Apr 20, 2012, 10.39 AM | Source: CNBC-TV18
Buy Godrej Industries on dips, says Sudarshan Sukhani of s2analytics.com.
Sudarshan Sukhani (more)
Technical Analyst, s2analytics.com | Capital Expertise: Equity - Technical
Sukhani told CNBC-TV18, "First of all Godrej Industries is making those new highs. Now for the last 3 days it’s in a very narrow range consolidating. At least stocks can't consolidate for long, while the index can do that for much longer. This consolidation is going to end and because of the strong up trend that we are seeing in Godrej it’s reasonable to assume that it will breakout on the upside and continue its upmove. It’s an excellent stock to be in; it’s a buy on dips stock. I have explained earlier it’s in the same position as Hindustan Unilever was when it was trading at Rs 300."
He further added, I had thought that after that big decline on IGL, Petronet also fell and maybe there will be a buy on dips opportunity but that has not happened. Petronet LNG has now actually weakened, it has come back to the levels at which it closed on the IGL news day, so there has been no rally essentially. If there is no rally, if the market is responding to bad news, if support levels are willing to be broken then we should be short. At the worst, we will have a correction because that Rs 155 level is now being taken out on the downside, so that correction should be tradable."