Go long in Federal Bank, Canara Bank: Ashish Chaturmohta

Ashish Chaturmohta of Fortune Equity Broker told CNBC-TV18, "As far as banks are concerned we are quite positive on most of the midcap banks and particularly Federal Bank. The stock is trading near its all time highs and we have seen a very strong build up of position in the stock around this Rs 140 zone. This stock after consolidating for last three weeks has given a major breakout, so a lot of shorts are going to cover up their positions. At this point one can initiate a long keeping a small stoploss of Rs 144 and on upside can expect a target of Rs 158 levels."

"Apart from that Canara Bank looks quite positive in the PSU space. This stock has been continuously consolidating between this Rs 430 to Rs 410 mark. We have witnessed a very strong amount of long build up in last four or five trading sessions in the stock. So, at current levels one can initiate a long keeping a stoploss below Rs 425 and on upside can expect a target of Rs 455-460 levels," he added.