• Language
  • App
  • Subscriptions
  • Specials
  • Sign-In
  • Register
GeStepAhead Realasset Realasset
moneycontrol.com

Home » News » Stocks Views

Feb 15, 2013, 12.59 PM | Source: CNBC-TV18

Nifty may not cross 5970, buy beaten down stocks: VK Sharma

Nifty has been performing sluggishly in the last 10 days. VK Sharma, Head Private Broking & Wealth Management, HDFC Securities feel it will be very difficult for the Nifty to even cross the level of 5970. He prefers to continue selling on the rallies.

Like this story, share it with millions of investors on M3

Nifty may not cross 5970, buy beaten down stocks: VK Sharma

Nifty has been performing sluggishly in the last 10 days. VK Sharma, Head Private Broking & Wealth Management, HDFC Securities feel it will be very difficult for the Nifty to even cross the level of 5970. He prefers to continue selling on the rallies.

Post Your Comments

Share Cancel

VK Sharma (more)

Head Private Broking & Wealth Management, | Capital Expertise: F&O

Nifty has been performing sluggishly in the last 10 days. VK Sharma, Head Private Broking & Wealth Management, HDFC Securities feel it will be very difficult for the Nifty to even cross the level of 5970. He prefers to continue selling on the rallies.

Also read: Multibagger idea: Tulsian bets on 1 largecap for 30% profit

Sharma recommends buying been beaten down stocks like Reliance Power . He also suggests buying the 450 put in L&T at around Rs 32 and 100 put in Crompton at Rs 3.90.

Below is the verbatim transcript of his interview to CNBC-TV18

Q: You have a trading strategy on Reliance Power this morning?

A: Reliance Power has been beaten down, but still people would feel reluctant to make a short call here. However, doing it through the options route is the best option. The options are pretty liquid here. I am suggesting buying the 80 put at Rs 2.50 with a stop loss of just Re 1. I also hope to sell this at around Rs 6 making Rs 3.50 in the process.

Q: How are you approaching the Nifty now after the sluggish performance of the last week-10 days?

A: We were very clear even before the series that it will be difficult for the Nifty to rise within next seven months in sequence. However, currently the Nifty has started breaking down. It is very difficult for the Nifty to even cross the level of 5970.

It will be a miracle if it crosses 6000. Our sense is that one should still continue to sell the rallies. In case one has one-two bouts of buying, those buying can happen in stocks which have been beaten down. Especially, stocks like State Bank of India , but just for a day or two, nothing beyond. 

Q: Which one amongst the largecap’s like Tata Motors, L&T, SBI looks most vulnerable to you?

A: Lot of selling has already happened in SBI. So I don’t think SBI should be sold into now. However, the fact is that Larsen & Toubro which has seen some selling happening now is breaking key levels as well.

I suggest buying the 450 put in L&T at around Rs 32. Put a stop loss at Rs 20 and hope to sell this at around Rs 55 making around Rs 18-20 in the process. This is a sector which can still continue to be weak because Crompton also has weakened. There one can even consider buying the 100 put at Rs 3.90 with a stop loss of Rs 3.

Ads by Google

Buy, Hold, Sell ? Hear it first on M3
Nifty may not cross 5970, buy beaten down stocks: VK Sharma

See all

Get started using your favorite social network

or

Login using moneycontrol ID

Username
Password

Need help logging in? Reset password.

Don´t have an account? Sign Up

Get started using your favorite social network

or

Simply sign up using this short form

* mandatory

UserName*

Username should be atleast 4 character

Password*

Password should be 8 or more characters,
atleast 1 number, 1 symbol & 1 upper case letter

Alert

Your Password should contain
  • 8 or more characters
  • At least 1 number
  • At least 1 symbol
  • At least 1 upper case letter
Confirm Password*
Email
Already have an account? Login