Bullish on DLF, REI Agro, Maruti underperformer: Jitendra Mehta, Edelweiss

In an exclusive interview with ET Now, Jitendra Mehta, Technical Analyst, Edelweiss, talked about IT and a range of other stocks.

If there are any mid-cap IT stock that you like? Also, give us a sense of your stock ideas right now.

We are trying to blend some long short positions in the market, since markets are already showing a lot of resistance around this 5350 mark, so that's why some long positions in realty, sugar and in telecom. DLF we have picked up because after a long time, it has just inched above the 290 level barrier. It is a good time to have a look at a realty stock. DLF looks likely to head higher till 330 and possibly one can look at a trading stop of around 284-283 levels, so DLF looks good. Rei Agro is another mid-cap name in agricultural space where we can see some kind of up move. The stock has returned around 8-9% move today but then it looks like it has just started the upmove and possibly it might be another 20% move is possible to look there, so that's another mid cap idea.

Among the large cap short selling ideas, REC has found extremely difficult to break through this 305-306 range and has been just coming down, so after a big upmove, the stock would consolidate around 280 levels, so a good trading opportunity or may be if someone can hedge the positions here, so may be a trading short on REC there. Also Maruti is another stock, which has been finding supply around this 1400 mark and there is also a 200 DMA resistance that is slightly higher, so Maruti also looks like an underperformer, so we would like to look at relatively shorts positions in Maruti also from here.