Buy HPCL, says Sudarshan Sukhani

Buy HPCL, says Sudarshan Sukhani of s2analytics.com.

Sukhani told CNBC-TV18, "HPCL had big base, then a breakout from that base and a correction that absolutely stopped at Rs 320 which is now coming out at strong support. So there seems to be some sense in buying support. Of the different picks that we are looking at today HPCL is probably the most random, because Oil Marketing Companies (OMCs) always behave in different ways. They do not always become chart sensitive. But with whatever information we can take HPCL seems to be a buying opportunity now. A pullback, a correction which stops at support we go long."
He further added, "GAIL has a much better chart. It had literally a bear market. That bear market ended. There was a bottoming out pattern. That pattern has given us a breakout. Now the breakouts are going up, now the prices are going up, we have a breakout, a pullback and GAIL is now again ready for a new upmove."
"The charts are much cleaner than HPCL, so GAIL is certainly a preferred stock. I think once a stock completes its bear market and turns around it does not stop quickly, it has a lot of potential on the upside."