Patel Engineering has target of Rs 100, says Bothra

Kunal Bothra of LKP is of the view that, Patel Engineering Company has an extremely tight target of Rs 100 and stop-loss of Rs 83. It could be a very strong mid-cap stock, which can give a trigger of close to 9-10 percent.

Bothra told CNBC-TV18, "From technical's perspective Patel Engineering Company has an excellent chart. Looking at the daily charts, in the last 3-4 months it has managed to take resistance at Rs 87-87.50 levels. This time also it is just managing to break that Rs 87-87.50 levels, trading above the 200 day moving average (DMA), which is again a very good sign." He further added, "The stock just needs a little bit of more volume backing. It has happened on Friday. The volume is there today as well. But volume along with a little bit of price movement above Rs 89 – I think this could be a very strong mid-cap stock, which can give a trigger of close to 9-10 percent." "Patel Engineering has an extremely tight target of Rs 100. But my sense is that this could be a start of a very big move for the stock. Stop loss for it is Rs 83 and again this is a positional target which I have." Disclosures: No personal holdings in any of the stocks, but at LKP we keep recommending these stocks to our clients.