Dutta sees Reliance falling significantly lower from these levels. “The take on RPL is probably more important than the take on Reliance itself because those two stocks will move together,” he said.

11. Mehraboon Irani, Vice President, PMS, Centrum Broking prefers to go in for the capital goods, banking space. “I would like to look at the commodity space; a space on which I have been underweight for quite sometime. But let’s look at a classic example of Tata Steel; I know for sure that foreign funds have been selling into it. The same stock people were saying had a lot of value around Rs 550 just a few months ago. Today at Rs 350-340-360 people are dumping these stocks, there are short positions also being created but apart from that there has been delivery based selling in this particular counter. So what happened of the value, which people are talking at Rs 550 over the next six months or nine months? People will talk about value and say that there was a lot of value at around Rs 350 and it was the chance to buy.”

 Irani said, “I have always believed in an institution called the stock markets and markets will find its feet, maybe sooner than what many of us expect and we will be able to stand up again. Right now it is a tidal wave, we have been washed out. The fact is that we have lost a lot of money, everybody amongst us has lost a lot of money, marketcap has come down. I am ready to put in 20% of the money right now. We may see possibly 11,500-10,000 but at the end of it as and when we bounce back, possibly six months later we will end up buying things at levels much higher than what they are today.”

 12. Shashank Khade, Vice President, Portfolio Management Services, Kotak Securities feels that as an investor, one should rather wait for the earnings of various companies to be announced, outlooks of various companies to be discussed rather than really taking a plunge just before the earning season.

 “Banks are still far better than where they were in the month of June while the markets made a new low that time. So, PSU banks have held up really well so far and that is clearly because of bond yields. The crux of the situation right now is that do you really expect a 3G auction to take place? If it happens then of course fiscal position of India improves. But a wild thought that people have in mind is that will a 3G auction process happen in these market conditions where you cannot even raise capital and lending from borrowers is just not coming, do you really expect auction to happen because these are not the best of times to have an auction because you do not get great prices for a spectrum, which you have. I am not very sure on that because more 30,000-40,000 crore of government borrowings means bond yields completely harden substantially from where they are. So, that is my worry right now and one needs to see whether this market rotates between sectors when it starts going down,” Khade added.

 Shashank Khade feels that the downside needs to be looked at from a sector point of view because some of the simple ones which were to be sold out have gone through this process of realignment. “The next set of realignment is where today the earnings are certain and you are looking at a possible slowdown in earnings in the next couple of quarters. Those are the ones which probably are still subject to risk based on what sort of outlook of these companies are given the way the market conditions have changed. If there are certain companies which will stand by their earnings growth and still continue to grow, the way they have been projected then these stocks do not have too much of downside. I would really not believe that the outlook for companies will remain steady, the way it has been all these two quarters back and more importantly normally after Q2 we tend to start looking at the next year’s earnings.”

One thing is clear from all the above expert opinion that Indian stock markets are near the bottom and this particular down turn in the share market offers a great stock investing opportunity to stock pick for the long term stock investors.