See what experts have to say about the recent increase in market. What will be the next target level for secondary market?

Since the beginning of Chaitra 2073, the market has been witnessing bullish trend. After gaining 128 points last week with turnover of almost Rs 6 arba, NEPSE index went up by 47.79 points to close at 1533.83 on the first trading day of this week (Chaitra 13, 2073). This sudden increase has not only provided confidence to the investors, but has also confused them more. ShareSansar spoke with some market experts and investors to know their opinions on this matter. 1. Satish Kumar Shrestha, Broker Number 22 (Sipravi Securities Pvt Ltd) In my opinion, the news of paid up capital increment for insurance companies has pushed the insurance sector up as it may be one of the reason of recent rise in stock market. Also, the share price of insurance companies had fallen massively before and it was a good time to grab them at low prices. Now, there is a charm in banking industry since the third quarter report of banking sectors will be arriving soon and BFIs in particular will be generating more profits in upcoming reports. Likewise, the news of local election has strengthened the stock market positively. If the election happens, it will further encourage the market to go up. The problem of credit crisis in the market is also reducing slowly and BFIs are slowly increasing their margin loans, so this might also be one of the reasons for this uptrend. Going forward, there might be a slight correction in the market, but on the whole, the market will remain in the bullish trend after Chaitra end, added Mr. Shrestha. 2. Nanda Kishore Mundara, Broker Number 28 (Shree Krishna Securities) The market has been facing downward trend for a very long time, so it might be one of the reasons for this sudden bullish trend. Another reason might be that the banking sectors are not able to provide more interest in call account and the investors might have invested that money in share market. The deadline for capital increment is also nearing and the BFIs must meet paid up capital requirement, so it is also one of the reasons for the increment in capital market. We need to watch the benchmark index for a week more to know the next target level, added Mr. Mundara.  3. Srijesh Ghimire, CEO of NMB Capital Limited Fluctuation in stock market is a natural process. Market will show some correction, and afterward the increasing trend signals the stability in the market. In my opinion, NEPSE Index might hover around 1400 - 1500 range for certain time. Political condition of the country always has some sway over the share market. Nepal stock market is more driven politically. The recent news of election has shown positive impact in the stock market. 4. Ujjwal Bohara, Investor Analyzing the history, this period has always been an entry point for many big investors. For past one week, the market has had huge turnover above Rs 1 arba which also supports this. Apart from that, the deadline of the capital increment for BFIs is near which has further motivated the investors to opt for those companies that can provide higher returns.