Sell Dena Bank: Parag Doctor

Parag Doctor, Head-Trading Strategies of Keynote Capital's told CNBC-TV18, "The midcap and small cap public sector undertaking (PSU) banks have been facing the brunt of selling pressure and Dena Bank is part of that group. As of now none of these PSU banking charts are really showing any bottoming formation. There is still selling pressure and maybe in the new series we could see some rallies."

"My advice would be to exit or at least reduce positions in the rally and switch to the larger banks, either State Bank of India (SBI) in the PSU banking space or maybe HDFC Bank in the private banking space, because whenever the recovery comes in the banking space it will be led by the larger banks and visibility for them both fundamentally as well as technically would be much better for the longer term," he said.
"We advise to come out of these smaller banks like Dena Bank and switch to the larger names and that would be a better way to go about it for the longer term."