Mar 18, 2013, 07.13 AM | Source: CNBC-TV18
Rahul Mohindar, viratechindia.com advises traders to buy BPCL, Exide Industries and Sun TV.
Rahul Mohindar (more)
Director, viratechindia.com | Capital Expertise: Equity - Technical
Mohindar told CNBC-TV18, “Bharat Petroleum Corporation Limited (BPCL) is a stock in which we have seen a lot of accumulation over the last three or four weeks. Now, one is sensing some kind of a breakout. The last two or three days we have seen some pickup and what I believe is if one could hold on for a three to four month period one could look at targets anywhere between Rs 460-480. So, we are talking about new intermediate highs coming in and buying around the Rs 395 level with a stop below Rs 380 you are kind of risking Rs 15-20 but looking at a 60-70 gain.”
He further added, “From a trading perspective and a short-term three to four month perspective it offers a fairly good opportunity with that Rs 380 stop in mind, Rs 460-480 being a target on BPCL one would go long. The second stock which I would look at would be Exide Industries. The stock consolidated for the last two months. We have seen it almost in this range of Rs 120-132. There has been a lot of price action, lot of volume which is filled up in this whole zone and when we finally breakout above Rs 132-135 that is when one could look at a sizeable up breakout. So, the only caveat being that one should wait for that up breakout, wait for Rs 135 to get taken out and Exide would be ready to move to somewhere between Rs 155-160 which was the previous high it made in 2012. So, that could be an interesting short-term opportunity there.”
“The third stock which I would look would be Sun TV. A bit of an aggressive bet here but what we have noticed is Rs 410-440 in the last three weeks has been the range for the stock and if we look at it from a volume perspective one can see a lot of volume within this price zone. If we study the last six months of volume data, most of the volume is come in around this whole price belt of Rs 410-440. We have started breaking out above those levels, Friday saw that breakout and we are poised for somewhere between Rs 500 and Rs 510 as a target. So, one could go long on Sun TV for that Rs 510 target.”