Avoid Tech Mahindra in the short term: Anil Manghnani

ET Now caught up with Anil Manghnani, eqwise.in, Director, Modern Shares and Stockbrokers Limited to get his views on Tech Mahindra.

Does Tech Mahindra look weak on the charts?

The problems associated with the whole Satyam deal are starting to emerge and there are accounting entries. Probably avoid for now but in the longer term if technology has to outperform the way the charts are setting up, then Tech Mahindra should do well but in the short term, it is probably an avoid till maybe another quarter of clarity emerges. The other interesting one is Bharti Airtel.

Looking at about a six-month period from where the whole news broke down with the telecom sector. Another two months of consolidation or listless trading in that sector is possible before the sector actually bottoms out. From a trading point of view it becomes a trading buy with a stop of 290 but overall from a longer term point of view, there is another two-three months of listless trading in the telecom sector.