9 stocks that were buzzing last week, how to trade them now

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Cipla

Thacker told CNBC-TV18, "One of the frontlines of Pharma sector, Cipla is trading very close to its all time highs of Rs 360. The monthly and the weekly charts suggest that this stock will remain in an uptrend for quite some time. So I would probably indicate a target of around Rs 400 plus over the next 3-4 months. So I would suggest to hold and Rs 320-330 is a good support range."

Sekhar told CNBC-TV18, "Although the companies geographical partnerships are reaping in rich dividends and there are some corporate developments like entry into the EU inhaler market, which are going to be short term positive for Cipla, but I think the main overhang is the rich valuations. Because of the kind of run up this stock has seen, at 15.5 times EV-EBITDA in FY11, there is a very little room for disappointment in earnings or corporate developments or anything even around the pharma industry.  So I would be careful as an investor and I would give Cipla a miss, a 25-30% correction from here. I would clearly pass Cipla and look at other Pharma counter."

Bajaj Hindusthan

Sekhar told CNBC-TV18, "There is a fresh lease of life that has been brought into the sugar sector because the retail sugar prices have really touched their all time highs and that is likely to carry Bajaj Hindusthan a little bit more. But again the weight of fundamentals will bear on Bajaj Hindusthan and along with it the rest of the sugar stocks. On September FY11 numbers, it is very difficult to justify the valuations clearly on return ratio because although your profits and growth would look fantastic, but the kind of capacity that has been put up by this company and the return on capital will look very depressing. So from a long term perspective, I would advice the investor to stay away from this stock."

Thacker told CNBC-TV18, "Some kind of a momentum uptrend seen in the stocks like Balrampur Chini Mills, Shree Renuka Sugars, which are making a new high, so for a momentum trader probably pretty okay. Bajaj Hindusthan is facing supply at Rs 235 level. Once it crosses Rs 235 probably on a short term basis you could get Rs 255-260 level."