Suzlon Energy, Bharat Forge, Paytm, City Union Bank, TechM: Expert shares targets, outlook; check key levels

Benchmark Nifty50 has been moving in a narrow range, but opportunities continue to exist in select mid-cap and small-cap stocks, according to Aditya Agarwal, Head of Alternate Investments at Coheron Wealth.

In an interaction with Business Today, Agarwal shared his views on Bharat Forge Ltd, Suzlon Energy Ltd, City Union Bank Ltd, One 97 Communications Ltd (Paytm) and Tech Mahindra Ltd, highlighting key support, resistance, target and stop-loss levels.

On Bharat Forge, Agarwal remained positive on the auto ancillary stock. "In the short term, we are expecting this stock to test Rs 2,300-2,350 levels. And, our long-term target remains Rs 2,500 for Bharat Forge," he added.

On Suzlon Energy, the market expert said the recent correction has created a fresh buying opportunity.

"The stock has seen a decent correction from Rs 60 to Rs 50-51 levels, which are now acting as a strong support base. I think this correction again has given a good buying opportunity. If we see the long-term structure of the stock, it is looking positive. So, I would be a buyer in this counter at current levels with a stop loss of Rs 51. If someone is playing for a short term, then Rs 56-56.5 will be the expected targets, but a slightly longer term target will be around Rs 60-61," he stated.

Commenting on City Union Bank, Agarwal said the stock is currently range-bound and advised investors against initiating fresh positions at the current market price.

"So, I will wait for some time. If the stock breaks above Rs 235 level, then we can see a positional play in this counter, and then, it may move towards Rs 260-265 levels. But at current levels, I will avoid City Union Bank," Agarwal stated.

On Paytm, he noted that the stock has already witnessed a sharp rally over the past few weeks and is now trading close to a key resistance zone.

"The stock has already seen a big up move from Rs 1,000 to Rs 1,340-1,350 levels over the last three or four trading weeks. Currently, the stock is trading near its resistance, somewhere in the zone of Rs 1,370-1,380. Last week, we saw some profit booking from those levels. So, I will avoid Paytm for some time at current levels. I am expecting that stock may consolidate for a few days between Rs 1,300 and Rs 1,400. And once this consolidation is complete, then we can only see a fresh upmove in the counter."

On Tech Mahindra, Agarwal said the stock is approaching a major resistance zone of Rs 1,600-1,610 and has been one of the better-performing IT counters.

According to him, fresh buying at current levels is not advisable. However, if the stock closes above Rs 1,610, it could witness a positional upmove towards Rs 1,750-1,800.

On the downside, he said any correction towards the Rs 1,540-1,550 range could present a buying opportunity. Agarwal added that he is not negative on the IT sector, as the major correction appears to be behind it, but prefers a 'buy on dips' strategy instead of chasing stocks after the recent rebound.