Sell RIL, RPL on rallies

Subramanian told CNBC-TV18, "We are coming after few years of significant upturn on the refining side and now margins are slowing down and even for complex refineries like Reliance petroleum and Reliance the mix of the margin between transportation fuel and other side has turned against them. So when any of these big trends turns down the market always tries to see where it’s going to bottom out and not anticipate a bottom based on what has happened in the last one-two years, so to that extent till the refining margins stabilise and say, we can now say this is the base minimum that you can work with. The earnings estimates are going to be all over the place. So I think that’s not the space where you are going to get any joy in the near-term. I would still be cautious on stocks like Reliance and Reliance Petroleum and would sell them on rallies than look to buy them."