Reliance Energy is grabbing a lot of attention. It is better to stay with this stock at the moment.

Ashwani Gujral, Technical Analyst feels that Reliance Energy should easily get back its previous highs, so the investors should hold their stocks for a big bang.

Mr. Gujral told, “Power stocks are buys because they have made large moves and corrected 50% in very quick time and then have come back. I think Reliance Energy should easily reclaim it’s previous highs same with Tata Power. All the other stocks, which were leading before this correction are expected to lead again and most of them have had 3-4 days worth of corrections and now people will probably get back in to them. I would expect levels even higher then the previous in case the market is able to take out its previous highs, so you need to be with these stocks and you’ll get more gains.”

Today, it has gained 6.7% at Rs 1,625.00 on the Bombay stock Exchange (BSE). The stock sees 52 week high of Rs 1959 and low of Rs 436.10.

The company has posted good quarterly (Q2) numbers. It has recorded a net profit of Rs 250 crore for the three months period ended September 30, 2007. The company’s net sales zoomed to Rs 154.17 crore from Rs 1407.6 crore in the same period of the last year. The other income surged by 46.6%.