Buy Petronet LNG, Dewan Housing Finance: Rahul Shah

Rahul Shah of Motilal Oswal told CNBC-TV18, "We have seen oil & gas sector outperforming after a pause for a while and we saw all OMCs participating into it. Petronet LNG and GAIL India started moving up. So my sense is that oil & gas will still outperform in near-term. So in that space, what we like is Petronet LNG, which is quoting at Rs 410 with a stop loss of Rs 402 and a target of Rs 430. I would go long in futures."

"Secondly, housing finance in last month was a star. This month also I feel lot of housing finance companies are showing a lot of strength. In that space, Dewan Housing Finance is my pick. So I would buy 390 Call of Dewan Housing, trading at around Rs 8.5 or so. Keep a stop loss of Rs 5 and target of Rs 20," he added.

"We have seen a lot of private sector banks outperforming and couple of them underperforming in that space. ICICI Bank is showing a lot of weakness. So looking at the market scenario, I would take a risk by buying a Put option in ICICI Bank of 280 which is trading at around Rs 8.20, keep a stop loss of Rs 5 and target of Rs 15."