Quant Pick - Bharat Electronics - ICICI Direct

Time frame: Three months

Derivatives & Quantitative Outlook

Stocks from the PSU space have seen time wise correction in the last couple of months as they have failed to perform in line with the market. However, the last couple of weeks have shown some changes in data. It seems short positions are getting closed ahead of the May series.

In March 2020, Bharat Electronics had remained under pressure, falling from the highs of Rs. 155 in March to sub Rs. 115 levels. It accumulated significant short additions in the system. The open interest in the stock had risen almost 30% as the stock price fell almost 25%. Since April, closure of shorts was seen in the system. Currently, the open interest in the stock is very low. We expect that with ongoing positive bias, it is set to move further high on the back of fresh accumulation in open interest.

For details, click on the link below: Link to the report

Shares of BHARAT ELECTRONICS LTD. was last trading in BSE at Rs.155.05 as compared to the previous close of Rs. 154.6. The total number of shares traded during the day was 1128702 in over 10851 trades.

The stock hit an intraday high of Rs. 157.85 and intraday low of 153.45. The net turnover during the day was Rs. 175768175.

Source : Equity Bulls

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