Sharmila Joshi's view on Jindal Steel

Joshi told CNBC-TV18, "JSPL would belong to one of those high beta kind of plays where you can see quick bounces of Rs 100 when things turn in their favor. Currently I think its somewhere in between. I don’t think its at the lowest levels we have seen the stock but there have been couple of developments which market has interpreted a little positively. One we had their whole issue of getting out of those mines in Indonesia as well as pulling out of a bid in Australia this morning. I think what might be a good idea for the investor would be to try and average the stock and try and bring down because Rs 700 looks like a very difficult price."

She further added, "When this stock goes to Rs 600 you start seeing it, anywhere Rs 600-610-615 and that’s when you start seeing the pressures and the stock starts coming off again. So while I like the stock at this price I think Rs 710 looks really difficult. So the only option left is to try and average out the stock at lower levels, closer to Rs 400 or lower is what I would advise."