Wednesday, February 29, 2012

Market Mantra: The gates for a cut in the Interest Rate is cleared
The road for the next step of the RBI to go for a 50 basis points cut in the interest rate in the next meeting is now almost cleared with the figures of GDP dipping to a dismal 6.1%, against and estimated 6.9%. In such circumstances, your focus should be on those sectors which will be a direct beneficiary of any cut in the interest rate: Banks, Real Estate/Construction, Auto and Steel/Cement counters. Therefore, use every dips to buy shares of good companies. Now the railway budget is near, therefore buy Kalindi Rail Nirman  Ltd at Rs.118--121, SL--Rs.117. T--Rs.131-145.
Buy KSK Energy Ventures Ltd at Rs.70-71, T--Rs.84, SL--Rs.66. Since the energy sector is expected to do well buy good stocks in this sector, including Jai Balaji Industrires Ltd, which was again given a buy today at around Rs.39, and which touched Rs.40.35 intra-day. 
Late afternoon call given to the Paid Group: buy Mini_Nifty at 5438, T-5500, SL--5410. This time the Nifty is expected to cross 5600 and hence please do not go in for deep shorts.

No comments: