Go long in Jain Irrigation; short Shriram Transport: Diwan

In CNBC-TV18's popular show Bull's Eye, Prakash Diwan of Prakash Diwan's Wealth Circle shares his trading strategies for the day.

Go long in Jain Irrigation. It has been in the momentum in the previous session; thanks to its fund raising plans. I also expect Jain Irrigation to clock some decent numbers this particular quarter given the kind of slow down that it has had. The numbers could probably surprise the market. Go long in Jain Irrigation with a target price of Rs 70.70 and a stop loss of Rs 66.70. Long on McLeod Russel. The company has just announced its numbers. The street wasn’t very impressed with the numbers. But if one looks at the numbers through beyond a superficial level one will realize things could possibly be very heartening favourable for this company going forward. I expect it to have very decent realizations particularly the margin maintenance is remarkable for this company at about 27 percent. Go long in McLeod Russel with a target price of Rs 327 and keep a stop loss at Rs 307. Short Shriram Transport Finance. The company is likely to announce its numbers. It had a tough year and tough quarter as well given the kind of slow down particularly the mining sector which used to be its main state client base; I expect the numbers to be fairly tepid. I go short on this with a target price of Rs 728 and a stop loss of Rs 768. Short Financial Technologies. We have seen MCX being fairly volatile but off late MCX is losing its steam in terms of the kind of strength that it was likely to fetch given the new business that it has set in to. But I expect that slow down to start reflecting on Financial Technologies being the parent for MCX. Since it is available in F&O we have an opportunity to short this. The counter has been robust but I would expect it to lose some ground in the current session; so the target price is at Rs 820 and a stop loss at Rs 860 – go short in Financial Technologies.