Q: In banking, we have seen HDFC Bank , Axis Bank in the Nifty both looking a bit weak, what is your view on banks? Do you think there is a bit more of weakness left in the banks now?
A: In the banking space, while as a brokerage house we are definitely bullish on the banking pack in the longer run, a short term technical correction might be in the offing. So, on all dips banking remains to be a buy. But we are waiting for a dip. In ICICI , we will say that Rs 850-860 is a good time to enter bank into ICICI. For HDFC Bank, we will see probably Rs 1680-1700 these are good levels.
So in most of the banking pack we are seeing that this dip should come. The Bank Nifty has also broken the crucial level of 9100, so we expect a little downside. We prefer private sector banks than public sector banks.
Q: In the past few days maybe we have seen Indian Hotels starting a kind of an uptrend, do you have a call on that stock at all?
A: Indian Hotels , the hotel stocks have been showing good moves, but presently there is no clear trend in this particularly stock, so it would be difficult for me to comment on that.
Q: Airlines stocks, we did see a bump up earlier in the month, any call on the airline stocks?
A: In the airline space, we like Jet Airways . Jet Airways has shown a good move in the recent past. We feel that the move from Rs 400 to 510 was the starting of the fifth wave. We expect this move to carry the stock right up to Rs 600 levels from the current juncture. The risk reward ratio is quite favourable at this moment. So you can buy the stock. Stop loss would be probably Rs 460. The stock should clear Rs 510 for it to move on the upside. The volume should pick up going forward. So we are expecting a positive move in Jet Airways.
