Buy Aurobindo Pharma; hold JSW Energy: Ashish Chaturmohta

Ashish Chaturmohta of Sanctum Wealth Management told CNBC-TV18, "We are recommending a long call on Aurobindo Pharma. Technically, this stock has formed an inverted head and shoulder on its daily and weekly charts. Yesterday, we saw very strong volume participation as well as open interest (OI) addition of almost 8-9 percent clearly on the long side. So ,that is indicating that this stock is poised for a strong move maybe towards Rs 850-860 kind of levels but positionally looking into this chart, I think this stock has the potential to cross its previous all time high, which is around Rs 900 levels. So overall speaking in a short-term to medium-term bet, it is a very good idea on the long side. One can initiate a long call at current level keeping a stop loss below Rs 788 and in short-term, one can expect a target of Rs 850 levels.""My second bet would be in the pharma space which is Divis Labs. For last six months, it has been facing a very stiff resistance around Rs 1,180 mark but this time it has crossed this level and with very strong volume participation. I think we will see a very short covering in this stock as well, which can take it towards its previous all time high, which is around Rs 1,240-1,250 levels. So one can initiate a long position in Divis Labs keeping a stop loss below Rs 1,168," he said."JSW Energy has been consolidating for last five-six weeks in a range bound upside around Rs 85 and on downside around Rs 77. Today, we have witnessed some amount of short build up to the tune of 4-5 percent addition clearly on the short side. So, I think if the stock fails to cross Rs 83-84 and breaks Rs 80 or Rs 79 kind of levels then I think a lot of short positions will get build up on the stock and that can lead to further selling pressure towards Rs 73-74 kind of levels. So, overall I think till Rs 83-84 is not crossed, one should clearly keep stop loss around Rs 79 if someone is holding on to the long positions.""Monnet Ispat was under pressure since last couple of trading sessions. It made a high of around Rs 29-30 a couple of days back and now it is in a clear downside pressure breaching this Rs 24 levels on downside can lead to a further downside towards Rs 22-21.50 levels," he added."Sun TV has seen a lot of activity both in terms of the open interest (OI) as well as in terms of delivery volumes which has been picking up in the stock since last couple of days. The stock has given a major breakout above Rs 380-390 where it was facing stiff resistance for last six-seven weeks. So I think now on upside we can expect this stock to cross its major resistance zone which is around Rs 440-450 and once that happens, this stock is poised for a very strong move towards Rs 550 levels in next two-three months.""Overall, the structure is quite positive, till it doesn't reaches Rs 380, the possibility of crossing Rs 450 looks very high and once that happens, on upside Rs 540-550 could be the potential target in this stock," he said.