Book profits in Axis Bank at around Rs 429: Rajat Bose

Rajat Bose of rajatkbose.com told CNBC-TV18, "I expect a bounce back in Axis Bank and I put a stop loss below Rs 407 and my targets are Rs 423 to about Rs 429. Around the levels of Rs 427 to about Rs 434, Axis Bank gets some supplies, so I have kept the second target at Rs 429. So, suffice it to say that Axis Bank is likely to move up and you should book your profits once the second target is reached." "I was selling Maruti Suzuki or recommending people to sell Maruti from close to about Rs 4,700 levels because I still see that distribution pattern. However, the technical rule is that once a stock after a protracted uptrend for many months tests its 200 day moving average, breaches it and then bounces back strongly, it is a strong buy signal at least for a recovery or a pullback rally. That kind of a pattern is seen in Maruti. So, I would put a stop loss below Rs 4,235 which is a very close stop loss because if this pattern has to pan out then Rs 4,235 should not be taken out. My targets would be Rs 4,343 and Rs 4,383," he said. "I have kept a target of Rs 202 and Rs 198 in State Bank of India. I would say that if there were to be a pullback rally, you expect a mild pullback in bank stocks especially stocks like SBI, Bank of Baroda (BoB), Punjab National Bank (PNB) and Canara Bank, all these. Again, there would be selling but for now Rs 198 is a good support area. So you cover your shorts there and put a stop loss above Rs 208.50. My point is that SBI or whatever is not a buy at lower levels but you cover your shorts," he added."You can keep on holding NTPC but I would like to mention out here that for NTPC, you have to be very patient for a decent kind of returns. NTPC from Rs 144 current prices to about Rs 155-156, it might take ages. That is the problem but Rs 145 is a resistance. So I would not suggest buying here. Either you buy it on a breakout above Rs 145 or you buy at least around Rs 142-140, put a stop loss below Rs 137. It is another good support and expect Rs 155 on the upside. But those who are patient enough investors, Rs 154-155 is definitely achievable. NTPC's charts looks good but this is a stock where you don’t expect much flourishness.""Tata Consultancy Services (TCS) to me looks quite bearish. I would say that once it falls below the earlier low around Rs 2,320, it can slide much further down and I would like to bring your attention to the kind of distribution pattern that we have seen since October 2014 and it is a range bound counter. Prior to that there have been a huge up swing or a bull market foreseen three-four years or so and after that throughout 2015 it distributed within a range of Rs 2,400 and Rs 2,800 on the upside. So now that distribution is complete, it is sustaining below 200-day moving average (DMA) and there is every possibility that we might be looking at a level that was reached early 2014 that is closed to about Rs 2,000 level. So Rs 2,050 is the positional short call target. I wouldn’t be buying TCS unless it takes out its 200-DMA above Rs 2,500. If Rs 2,550 is taken out then TCS could be in for a breather. Otherwise, it is a sell on any rally."