Sell Crompton Greaves, Sesa Goa: Agarwal

In CNBC-TV18's popular show Bull's Eye, Abhishek Agarwal, Fortune Interfinance shares trading strategy of the day.

Sell Crompton Greaves with a target price of Rs 112 and a stoploss of Rs 120. Yesterday the company has delivered poor results and I believe next quarter would be similar to this. From the last three quarters the company has disappointed to the shareholders. I believe FIIs will continue to be a seller and therefore the counter can witness selling pressure for sometime. Buy Cairn India with a target price of Rs 340 and a stoploss of Rs 315. Cairn India has delivered excellent set of numbers yesterday where the PAT was up 40% QoQ basis. At EPS of Rs 20 that they have done this quarter assuming the full year EPS for the FY13 is Rs 50 it is trading about 6.5 times on FY13 basis. Therefore it is attractively priced. I believe if the momentum improvises then the short-term target can be seen at Rs 375. However on the intraday basis I have Rs 340 target. Buy Indian Bank with a target price of Rs 198 and a stoploss of Rs 185. Yesterday Indian Bank gave good results where the PAT was up 13.5% QoQ basis. Despite poor market the stock was up about 1%. Therefore I believe that the momentum can build up from here and in the short-term the stock has a potential to touch Rs 225. Sell Sesa Goa with a target price of Rs 175 and a stoploss of Rs 186. This is a trading call and considering yesterday’s market the metal and mining stocks were punished I think that today would be similar pattern. Considering FII is selling heavily in the market metal and mining stocks should be avoided this time.