Poll outcome above expectation. Advise buying on dips: K Subramanyam

K Subramanyam, AVP (institutional research), Asit C. Mehta Securities

The results are well above expectations. The Nifty is set to target 8000 in the next 2-3 months as cabinet formation and budget kicks in. The moot question is whether it would be a one-way movement or whether profit-booking would take the index closer to 7110 and 7000 before resumption of the rally towards 8000; a lot will depend on the FII activity in today's markets.

Investors could look at the undervalued and under-owned sectors such as infra, transportation, power ancillaries and power-finance companies; and adopt a buy-on-dips strategy to ride the expected upmove.