Bull's Eye: Sell HOEC, Unitech, Indiabulls Real Estate

Bull's Eye, CNBC-TV18's popular game show, where market experts come together to dish out trading strategies for you to make your week more exciting and compete with each other to see whose portfolio is the strongest.

Remember these are midcap ideas not just for the day, but stocks that look attractive in the medium-term as well. This week, SP Tulsian of sptulisan.com, Sharmila Joshi, Head of Equities, Fairwealth Securities and Lancelot D Cunha, ITI Wealth Management battle it out for top honours. SP Tulsian, sptulsian.com
Short Indiabulls Real Estate with a day target of Rs 52 and stop loss of Rs 55. All the real estate stocks are showing weakness and this stock is showing more weakness on the technical charts and hence a sell call.
Short Allahabad Bank with a day target of Rs 133 and stop loss of Rs 139. All the bank stocks are also showing weakness ahead of RBI meet maybe on the nervousness that the expectations may not be met by RBI and this stock having moved considerably in last one week is seeing profit booking which is likely to continue for the day also and hence a sell call.
Sell Hindustan Oil Exploration Company (HOEC) with a day target of Rs 111 and stop loss of Rs 117. This stock is always showing a typical trend of profit booking after having run up for two-three days and this pattern is witnessed today also because the stock has run up in this week for first two-three days and now the profit booking is happening which is likely to continue for the day.
Sell Unitech with a day target of Rs 20.60 and stop loss of Rs 21.90. Because all the realty stocks are showing weakness this stock looks to be more weak and vulnerable because of the fresh shorts seen getting created in the stock. Sharmila Joshi, Fairwealth Securities
Sell Unitech with a target of Rs 20.50 and stoploss at Rs 21.80. Largely because we have seen some amount of buying coming in on the real estate space with the hope of an interest rate cut but the stocks do remain weak. Most of them have lot of debt on their books. Within that space Unitech is one of the weaker stocks.
Sell Suzlon Energy. This is a company with lot of debt and its own share of problems. It is not a stock that I like, so I will sell it with a target of Rs 17 and stop loss of Rs 17.90
The events of Sunday, Monday will weigh heavily and we could see profit booking continue. Keeping that in mind I continue my buy in Dabur India. This I buy with a target of Rs 113 and stop loss of Rs 109 because I think FMCG is the safer sector to be invested in, in such a market. Within the FMCG space I do like Dabur. I have a longer-term target of closer to Rs 150 and for the day I buy with a target of Rs 113.
Buy Jaiprakash Associates with a target of Rs 69.50 and stop loss at Rs 66.80. Lancelot D Cunha, ITI Wealth Management
Sell Pantaloon Retail with a target price of Rs 157.10 and a stoploss of Rs 170. Pantaloon has recently moved up to Rs 170 purely on expectations that there maybe a partner being brought into the business. However given the current market situation we have seen the stock move down and break important levels. Now at this point of time the stock is poised to move down further and I think it should hit its target price of Rs 157.10.
Sell Indiabulls Real Estate with a target price of Rs 51 and a stoploss of Rs 55.50. Indiabulls Real Estate had fallen on substantial volumes yesterday and given the fact that it has broken a crucial resistance level and the market anticipating that there may or may not be a sufficient rate cut in order to buoy up the real estate segment this momentum could continue and it could look to hit its target of Rs 51.
Sell McLeod Russel with a target price of Rs 265 and a stop loss of Rs 279. McLeod Russel has seen an income tax inquiry because of the retrospective amendment of the Income Tax Act. It could be looking at an additional liability in terms of its overseas acquisition and this could result in demand from the income tax department.
Buy Karnataka Bank with a target price of Rs 89 and a stoploss of Rs 84.40. Karnataka Bank has been moving up on good volumes yesterday based on some informed investor buying that there maybe some news of some kind of merger with bank and given this momentum I expect that the stock could move up further.