The financial expert Chandan Taparia, who is an associate of Anand Rathi Brokerage, is recommending to invest the financial resources in Shriram Transport Finance, SKS Microfinance, DLF and Titan Company instead of Punjab National Bank, where the stocks of the latter can also be sold without a delay.
In an exclusive interview with CNBC-TV18, Amit Rathi Led Anand Rathi Brokerage’s expertise Chandan Taparia said, “Shriram Transport Finance , after a consolidation of last couple of trading sessions is all set to start the fresh leg of rally. It is all set to give the highest daily closing in the last many months and momentum extent was the recent high. We are recommending to buy with a stop loss of Rs 1,085 for a higher target of Rs 1,113.”
Why he suggested spending on SKS Microfinance, is because it recently made bottom near Rs 582 zone and showing the sign of momentum now, after the consolidation for last couple of consolidation. He said, “Expecting it to move towards Rs 630. So recommending to buy with a stop loss of Rs 585.”
Coming to DLF, Chandan Taparia said, “We have seen sustained buying in most of the real estate counter although it has hurdle near Rs 130 zone but looking at the derivative data and the huge open interest activity, it indicates that the stock has potential to move towards Rs 132-134 kind of levels. So recommending to trade with option, buy 130 Call, keep the stop loss of Rs 1.5 for target of Rs 7.”
An intraday trade on Titan Company has also been recommended by Taparia, as the stock is moving in a range of just Rs 3-4 but holding the gains and continuously making higher highs and higher lows from last four-five trading sessions. “It is making a strong price pattern on daily and weekly charts and now it is on the verge of breakout and because of that, momentum cannot be ruled out in the counter. Would recommend buying with smaller stop loss of Rs 368 for target of Rs 380,” he said.
Time to hit the not-so-buying stock mode, where stocks of Punjab National Bank don’t get the opportunity to sail its victory flag. The pressure of selling in the stocks along with selective public sector undertaking (PSU) banks, indicate weaker structure remaining intact. Taparia said, “The stock continues to fall down from last three weeks, we may see some weakness. So suggesting to better sell it off with a stop loss of Rs 82 for the downside target of Rs 73.”