See 5-6% downside in metal stocks; buy Cairn India, sell M&M: Mitessh Thakkar

Mitessh Thakkar of miteshthacker.com told CNBC-TV18, "Metal stocks will go through further corrections. The breakdown suggests that there is more to travel on the downside but we have seen stocks correct by about 15 percent; broadly stocks like Vedanta and above 10 percent on Hindalco Industries and Tata Steel. So, my sense is that you might get a one-two day kind of a pullback but overall in the next two weeks, we will see much lower levels on the metal stocks. Another 5-6 percent from here could easily happen."

"Mahindra and Mahindra is slightly breaking down. So, I have a negative bias there. I would sell this with a stop loss at Rs 1,280, look for Rs 1,230-1,225 as the target. Cairn India along with metal stocks is bouncing back from a good support zone of Rs 286-287. That is an area which if it would have broken would have triggered further correction. So keeping that as your stop loss, you play it for a day or two and look for target of around Rs 300 on the upside," he said.