Buy Tata Power, BHEL; Sell HCL Tech: Sumeet Jain

The Nifty faces stiff resistance around 8,600-8,620 and fresh buying is unlikely to emerge unless the benchmark takes out these levels, says Sumeet Jain, head – derivatives & technicals with Destimoney Securities. Nifty is likely to see expiry below 8,450 for this month’s contract, he added.(Watch)

Stock Talk

Buy Tata Power: The stock looks bullish on charts. Investors can buy Tata Power for target of Rs 76-77 with stop loss below Rs 70.35.

Buy BHEL: Investors can buy BHEL on dips for target of Rs 165-170. This stock has important support around Rs 125-130 band.

Accumulate Coal India: Investors should accumulate Coal India at current levels for long term investment perspective and avoid trading in this stock.

Pharma stocks look weak on charts. The sector will remain a laggard in coming months, so sell frontline pharma on rallies.

Short Aurobindo Pharma: Investors can go short on Aurobindo Pharma with stop loss above Rs 805 for target of Rs 740-760.

Short Sun Pharma: Investors can go short on Sun Pharma with stop loss at Rs 825 for target of Rs 750.

IT stocks: After guidance was lowered by Infosys, there will be pressure on overall IT sector and it is not worth investing anymore in IT stocks.

Short HCL Technologies: Investors can short for target price of Rs 675 with stop loss above Rs 750.