Buy BHEL only if it hold support of Rs 220, says Sudarshan Sukhani of s2analytics.com.
Sukhani told CNBC-TV18, "Bharat Heavy Electricals (BHEL) is actually a buying opportunity but it a buying opportunity for a very risk acceptance traders. The stock has come down to Rs 220; a level where it has reached many times and bounced back."
He further added, "With the stock reporting, it is anybody’s guess where it can go but those who assume that Rs 220 will hold, would be justified in taking a short-term trade on the long side, ideally by buying Calls and hope that all works out and this support can hold. Below Rs 220, there is nothing to hold onto and consider selling it. Therefore, it is really a stock where both trades could work out."
At 11:09 hrs Bharat Heavy Electricals was quoting at Rs 227.10, down Rs 0.60, or 0.26%. It has touched an intraday high of Rs 229.95 and an intraday low of Rs 226.
The share touched its 52-week high Rs 328.35 and 52-week low Rs 195.05 on 22 February, 2012 and 12 September, 2012, respectively. Currently, it is trading 30.84% below its 52-week high and 16.43% above its 52-week low. Market capitalisation stands at Rs 55,585.00 crore.