Short Adani Power, Andhra Bank, OBC: Tater

In CNBC-TV18's popular show Bull's Eye, Aashish Tater, FortuneWizard.com shares trading strategy of the day.

I am going to short Adani Power for a target of Rs 57 with a closing stop loss of Rs 62.50. The stock has made a bearish pattern and given that the results have been much below our expectations, we feel the stock would eventually go to Rs 53-54 zone. Thus, with the same stop loss one can go from a positional trade basis for a target of Rs 54-53. However, intraday target is Rs 57.
Go long on Mercator Line with a closing stop of Rs 19.6. There has been news that the company has won some order and that is why there could be some momentum in today’s trade.
I am going to short Andhra Bank for a target of Rs 110 with a closing stop of Rs 120. Though, there is expectation on rate cut, we have an expectation but given the dismal result of the company, we feel Andhra Bank would see a lot of profit booking if there is a negative surprise from policy front because the numbers have been very bad and it is not reflecting in current prices or current fundamentals. We feel the stock would eventually crack to Rs 100 levels.
Short Oriental Bank of Commerce (OBC) for a target of Rs 300, with a closing stop of Rs 340. Again we do expect there is a rate cut but given the dismal numbers and the way markets have not factored in this particular aspect, we feel likely possibility that the stock would eventually correct to that Rs 300 mark. However, one should be careful in shorting these stocks because today is RBI policy and one should be looking at where the policy stands at and accordingly, should be positioning their stop losses.