Indian Stock Market Outlook: Ashika’s Head of Research Shares How to Navigate the Market Correction

The Head of Institutional Equities Research, Ashika Stock Broking, Ashutosh Mishra, has been featured in the Economic Times and Times of India today to share his views on the current Indian stock market.  

The Nifty gained 427.8 points (1.93%) throughout the week, while the 30-share Sensex increased 1,134.48 points (1.55%).

His analysis comes at a crucial time as investors navigate current market volatility.

Sectors to Avoid: According to Mishra, avoiding metals and autos due to trade wars and demand issues should be avoided at the moment. He also cautions against realty and durables due to lack of momentum and small/midcap cyclicals because they can be a “trap” without liquidity or earnings support.

Small & Midcap Strategy: Ashutosh Mishra views small and midcaps as a “buy-on-dips” play rather than a straightforward “buy-now” strategy. He suggests accumulating these via SIPs and focusing on defensive stocks while keeping 20-30% liquidity to capitalise on opportunities in the future (Q2/Q3 2025). 

General Advice: Mishra advises clients to be patient, avoid panic selling, and view the market correction as a long-term buying opportunity, especially focusing on companies with strong balance sheets and stable earnings growth.

“Investor sentiment will remain cautious, with defensive sectors and large caps likely to outperform in the near term. We expect the consumer, BFSI, and metal sectors to remain in focus,” said Ashutosh Mishra.