Buy PSL, Rasoya Proteins, Titan Ind, IOC: Rajesh Agarwal

In CNBC-TV18's popular show Bull's Eye, Rajesh Agarwal, Eastern Financiers shares trading strategy of the day.

One can buy PSL Limited with a stop loss of Rs 38 and a target of Rs 44. This is one of the largest company making steel pipes of HSAW variety which is used mainly in oil and gas sectors and water. With lot of activities being seen in the oil and gas sector especially the exploration and production (E&P) side, we believe that the problems of this sector is almost over and they are going to get good orders in the near future. This company has production facilities not only in India but abroad also in countries like South Africa which are doing well.
One can buy Rasoya Proteins with a stop loss of Rs 98 and a target of Rs 104.50 for intra day. This is a solvent extraction company basically based out of Maharashtra. They operate in soya products - soya oil and soya cakes. They have recently announced stock split of 1:5 and a bonus of 1:2. The kind of consolidation we have seen in this stock from the last one month or so and the kind of volume action which we have seen on Friday, we believe that this stock is ready for a breakout. Hence, we recommend a buy on this.
One can buy Titan Industries with a stop loss of Rs 269 and a target of Rs 279. The long term story of branded jewellery remains intact. With almost Budget over and the kind of activity which we have seen in the festival season and the coming marriage season, we believe that the demand for all their products be it watches or branded jewellery is going to be intact. Even the IVR business is doing well. Trading at a PE of around 24 times, we think that the valuations are also reasonable.
One can buy Indian Oil Corporation with a stop loss of Rs 294 and a target of Rs 304. The company has hiked petrol price during the weekend by Rs 1.40 per litre. Even diesel prices for bulk buyers like railway and power companies have been increased during the weekend. OMCs have been allowed to increase 50 paisa per litre per month on diesel price which is going to reduce their subsidy burden. With this kind of reduction in subsidy burden, it is just a matter of time when these stocks get re-rated.