Buy Gail India on every dip, says Sameet Chavan

Sameet Chavan of Angel Broking told CNBC-TV18, "Gas Authority of India (GAIL India) is showing outperformance from last few days. The benchmark index corrected more than 4 percent in the last six to seven trading sessions and GAIL gave a decent recovery from its near-term lows of Rs 370. Last week, we witnessed a breakout from cup and handle pattern and the stock is convincingly trading above its important resistance levels. That clearly indicates that the stock is likely to continue its outperformance over the next few trading sessions. We expect a target of Rs 420 in GAIL and this can be bought on every dip with a stop loss of Rs 382."

At 14:34 hrs GAIL India was quoting at Rs 396.80, up Rs 0.55, or 0.14 percent.