Pune techies wary of buying tech stocks

The morale and situation of the stock market is so low that even tech professionals are scared of investing in its stocks.

The morale and situation of the stock market is so low that even tech professionals are scared of investing in its stocks.

"The stock market is constantly fluctuating and the stocks are at an all-time low. I had bought shares of a particular company at Rs 120. Today, its price is struggling at Rs 55," Sagar, a project analyst said.

Sagar feels although it's time to buy stocks, risk is still very high. "Due to global recession and no job guarantee, one prefers to save money than invest in a volatile market," he added.

Considering the uncertainty in the sector, Nikhil, a senior project developer in Aundh, doesn't want to take chances. "I don't want to land up in a double trap. As it is I face the threat losing my job," he said.
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Stocked:People are hesitant to invest in stock market due to the global recession.

Kiran Jadhav of Precision Technicals Pvt Ltd agrees with the general view. "Although Infosys' Q3 results have been impressive, the stock price have not moved up drastically. This shows there are no fresh buyers in the market," he said.

Jadav also cautions the investors, "I don't feel that investors should put in their hard-earned money in the stock market now. They should wait for opportunities that is likely to arrive by mid-June when uncertainties like budget and elections will be over."

Ganeshprasad Pradhan of Sajag Securities presented a different opinion. "Looking at the current state of the market, chances are there that the market will slide down 10 to 20 per cent. On the other hand, there are chances of it gaining 100 per cent," Pradhan said.

According to Pradhan, this is the time to invest in blue-chip companies with long-term horizons. "Investors should also consider investing in mutual funds in Systematic Investment Patterns (SIP)," he said.u00a0 Pradhan feels that those who invested thoughtfully are certainly in a better position.

But there are some who are still not taking chances. Pradyumna Joshi of Cape Gemini was one such investor.

"The market is volatile after IT company debacles. Till the government imposes stricter regulations against auditors, I will not invest money in IT stocks," he said.