Buy Rel Comm, Dena Bank, IFCI: Agarwal

In CNBC-TV18's popular show Bull's Eye, Abhishek Agarwal of Fortune Interfinance shares trading strategy of the day.
 
Buy Reliance Communications with a target price of Rs 86 and stop loss of Rs 81. RComm is performing well since last couple of sessions since the stock is already been up more than 15 percent in last one month. Again considering successful listing of Bharti Infratel it seems a renewed hope that Reliance Infra also will be once listed going forward. The valuations can be around Rs 12,000-15,000 odd crore. This could definitely bring down the overall debt of the company from Rs 37,000 crore odd levels. I think it is a good bet for the medium to long-term, therefore a three digit target can be also achieved in the short-term.
 
Buy Dena Bank with a target price of Rs 130 and a stop loss of Rs 123. Dena Bank seems to be enjoying the Foreign Institutional Investor (FII) buying since the FII holdings have been increased from 11 percent to 16 percent in last six months. From the stock performance the stock has already been up from Rs 85 since September to now Rs 125. I believe that the banking would be a theme going forward and Dena Bank should be given good returns in the same term.
 
Buy Industrial Finance Corporation of India (IFCI) with a target price of Rs 42 and a stop loss of Rs 38.30. IFCI is again a yesterday’s rollover and I would expect the stock to be doing good in the medium-long term. As I said earlier that the management change would bring a positive note in the company the stock was up in the last two trading sessions and I believe the momentum would continue for sometime.
 
Buy GMR Infra with a target price of Rs 22 and a stop loss of Rs 20.10. GMR Infra seems to have bottomed out at current levels. The stock already has shown good momentum from last couple of sessions. I believe all the negative news has been priced in and therefore the stock can be seeing a renewed interest from medium to long-term. I think it is a good bet for the traders also and therefore a medium-term target can be expected around Rs 25 in a very short time.