Go long in PSU banks: Siddharth Bhamre

Siddharth Bhamre of Angel Broking told CNBC-TV18, "I like Reliance Industries from current level. If you look at the Brent crude oil price, last time it took resistance around the 62-62.5 mark and it is inching just above those levels this time which suggests that probably we will see further rise in crude oil price from current levels maybe till USD 69-70 dollar per barrel which won’t work for a country like India."

"Reliance which has been correcting because of crude oil price coming down would be the natural beneficiary of this move. So, the next resistance level of Rs 980-1000 can be reached," he said.

"Bank of India, Oriental Bank of Commerce and Punjab National Bank (PNB) did well. So, a pair trade where I short Bank Nifty and go long on PSU banking names. That is also one of the strategies which can be done. So, at one place you are talking about 4-5 times price to adjusted book of private sector space, some of the PSUs are available at 0.5-0.6. They have always been there but the downside is much less. So, even that can be a good trade; short Bank Nifty and long basket of PSU banks," he said.

Disclosure: Reliance Industries has acquired management control of Network18, which owns TV18 Broadcast and moneycontrol.com