high and a third Covid wave is possibly looming. Amid this backdrop, what should be your market strategy?

In this podcast, Business Standard's Saloni Goel caught up with Gaurav Garg, Head of Research at CapitalVia Global Research and Milan Desai, Lead Equity Analyst, Angel Broking to understand where is the market headed, which themes look attractive, what are the near term challenges and more. Listen in!