Buy Ipca Labs, Crompton Greaves, LIC Housing: D Cunha

In CNBC-TV18's popular show Bull's Eye, Lancelot D Cunha, CEO of Sharyans Wealth Management shares his trading strategies for the day.

One can buy Ipca Laboratories with a target price of Rs 721. The stock has recently received approval from USFDA for one of its manufacturing units. This should be a big boost to the company and the news having come in the stock was fairly strong in trading yesterday. I believe the momentum could carry it forward to hit its target price of Rs 721. One can buy LIC Housing Finance. The stock is looking extremely attractive and had fallen considerably from the highs in line with all the banking and housing finance stocks. However, we can see some interested buying and support at these levels. I believe the stock should consolidate and may be move upwards. One may buy Crompton Greaves. It has most of its business located from the European zone and is seeing the recovery in Europe and US which helped the company in overseas businesses. With the power sector in India now improving slowly, we should start seeing some improvement. However, the stock has been stabilising and consolidating at Rs 83 levels. With any improvement in market it is likely to move up further given the momentum that it enjoys. One may sell Housing Development and Infrastructure Futures (HDIL). The stock has been moving up for quite a while and the negative news on the 80:20 subvention scheme by the Reserve Bank of India (RBI) should create significant pressure on the already over strapped company. This could cause a fresh shorting opportunity on the company and we could see it move down to hit its target price of Rs 33.35.