Buy Jet Airways, ONGC; Avoid Aurobindo Pharma: Ruchit Jain

The risk reward in stock markets have changed, so investors should book profits on positions taken at lower levels rather than going long, says Ruchit Jain, equity technical analyst with Angel Broking.

Stock Talk

Buy Jet Airways for a short term target of Rs 587 with a stop loss at Rs 540. If the stock moves above Rs 587, it can go up to Rs 608.

Buy ONGC: The stock gave a good breakout and levels of Rs 245 look possible for ONGC. Investors can buy at current levels.

Buy Coal India: The stock is showing good strength on charts and it can go up to Rs 330-333.

Buy Dewan Housing Finance: After a long consolidation, the stock gave a breakout on weekly charts. It can go up by 6-8 per cent to Rs 230-235.

Avoid State Bank of India: The stock faces resistance around levels of Rs 216-218 and going ahead it should test those levels. Fresh long positions should be avoided. Ideally, SBI should be purchased on a correction around Rs 188-190.

Buy Infosys: The stock should correct up to levels of Rs 1,150-1,160. Investors can buy Infosys on dips.

Avoid HCL Technologies: The stock faces resistance around Rs 775-780. Considering, that HCL Technologies was highly oversold, it can go up to Rs 770-780 but selling would come near those levels and investors should not look at bottom-fishing in this stock.

Buy TCS: The stock can be bought on declines and it has support around Rs 2,510-2,520.

Avoid SAIL: The stock has underperformed other metal stocks. It faces immediate resistance around Rs 48-49 and major resistance is at Rs 53. If SAIL has to move higher it has to sustain above levels of Rs 53-54.

Avoid Aurobindo Pharma: This stock looks weak on charts as it has formed a lower top. Aurobindo Pharma can fall to Rs 730-728.