Ashu Madan, President of core client group at Religare Securities advised selling Reliance Infrastructure above Rs 400 level.
Madan told CNBC-TV18, “For Reliance Infrastructure Rs 400-500 is a band where anytime one could look for an exit. Typically the psychology of everybody in the market is we tend to keep tracking our buying price which is not a very realistic operational angle to look at the stock because I have bought at particular price I should keep waiting. I don’t think the average in this stock is a right strategy to do.”
“The only thing possibly is to wait because it goes for all other stocks also. Today after correction of almost 200 points in Nifty in the preceding days, everything is looking down and out. Not a good day to exit investment holding which we have been holding since long. Below Rs 400 the stock has broken the crucial levels also. It is in a downtrend. However plus Rs 400 is a price where one should get out and probably at a little higher price one can go short rather than averaging this stock,” Madan added.