ANOTHER STOCK ON A FREE FALL : HANUNG TOYS

Have you seen Hanung Toys Chart recently? The stock is in free fall mode.


Here’s the Hanung Toys Chart

 
Hanung Toys was trading at Rs. 165 at start of CY2013 and yesterday it closed at 26 i.e. a fall of 83%. In Nov 2010, stock was trading at Rs. 400. That’s the level of wealth destruction that has happened on the stock. The company is now worth just Rs. 70 crores market cap.
What happened?
There are only two things I noticed:
1. Hanung Toys & Textiles has initiated discussions with its lenders to restructure its debts through Corporate Debt Restructuring (CDR) Mechanism and accordingly have filled a Flash Report with CDR Cell, Mumbai, on July 30, 2013.
2. IDBI seems to be selling the shares.
The stock has been a falling knife and one can only feel sorry for the investors. The stock also tells you a story on what kind of market we are in and No Low is good enough.

NIFTY HAMMERED BY FIIS

Nifty has been on free fall mode since July 24th. From levels of 6077, Nifty has come down to 5519.

Here’s the Nifty Chart: The fall has been one way

 The Reason: FIIs are shorting Index futures pretty aggressively

 Figures in Rs. Millions)

 As you can see in the table above: FIIs have been quite relentless and aggressive in piling up shorts in last 15 days. It would be interesting to see when FIIs decide to cover these shorts because only that action may bring in some relief. Right now market appears to be going just one way.

. Here's what Nifty futures did today

Nifty Stages a  minor pullback from near 5500 levels

CALL OF THE DAY :LUPIN PROFIT 12500 RS

MAIL SENT TO PAID CLIENTS TO SELL LUPIN BELOW 820  SL 840 TARGET  770- 750 IN CASH 
SELL @ 822 IN FUT LOT SIZE 500  
MESSAGE GIVEN TO BOOK PROFIT SIN FUT AT 797 THOUGH STOCK WENT TO HIT 787 

722-787=25 RS  500*25=12500 RS INTRADAY DAY BOOKED PROFIT

BIOCON 338-340DONE

BIOCON TODAY MADE FRESH BREAK OUT ABOVE 330  DONE HOPE ALL YOU FOLLOWED MY  UPDATES ON BIOCON

 POST ON JUNE 28:
 http://trendzofmarket.blogspot.in/2013/07/biocon-fresh-break-out-above-330.html

 POST ON JUNE 17
http://trendzofmarket.blogspot.in/2013/07/biocon-heading-to-325-330.html

KEEP HUNTING THE BOTTOM FOR GOLD

Market does not make top or bottom everyday but analysts predict one practically every other day

When asset is in downtrend: one should never hunt for bottom. It’s a stupid and foolish game. Just look at Chart of Gold below and think about Bottoming out calls you would have heard in last six months on Gold.

 

There is a big lesson for everyone. There is no fun fighting the trend. When Bullish trend is over: Buy on dips is a bad strategy. Also, when long term trends change, it may take years before trend reverses itself.

HEALTHY S&P?

It’s not where market is at the end of the day but what market does during the trading day – tells a lot about health of the market

I have been observing since many days that it takes tremendous energy by bears to bring S&P500 down (move against the trend) but it takes practically no energy for market to stage a comeback (in line with the trend). Today’s Intra-day movement was no different. Just look at the Emini chart below: 

Early morning: Huge Volume activity required to bring some correction. But then Buy the dips crowd came; and slowly and steadily with very low volume pulled the market up
Buy the dip crowd is active and natural direction of the market seems to be up. That’s why market is able to rally so much intra-day on so low volumes. If someone looks at the market end of day: Yes it was a Bearish day. But if you look at intra-day movement -the bias appears to be Bullish.