Buy Tata Motors, L&T; Avoid SKS Microfinance: Pradip Hotchandani

Domestic stock markets have witnessed a sharp rally over the last three weeks, but for the Nifty to move above the key 8,600 levels, a decisive close above 8,243 is necessary, says Pradip Hotchandani, head of research at Prudent Broking Services. (Watch full interview)

Stock Talk

Buy Tata Motors: The stock decisively broke above its important resistance level of Rs 432 and now it can go up to levels of Rs 605.

Buy Hero MotoCorp: It broke above its important resistance of Rs 2,800. It it moves above Rs 3,170, the stock can go up to levels of Rs 3,400 to 3,600.

Buy Bajaj Auto: Bajaj Auto broke above Rs 2,600 and now it can go up to Rs 3,000 or 3000 plus levels in next 7-8 months.

Buy Larsen & Toubro: The stock can go up to Rs 1,554 and once that is taken out it can go up to higher levels as well. Investors can go long on this stock with stop loss at Rs 1,440.

Avoid SKS Microfinance: The stock broke out above Rs 571 and we maintain our positive stance on SKS Microfinance, but fresh positions should be created in stocks like Muthoot Finance and Manappuram Finance as these stocks have also run up, but not like SKS Micro.

Buy Siemens: The stock looks interesting on charts and it can go up to Rs 1,560 which was its previous high.

Buy M&M Financial Services: The stock broke out on charts around Rs 270 and some more steam is left in this stock.  M&M Financial Services can go up to Rs 380-400 and investors should buy this stock on dips.

Buy Hindalco: Once Hindalco sustains above Rs 110 it can go up to Rs 130. Investors can go long on this stock with stop loss at Rs 97.