Cipla can slip to Rs 600, says Amit Gupta

Amit Gupta of ICICIdirect told CNBC-TV18, "The problem in the market is that wherever the leverage is higher, the open interest is higher and people are stuck up in the positions. There you will see more closure of positions and that is why the selling may come in those stocks.""Kotak Mahindra Bank and Cipla are those, where if you compare with the last series, more than 35 percent of open interest is still placed and only two days are left to expiry. We have seen that particularly in the case of Cipla, before the result announcement, there was very huge build-up of positions, people went long like anything and when the stock fell sharply, those people are a little stuck up. On the higher side, Rs 670-665 is where the 50 and 100-day moving averages are placed. So, the selling pressure again and again, possibly towards expiry may come from there. I think it can slip towards Rs 600," he said."I feel the same for the Kotak Mahindra Bank. Yesterday, there was a pull-back in the private banking space, but Kotak did not participate, the reason being the same. People who are stuck-up, they are trying to exit the stock. Yesterday, almost 2-3 percent of closure was there because of that. So, that should continue at least till tomorrow and you will see the stock little bit coming down," he added.