Sell Adani Enterprises, says Sanjay Vaid

Sell Adani Enterprises, says Sanjay Vaid of SBI Capital Securities.

Vaid told CNBC-TV18, "We are recommending a sell on Adani Enterprises. The stock has made a double top formation and has broken a critical support of Rs 564. On the OI front also, on the derivative front we have seen huge build up in OI with the OI going up almost 5% and the cost of carrying declining. Clearly shows that there are shorts which are getting build up in the stock."

He further added, "We have seen some surge in the volumes also on sell side. Therefore given that it has broken a crucial support and negative derivative data we are recommending a sell in Adani Enterprises with a target price of Rs 510-511 and stop loss of Rs 540."