Buy Dena Bank, Bata India: Sukhani

Sudarshan Sukhani of s2analytics.com is of the view that one can buy Dena Bank, Bata India.

Sukhani told CNBC-TV18, “Most banks have gone through a very deep correction; thanks to the State Bank of India’s results and the markets were oversold. We have seen each of these banks start beginning a rally. Dena Bank was in a trading range for the last few days, so its correction was a little less than others. It was also standing at a significant support level at Rs 77-78. So stock at support, stock in a trading range and now moving up, it’s almost a perfect setup for a buying opportunity. I am assuming that the Nifty will go up some more, so it makes sense to buy banks. He further added, “Bata has now made those new highs. Lifetime new highs must be bought especially in a stock, which is repeatedly doing this. In case of Bata we had a trading range that lasted for almost one and a half month. So, the stock is moving out of the trading range and into lifetime highs. Both qualify as buying opportunities. Do not worry about valuations in this case. Just go long.”