No long term buy recommended for ADAG pack: Ashwani Gujral

Ashwani Gujral, Chief Market Strategist, ashwanigujral.com, in a chat with ET Now, gives his views on ADAG pack


On the charts would you initiate a long on any ADAG pack Reliance Cap, Reliance Power, Reliance Communication?


Well you could easily get 10% on all of these stocks once the Nifty gets past 5600 and if we do get towards 5850-5900 they will go up just because they have fallen a lot and they are having a pullback rally.

I do not think any of these stocks really probably deserve a longer term buy. So from a trading basis RComm goes to 110, Reliance Capital goes closer to 580-585. Similarly Reliance Infra towards levels of 625-630.

So these kind of 15%-20% type of moves can be expected here but you would much rather be in stocks where stocks are hitting fresh highs something like Bata, Titan all of these stocks because they are stronger.

These stocks have selling at every level so the rallies may not be as sharp as the other stocks.