Here's why Mehul Kothari recommends buying Gland Pharma, Indian Oil

According to the technical analyst from Anand Rathi, Gland Pharma can rally to Rs 2,350, while IOC can spurt to Rs 83.

BUY

Gland Pharma

Buy Near: Rs 2,150

Target: Rs 2,350

Stop Loss: Rs 2,050

Since more than a year Gland Pharma has eroded around 50 per cent from its peak and has entered highly oversold zone. On the daily scale we are witnessing positive divergence in RSI which indicates bounce.

Thus, we advise traders to buy the stock on dips near Rs 2,150 for a target of Rs 2,350 in the coming sessions.

BUY

Indian Oil Corporation (IOC)

Buy Above: Rs 78.50

Target: Rs 83

Stop Loss: Rs 75

At this point in time, we are witnessing double bottom formation at Rs 65 level. Right now the risk reward ratio is highly favourable for going long.

Thus, we advise traders to buy the stock above Rs 78.50 for a target of Rs 83 in the coming sessions.

(Mehul Kothari - AVP – Technical Research, Anand Rathi Shares & Stock Brokers. Views are personal).