The unique feature of the ongoing bull market in India is its ability to climb all walls of worry. The market dismissed all concerns relating to elections, the Budget and the correction in the mother market US. The buy on dips strategy which has played out well in this rally continues to hold good. However, the valuation discrepancy - largecaps fairly valued and mid and small caps highly valued - continues. Long-term investors should exploit this discrepancy by buying quality largecaps on declines. FPIs have again turned sellers and this might put further pressure on largecaps even though the FPI selling is being matched by DII buying.The US Q2 GDP numbers coming better than expected at 2.8% further reinforces the soft landing hope for the US economy.