SNAPSHOT of few recent recomendations purely based on Technical Analysis

                                                 YES BANK
   ONGC

                                                   

PRIVATE BANKS YESTERDAYS BIG WINNERS

Yesterday, the Bank Nifty went up by nearly 10%.Banks-both PSU and Private- were big winners with all bank stocks closing in the green.
Some private banks showed outstanding gains as can be seen from the table below:

Symbol	Close on 4 Sept,2013	Close on 5 Sept,2013	Gain
LAKSHVILAS	62	63.7	2.74%
KARURVYSYA	300.45	310.05	3.20%
SOUTHBANK	19.25	20.15	4.68%
DHANBANK	30.05	31.5	4.83%
J&KBANK	1051.2	1121.75	6.71%
DCB	41.2	44.15	7.16%
KTKBANK	79.75	85.75	7.52%
CUB	38	40.9	7.63%
HDFCBANK	564.05	609.5	8.06%
INDUSINDBK	366.9	397.5	8.34%
KOTAKBANK	608.5	662	8.79%
ICICIBANK	817.75	893.7	9.29%
INGVYSYABK	428.05	473.6	10.64%
FEDERALBNK	244.15	274.55	12.45%
AXISBANK	801.5	927.5	15.72%
YESBANK	236.05	287.5	21.80%

INGVAYSA BANK AND LT FINANCE LONG TERM MULTIBAGGER STOCKS

2 Multibagger Stocks : ING VYSYA BANK and L&T FINANCE

ING VYSYA BANK

Reco to paid clients @ 420-25 avg

 

TRADING AT 470  NOW

 

 

 

L&T Finance : Reco to paid clients @ 55-53

 

TRADING AT 60 TODAY

 

HDFC Bank – SELL ON RALLY

HDFC BANK TECHNICAL VIEW

-> Technically the stock had a lot of support around 610 levels which has actually become a resistance now.
-> Also the stock has been the most resilient in the banking segment. But with the breakdown seems it can either go back to 550 or lower or get sideways.
-> A rise to 605/625 can be a short with a closing stoploss of 630 and downside target of 550.

Quick Thoughts :

Even investors can have a relook into their HDFC Bank core holding as this remains the most expensive on all ratios and technically showing we might have made an important top around 700-730.

The assumption has been it will continue to grow 30% year on year. Will it continue to deserve similar multiples, price to book of 4-5 or is it better to shift into a bank which is available at a much better value. When many other banks have collapsed 50% from peak and if one needs to have some banking exposure in the portfolio should it be HDFC or some other ones.
Technically none of the other banks look in a good shape but further corrections of 20% can make some of them interesting.

MARKET SALUTES RAGHURAM RAJAN WITH 150 POINT STELLAR RALLY

Todays gap up of 150 point on Raghuram Rajan speech is a good thing for everyone. The bulls get their profit booking zones and shorts can be back with a risk-reward in favor.

Technically the trend has changed to down post the trendline breakdown. A retest of same is always warranted and generally is a good time to increase cash or go short.

This is the quick technical chart.

Bhushan Steel IS THERE SOMETHING FISHY

-> Bhushan Steel was a darling stock of traders in 2006 and 2009 moves but over the last 1-2 years the stock has gone nowhere.
-> At the same time other stocks in the same sector have collapsed or seen wild moves the stock is holding fort at 450 for almost 12-18 months.
-> Now surprising facts

Delivery volumes are only 5%. Implies 95% of the trades are intra day !!
For a stock worth 10k crores or almost 2 billion dollars the traded value is only 1-2 crores.
A stock which has performed superbly well for last few years ( from 50 in 2009 to 450 now ) there is no mutual fund holding the stock.
Promoters and other entities hold around 80% of the shareholding.
Technically the chart seems to be pretty controlled as no effect of falling or rising indices or peer group companies.
The biggest concern is the fact a stock which is not in the limelight and seeing no price moves has 95% of the trades to be intra day. There is something fishy.

Finally there is only one Fund which believes in the company – LIC.
LIC has bought a good 2.7% stake into the stock as per the last shareholding pattern.(IS FEEL SOMETHING FISHY HERE)

This will be an interesting stock over next few quarters. Mind you technically its a big avoid and if you hold it then book profits.

ONGC , Tata Global – 2 STOCKS AT GOOD SUPPORTS

First to start with given that Nifty trendline has been broken and any rise to 5500-5650 will continue to face resistance it is difficult to take fresh long trades unless its one with good price/volumes and momentum breakout on upside.

But if one does want to do bottom fishing than couple of stocks which come on the technical radar are.


ONGC





-> Over the last 3 years the stock has been holding on to the support band of 240-250 on the lower side.
-> Earlier we did see a breakout above 300 which gave a smart move but failed to go beyond 350-360 band.
-> One can keep a stoploss of 235 for this trade on a closing basis.

TATA GLOBAL 



-> There is a strong trendline support around 135-140 band.
-> Till it holds 132 one can expect a bounce towards 150-160.