This Article is From Jul 04, 2014

Buy Bank Nifty, Sell IT Stocks Today: Sanjeev Bhasin

Buy Bank Nifty, Sell IT Stocks Today: Sanjeev Bhasin

The Nifty has closed above 7,700 for two straight days, which technically indicates further bullishness in stock markets. Globally, the Dow Jones closed over 17,000 and oil slipped closer to $110 per barrel, which should further strengthen the rupee.

The Reserve Bank (RBI) has announced further steps to allow corporates to borrow overseas, which will see reduced cost of funding & allow leveraged companies to borrow at lower rates.

Investors should carry all buy/sell calls from yesterday & continue to be bullish on oil marketing companies and bearish on IT and FMCG.

TRADING CALLS FOR TODAY:

Longs:

1. Buy BPCL: 600, stop loss 588, target 636

2. Buy HPCL: 416, stop loss 408, target 440

3. Buy IOC: 342, stop loss 335, target 360

Shorts:

1. Sell Infosys: 3225, stop loss 3282, target 3100

2. Sell HCL Tech: 1485, stop loss 1515, target 1431

3. Sell ITC: 330, stop loss 337, target 313

Going long in Bank Nifty and shorting Nifty for a pair trade may be a profitable strategy today.

Buy Bank Nifty: 15450, stop loss 15200, target 15850

Sell Nifty: 7715, stop loss 7865, target 7560

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