[drk_411]

Originally Posted by drk_411

Dear DrSingh,


Next criterion is some technical indicators for bounce back, when the risk reward is favourable and you can take a trade. For example Aban, has come down to 303 levels. It might be worthy of a bounce back to 320-330 levels in the short to medium term, though on long term it might have some more pain left still.

Bought Aban @ 300 and sold part qty @ 315 today itself keeping the rest for 320-330. Max waiting period 10-12 trading days as some long term pain might be left so the trading window is only 2 weeks.

[Saanil]

Guys,

Just a basic question. I have been reading many articles on how the recent earning season has been disappointing and that for earnings to pick up, government spending has to go up.

What exactly do we mean by government spending? Are the companies so dependent on government spending that without them, earnings will not pick up? I always thought that it was the private sector which was the major reason for earnings increase.

Can someone give few examples of how government spending will improve earnings outlook? I mean are markets looking for government to build more bridges etc or does government spending refer to something else?

[drk_411]

Originally Posted by Saanil

Guys,

Just a basic question. I have been reading many articles on how the recent earning season has been disappointing and that for earnings to pick up, government spending has to go up.

What exactly do we mean by government spending? Are the companies so dependent on government spending that without them, earnings will not pick up? I always thought that it was the private sector which was the major reason for earnings increase.

Can someone give few examples of how government spending will improve earnings outlook? I mean are markets looking for government to build more bridges etc or does government spending refer to something else?

Just a quick reply to a question which might take chapters to answer.

Govt. spending means spend on Infrastructure, which translates into better avenues for business, trade, growth, enhanced productivity and GDP in the long run... A very short and crude answer but should give you the idea.

[vinay kamath]

World economy may be slipping into 1930s Great Depression problems: RBI's Raghuram Rajan

Read more at:
http://economictimes.indiatimes.com/...w/47825044.cms

[sudev]

So what's the view on stock market in India vis Greek and China news?

[JMaruru]

Originally Posted by sudev

So what's the view on stock market in India vis Greek and China news?

Greek shouldn't affect Indian markets as much as China does.
Well, try to keep it simple. When it goes down around 8000, good level to accumulate. If as they say, ends up around 9000 by year end, you can book some profits.

[eyesice]

A question to the Gurus :

I am a newbie in investing. I recently read a news w.r.t the Anti Dumping Duty on Phenol by the govt. HOCL is the only manufacturer of Phenol in India. Does this mean that its good to buy HOCL which is currently a company in severe crisis and trading at 15 Rs ?

Reference - http://www.thehindubusinessline.com/...cle7411399.ece

[drsingh]

Booked profits in Mcnally Bharat and now taken a position in Reliance Communications at avg price of 60.Real estate development and sale of assets story to play out in next year.

Purely for positional trade.

Critique /comments /suggestions welcome.

[alpha1]

Originally Posted by eyesice

A question to the Gurus :

I am a newbie in investing. I recently read a news w.r.t the Anti Dumping Duty on Phenol by the govt. HOCL is the only manufacturer of Phenol in India. Does this mean that its good to buy HOCL which is currently a company in severe crisis and trading at 15 Rs ?

Reference - http://www.thehindubusinessline.com/...cle7411399.ece

Understand the fact that there were people suggesting buy HOCL @37 in 2007.
(http://www.moneycontrol.com/news/sto...37_264906.html)
Imagine what would've happened to them today ...?

Don't expect much from PSU firms, they are squanderers of sovereign money.

[ameyawaghmare]

I am most glad to have come across this thread! I was no way aware that such a buzzing thread exists on one of my favorite areas that I am into almost daily.

It was pretty surprising to see the poll results above this thread.

Trading shares, investing in the long term and knowing new investing methodologies is a regular thing for me (I am no where close to a job in accounts/finance just to clear). Yeah, a few start returns can help you fuel those long drives we all aspire for!

[ameyawaghmare]

Originally Posted by drsingh

Booked profits in Mcnally Bharat and now taken a position in Reliance Communications at avg price of 60.Real estate development and sale of assets story to play out in next year.

Purely for positional trade.

Critique /comments /suggestions welcome.

The pick on Mcnally Bharat was definitely a smart one. Reliance Comm seems to have a similar graph like McNally. is Reliance Comm the company behind Reliance Jio? Surprisingly, the EPS is growing every year and company is booking decent profits over years. Definitely makes for a very good positional trade at the current level (near 52-week low of 55 Rs.) The highest price in the last 3 to 6 months seems around 80 Rs. With a little patience, this stock might be easily be sold around the levels of 100/-

Since it is Reliance, I would prefer to exit earliest with a few quick profits. 80 Rs. target, no more even if the stock were to become a multibagger.

[drsingh]

Originally Posted by ameyawaghmare

The pick on Mcnally Bharat was definitely a smart one. Reliance Comm seems to have a similar graph like McNally. is Reliance Comm the company behind Reliance Jio? Surprisingly, the EPS is growing every year and company is booking decent profits over years. Definitely makes for a very good positional trade at the current level (near 52-week low of 55 Rs.) The highest price in the last 3 to 6 months seems around 80 Rs. With a little patience, this stock might be easily be sold around the levels of 100/-

Since it is Reliance, I would prefer to exit earliest with a few quick profits. 80 Rs. target, no more even if the stock were to become a multibagger.

It isn't JIO. Its the original RCOM. ADAG group. It's been a shorters favourite. But new triggers for the company coming up and deals with the Chinese to develop land bank. Not much downside in my opinion from 60. I'll probably exit at 100 if it comes quick.

Missed the rally in v2 retail that I was looking at fir a similar position.

I'm not much of a chart reader though .Trying to be like a special situation player.

[S_U_N]

In one month, Igarashi stock has gone up from ~440 to ~680.

What's happening?

And where is VindyWheels?

Edit: I had purchased only 30 shares @160. :(

[ameyawaghmare]

Originally Posted by drsingh

It isn't JIO. Its the original RCOM. ADAG group. It's been a shorters favourite. But new triggers for the company coming up and deals with the Chinese to develop land bank. Not much downside in my opinion from 60. I'll probably exit at 100 if it comes quick.

Missed the rally in v2 retail that I was looking at fir a similar position.

I'm not much of a chart reader though .Trying to be like a special situation player.

V2 Retail is definitely one interesting company to know about. It had reached level of 1000/- sometime and now trades at a 52-week high of 65 Rs. approx! Probably, it is a reverse mutli-bagger, balance sheet is shrinking and operating profit is not converting to net profit. The company calls itself as one of the fastest growing retail companies in India!

Anyways, how do you come to know about these companies in special situations, any specific tools being used, subscriptions or a purely long list in your watchlist that has been gathered over the years?

I had a good experience with Time Techno recently, I was bought at 51-52 in February and kept buying small chunks around 46-48 rs. range. Set a price target of 60/- (GTC order) and got a handsome ~25% gain in 4 months... GTC orders have turned out a boon for those who have determined set price target (s) for buying and selling.

[ameyawaghmare]

Originally Posted by S_U_N

In one month, Igarashi stock has gone up from ~440 to ~680.

What's happening?

And where is VindyWheels?

Edit: I had purchased only 30 shares @160. :(

Congrats, you own a multibagger there! Reading about the company, it looks pretty impressive. It has backing of Crompton Greaves and another Japanese and an US company. Plus, it seems to have many tier-1 clients and is based out of auto hub of Chennai. And the profits are growing up significantly, balance sheet increasing, cash flow is positive! From my limited understanding of financial interpretation, I find it impressive enough.

Thanks for mentioning this company name, I have got something to research heavily over the weekend.