Power stocks - should you buy?

After some correction over the last few weeks, shares of power companies are once again in demand. The Power index gained nearly 2% and is the top sectoral gainer in noon deals.

Read on to know what Puneet Kinra, AVP Research (Equity Technical) at Bonanza Portfolio has to say about power companies like Tata Power and Torrent Power

Markets have slipped into the negative in noon deals. To what levels do you see consolidation going on?

Nifty is trading in intermediate uptrend. For short term point of view, As per Nifty spot levels, 6050-6350 is the range for Nifty. Until, Nifty manages to breakout above 6350 or breakdown below 6050 on closing basis, consolidation may be seen. For Intraday, 6220-6200 is support for Nifty Spot.

From the banking space, which are some of the picks that you are optimistic on?

Although PSU Banks have shown good strength over the last few days, I would still recommend ICICI Bank and IndusInd Bank from private banking sector. BANKOFBARODA is the preferred pick from PSU banks for medium term.

What do the charts suggest for Tata Power and Torrent Power?

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