Sell BHEL, Cummins India; buy Rural Electrification: Rajat Bose

Rajat Bose of rajatkbose.com told CNBC-TV18, "Bharat Heavy Electricals (BHEL) is a sell. The stock has a breakdown pattern there. Around Rs 145 there is a lot of resistance on a lot of supply that is likely to come in there. So, I will put a stop loss at Rs 145.50. The targets are Rs 137 and Rs 134. The level of Rs 134 happens to be a strong support area.""Cummins India is another sell. This also shows a breakdown and it has broken down, it has tested its 200-day moving average, could not sustain and broken even 50-day moving average. I am referring to exponential moving averages. Sell it only below Rs 843. That happens to be a good support level and put a stop loss above Rs 865. Targets are Rs 815 and Rs 807," he said."Rural Electrification Corporation (REC) is a buy. In fact, REC and Power Finance Corporation (PFC), all are looking good on the charts. You buy REC with a stop loss below Rs 214 and targets would be Rs 229 and Rs 237."