Buy Tech Mahindra, BPCL; short Punjab National Bank: Rahul Shah

Rahul Shah of Motilal Oswal told CNBC-TV18, "Tech sector as a whole has done quite well as well as tech index. Because of dollar-rupee, from the lower levels, most of the tech stocks have rallied. So, my pick in that entire space is Tech Mahindra - risk to reward is quite favourable. The longs added in the futures and obviously, technically it gives a support at the lower levels. So, one can keep a stop loss of Rs 462 in Tech Mahindra with a target of Rs 495.""Second pick is from the oil marketing company (OMC) sector. Obviously, oil & gas has continuously been the outperformer month over month and OMCs again has been a flavour. In Bharat Petroleum Corporation (BPCL), again, we saw some kind of sell off in the last couple of weeks, but at lower levels some kind of support is coming at Rs 610 levels or so. So, I would keep a stop loss of Rs 610 and buy BPCL with a target of Rs 638," he said."One short idea is from the bank space. Most PSU banks are consolidating at higher levels and now ready for a downside move. So, I would recommend going short in Punjab National Bank. The stock is showing weakness. From the high of Rs 135 it is falling. So, one can go short with a target of Rs 117, keep a stop loss of Rs 127."