Buy BHEL, Bharat Forge; sell Reliance Power: CA Rudramurthy BV

CA Rudramurthy BV of Vachana Investments told CNBC-TV18, "I have a buy call on BHEL futures. Today this stock has given a breakout above levels of Rs 172. Again, a lot of open interest addition is seen with prices moving on the upside. BHEL for me is a buy, look at initial target of Rs 190 and eventually even Rs 220 is possible on BHEL. Have a stop loss of Rs 170 for this long call." 

"I have a buy call on Bharat Forge also. This stock again is making a rounding bottom formation in technical chart and can head towards levels closer to Rs 1,150 initially and eventually can go to levels closer to Rs 1,200 also. A very good risk reward trade on going long with Bharat Future. Have a stop loss of Rs 1,080 for this long call," he said. 

"I have a sell call on Reliance Power. The stock having made some recovery from its base, is showing signs of distribution patterns on technical chart. Look at target of Rs 45 on Reliance Power and have a stop loss of Rs 52 for this short call."