Hemant Thukral, National Head-Derivative Desk of Aditya Birla Money told CNBC-TV18, "Basically there are two reasons why I am suggesting a buy on IDFC. The open interest (OI) got unwound by 13 percent which means it was a pure short covering rally on Friday. But still if one sees the way the positions were rolled and week-on-week there are around 10-15 percent more short positions till open. Secondly, the stock is trying to form a bottom around a new 52-week low of Rs 119-120 from last seven-eight days and on Friday it tried to move above that Rs 125-126 level."
"So in immediate short-term, if one gets a gap down today and able to get around Rs 125-126 keeping a stop loss of Rs 120, it will try to test the next support levels, which it had given away on the way down. Rs 135-136 would be my target on IDFC. So I think another Rs 10 move from Rs 125, which will account to 5-6 percent move, can be seen on the basis of more short covering coming in this counter," he said. Also Read: Court rejects IDFC Cap CEO bail plea in sexual abuse case
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