Anu Jain, director of Equities at IIFL Private Wealth Management advised holding Oil India. She also recommended buying the stock on declines with a long term target of Rs 600.
Jain told CNBC-TV18, “Despite the rampage we saw in Bharat Petroleum Corporation (BPCL) and Hindustan Petroleum Corporation (HPCL), Oil India held on in the two weeks. It is again back to the Rs 550 zone where it was finding resistance. I would basically like to hold onto the stock, if I have already been holding it.”
She further said, “If one wants to buy it further at these levels, then buy with a stop loss closer to Rs 537. For a longer period the chart is heading towards Rs 600, but for a shorter period, I would play towards Rs 575 for a week to 10 days bias.”
“I would probably buy every dip if there is any and also on momentum because 5-7 percent is built into the chart. This is one of the charts, which was positive on a month-on-month basis. That is the reason I like it for a positive bias,” Jain added.