Buy Divis Labs, OBC: Pritesh Mehta

Pritesh Mehta of IIFL told CNBC-TV18, "Recently all the big gains have been seen in midcap pharma space but if you take a look at Divis Labs, it is missing all the exuberance and excitement. The stock made a peak of Rs 1,242 a couple of weeks back and thereafter it has been grinding lower. It took support at its 100-day moving average (DMA) and thereafter began a process of recovery. Now this recovery eventually took shape of a triangle pattern and in today's trade it has given a breakout from it. So, buy Divis Laboratories for a target of Rs 1,250.""Bank Nifty is on the verge of breaking out above 17,600 on closing basis from a bullish head and shoulder pattern. If this breakout is confirmed we could see plenty of activities on the midcap or small cap public sector undertaking (PSU) banks. In fact most of these PSU banks have been building a small base like pattern. Oriental Bank of Commerce (OBC) is making this consolidation for more than one month. So, it is on the verge of breaking off from this consolidation pattern. So, buy the stock for a target of Rs 145," he said.