Tuesday, June 22, 2010

Fabulous-15 Update

FABULOUS-15 has recovered a little after pullback rally in markets and GUJ NRE COKE, FSL, GLENMARK, ADHUNIK have helped. NEYVELI LIGNITE disinvestment was approved by the center and the stock has shown a breakout where much higher level are also possible. Nifty pullback has matured with 20 days rally continuing but with Europe problems not getting over being very aggressive is against logic in my view. 18700 to 12000 has been our range for Year 2010 and we are very near to higher levels, if upper range is breached on a sustainable basis for 4-5 sessions we may rethink our policy.
FABULOUS-15 TRACKER (Prices in Rs)
Stock
Name
Reco
Price
CMP
Target
%
Weight
%
Returns
Action
3IINFOTECH
87
62
118
2
-29
Hold
ADHUNIK MET
110
109
152
2
-1
Hold
EKC
156
129
189
2
-17
Hold
EMCO
91
81
130
2
-11
Hold
GIC HOUSING
92
100
150
2
9
Hold
GLENMARK
278
273
350
2
-2
Hold
GSPL
98
97
125
2
-1
Hold
GUJ NRE COKE
72
63
110
2
-13
Hold
IFCI
54
55
75
2
2
Hold
MRPL
78
71
100
2
-9
Hold
NEYVELILIG
152
156
196
2
3
Hold
POWERGRID
109
102
141
2
-6
Hold
SUZLON
75
56
140
4
-25
Hold
JUBILANT
325
347
450
2
7
Hold
FSL
30
26
38
2
-13
Hold
GREAVES COT
286
338
352
2
18
BP
SKUMAR
41
49
70
2
20
BP
ABG SHIP
210
270
270
2
29
BP
Total



32
-1.31


GIC HOUSING is a fantastic Dividend Yield stock which will pay Rs 4.5 Dividend soon. The stock is near a major breakout of its 13-month range and is an important stock to have in investment portfolio.



  • Be just 32% invested and don't do averaging for the sake of that.
  • Don't average if 30% dip is not seen after your purchase, averaging should be considered time-wise also.
  • At least 2-3 months must pass before you buy again in a dip.
  • As we hold a view that Sensex below 13000 in 2010 can be possible so avoid aggressively and leveraged positions.
  • This market is a bear market which can cut both ways, it is always difficult to mint money in such market and it is better to be an investor and accumulate.
  • Being correct in market is difficult so we have invested 32% so that in case of market rally we don't miss the opportunities.

Investors' risk appetite revives, money returns from overseas http://www.business-standard.com/india/news/investors-risk-appetite-revives-money-returnsoverseas/398978/


ROAD TO RECOVERY
Country/Index
Weekly
Yr-to-date
MSCI Asia Pacific
3.32
-3.55
MSCI Emerging Markets
3.96
-3.64
Brazil (Bovespa)
1.31
-6.05
Russia (RTS)
3.88
-2.44
China (Shanghai Comp)
-2.21
-23.31
India (Sensex)
2.96
0.61
Hong Kong (Hang Seng)
2.08
-7.25
Singapore (Straits Times)
1.33
-2.22
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