New Delhi, March 31 -- Himanshu Kohli, Co-founder, Client Associates believes current Nifty level of 23,500 is reasonable, not stretched, valuations are elevated but not euphoric. Kohli predicts Nifty target for the year-end to be around 26,000. He also suggested that tactical corrections would be healthy and may offer better entry points. Investors should watch for profit-booking in overbought segments, particularly in small and mid-caps. Unlike the fast rally to 26K, the next move higher will require broad-based earnings growth, especially in lagging sectors like IT and consumption, added the expert. Edited Excerpts.

The medium-to-long term outlook remains constructive, but volatility in the near term is likely, especially around domes...