Buy HCL Technologies; sell Union Bank of India: Chandan Taparia

Chandan Taparia of Motilal Oswal Securities told CNBC-TV18, "We have seen some buying interest in CNX IT index and somehow it is forming a positive price pattern. HCL Technologies is a long beta counter. Recently it has taken support near to lower band of the trading range and this range is working well from last 15-18 months. So recommending to buy with a stoploss of Rs 870 and expecting it to head towards Rs 915 kind of levels."

"Second trade is sell on PSU banks and especially on Union Bank of India. On last trading session it corrected by around 4-5 percent with built up of short position by around 10 percent. It also formed a break down gap on the daily and weekly chart and hovering or trading below its 50-day exponential moving average."

"It is also making lower top lower bottom formation. So, recommending to sell with a stoploss of Rs 134 and expecting it to correct towards Rs 122-123 levels," he said.