Exit From Sugar, Metal and Cement Counters:

Since the metal prices are showing high volatility on both sides, hence exit all the metal counters for the time being; specially the steel counters. The sugar prices are expected to fall further below due to reasons mentioned in my earlier postings. But u can enter Balrampur Chini in declines below Rs.80, due to its possibility of getting carbon credits. Most of the cement counters seems to be fairly valued; let them correct a bit before u can enter. Look for Mysore cement, Kakatiya Cement and NCL Industries on 30-40% decline from the present rates. Exit Hazoor Media and Power Ltd, Aditya International and Sika Interplants Systems. EXIT LML LTD as the stock has turned junk. Hold Chandra Prabhu International Ltd with a SL--->Rs.9 Buy: 1.D...P......at Rs.90. 2. E......A.....Ltd at Rs.111 3. Tilaknagar Industries Ltd at Rs.47 4. Paramount Communications Ltd with a SL-->Rs.182 5. Soma Textiles Ltd above Rs.29. 6.Y...I....at Rs.135. Sell: 1. Hindustan Zinc Ltd with a SL--->620 2. Sujana Metal Products Ltd with SL-->62 3. Cheviot Company Ltd with a SL--->Rs.380. 4. Kanishk Steel at Rs.39. 5.Jhagadia Copper Ltd. (SWIL Ltd) at Rs.15. 6. Sell ITI Ltd at Rs.48. 7. Titagarh Industries Ltd at Rs.48. 8.Sell HMT at if it comes below Rs.70. 9. VSNL at Rs.395 as the stock looks fairly valued at the current price. The markets are expected to consolidate today, if it opens in the green and hold above 11, 500. If the market rises then accumulate some more good Mid and Small cap counters. With Oil prices receding, unless, Margin Pressure becomes too hard and Asian markets goes for a toss, the markets should not go down. But if the margin pressure triggers in then we can expect for another round of selling. So remain cautious but look for investing opportunities. Asian markets are now trading from flat to negative territory with Nikkei and Hang Sang trading in the green. The emerging markets are also down with Russian Index down by 3.5%. Lot with depend on the activities of FIIs and Domestic mutual funds. Try not to Punt on Gem and Jewellery sector as the visibility is still not clear; after the Gujarat Floods and dwindling demand from the Overseas( Read US) markets, especially the diamond counters, though festive season might give some lift to the domestic demands. No time now.....more in the following mails............. Best wishes, Suman Mukherjee India. Note: Undisclosed names with be presented at around 1 O'Clock, depending on the market sentiment.