Winning Strokes

The blogger interface continue to pose problems, for me when I upload my inputs from my mobile or Tab. I don't understand the logic of Google, to force anyone to use their mobile App, which is even worse. Why they removed the early user friendly UI (of blogspot) is a question, I want to ask Google. 

Anyway, yesterday, the S&P BSE Sensex climbed 257.62 points to 51,039.31, while the Nifty50 gained 115.40 points at 15,097.40 levels.. According to EODcharts, the key support levels for the Nifty are placed at 15,050 and 15,000. I had mentioned in my last post that if the index moves up, the key resistance levels to watch out for will be at: 15150/15,161/15,224. However, stock specific action will be the key theme to watch out in future.

#Yesterday the stock of Future Retail Ltd (Rs.70.50) moved up with good volumes. The retail sector will be one of the biggest Beneficiaries of the recent budget for FY22. In other words, more money in the hands of investors, could imply more retail purchases. Besides, the dispute between Amazon Inc and Reliance Industries seems to boil down to only Rs. 300 crore, which gives more ammunition to the BULLS. 

According to a report published in The Economic Times, on 23 February, 2021:

A single judge on December 21 last year had on FRL's plea said that prima facie it appeared the US e-commerce giant Amazon Inc's attempt to control Future Retail was violative of FEMA and FDI rules.

The high court division bench had also declined Amazon's request to keep its order in abeyance for a week so that it can explore appropriate remedies.

On February 8, a division bench of Delhi High Court, said it was staying the single judge order as firstly, FRL was not a party to the share subscription agreement (SSA) between Amazon and Future Coupons Pvt Ltd (FCPL) and the US e-commerce giant was not a party to the deal between FRL and Reliance Retail.

The bench further said it was of the prima facie view that the share holding agreement (SHA) between FRL and FCPL, the SSA between FCPL and Amazon and the deal between FRL and Reliance Retail "are different" and "therefore, the group of companies doctrine cannot be invoked".

The case for Amazon Inc apparently looks weak, and  hence we can expect the scrip to reach at least Rs.200 in the short term, because of expected improvements in its fundamentals and the sector outlook; post opening up of the shopping malls and multiplexes, all over India. Photo: The Economic Times. 

#Those who have applied for my news driven Crore - pati Scheme, should keep the cash ready and inform me. I'll give you the name of a hot scrip to invest, mentioning the target levels and stop losses. Kindly, don't do margin trading in the account or play in the F&O market (unless otherwise stated in the information mail) - - in such cases I may not help you.

You have to pay 30% (20% and 25% profit sharing scheme got closed on 15th February, 2021) on the net profit (i. e. minus all tax considerations) generated. Also, only genuinely interested persons send me request mails, Time Passers kindly stay away. 

Also, if you are new to stock market kindly don't play blindly on the stock recommendations mentioned in this blog (Read the disclaimer at the top). If you are playing on your own and don't require an expert guidance, then, you need to do your own research before trading on my stock suggestions. It is dangerous to play in stock market without having a proper training or bereft of a solid understanding of the market dynamics.

#Sell the Shares of Mphasis Ltd in F&O market, near the spot CMP of Rs.1652 for short term targets of Rs.1520/1300.  SL: Rs.1700.

Yesterday, Wall Street’s main indices plummeted, with the Nasdaq posting its largest daily percentage fall in four months, as technology-related stocks remained under pressure following a rise in U.S. bond yields. This is going to have a Negative effect on the tech related counters. 

Besides, the stock of Mphasis Ltd having an EPS of Rs. 67.03, dividend yield of a meagre 2.12% and P/BV of 5.30, doesn't deserve a buy at the CMP. But Mphasis Ltd has more liquid assets than its net liabilities and its cash flow according to the balance sheet is good. Hence, you can only buy on a correction, keeping a strict stop loss, with a caveat that after the Satyam Computer episode, I generally look at financials of the Indian IT companies with skepticism or cynicism.