In an interview to CNBC-TV18, Sudarshan Sukhani of s2analytics.com, SP Tulsian of sptulsian.com and Hemant Thukral of Aditya Birla Money give top pick for the day.
Sudarshan Sukhani, s2analytics.comMarkets are slightly choppy but the underlying short-term trend seems to be up. We can go long in Havells India. We have been tracking Havells for long and discussing it on the channel repeatedly. So buy Havells, a small dip has been bought in to and the chances are that it is now again going to go towards the earlier highs and even cross it. So Havells is a good opportunity to go long into.
Oil marketing companies (OMCs) have shown a dismal performance and that is okay because crude is going up inch by inch. I would suggest going short in Indian Oil Corporation (IOC). IOC was in a narrow trading range for the last three days and it is now breaking down from that trading range suggesting a strong momentum move is coming on the downside. So go short in IOC but keep a stop loss because markets could be choppy in anticipation of the Ben Bernanke news event.
SP Tulsian of sptulsian.com Bajaj Finserv ruling at Rs 635 looks a good stock because this is its six months low and we have seen this stock having corrected for no reason inspite of company having posted an EPS of Rs 103 for FY13. Its 62 percent subsidiary Bajaj Finance is really doing very well. However, with the deadline of the banking license coming in by June 30, probably company will be making an application and that will be seen positive by the market and we may see this renewed buying coming back into the stock which can make it swiftly moving to a level of about Rs 700 in next 20-25 days. One can buy the stock at the current price if Rs 635.
Hemant Thukral of Aditya Birla Money
First stock is an ADAG trading favourite stock Reliance Communications. Yesterday the stock saw an open interest addition of 14 percent along with premium increasing to the cash clearly telling that long open interest has been built up. Also technically the stock has given a fresh breakout above Rs 116 levels where it was facing a lot of resistance. Clearly one should go long on RComm keeping a stop loss of Rs 115. We expect in immediate short-term RComm to test Rs 130 and the next target should be Rs 135.
Second is another favourite Housing Development Infrastructure (HDIL). In the second run midcap stocks in real estate we have seen buying coming back. Both in Indiabulls Real Estate and HDIL long open interest is being built up but HDIL has seen more share of it. It has already seen 8 percent open interests being built up. Very importantly technically HDIL has reached 52 weeks low where it is trying to form or consolidate a base around that Rs 36-37 mark. Yesterday it has managed to cross Rs 38.50 that is the 10 days moving average clearly signaling that in immediate short-term more room is on the upside. So we recommend going long on HDIL keeping a stop loss of Rs 36.50 and in immediate short-term target of Rs 41.
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