Tit - bits

First of all, I would like to say that Google has made the GUI of the blogger so complex, that I don't feel like uploading the same. I don't know what prompted them to remove the earlier General User Interface. I have sent repeated requests to Google, to make this API, more investor friendly but alas!! 

Anyway, let me begin by wishing you all a very Happy New Year. Hope in this year, we will see less mismanagement from Narendra Modi & Co, the worst PM, since independence who institutionalised Fake News and Bluffs. The whole economy has been in shambles, but the market is being pushed up by the cronies, for the reasons best known to all.

Meanwhile, the Nifty closed at 14,018.50 up 36.75 points. (+0.26%). 

Foreign institutional investors (FIIs) were net buyers of shares worth Rs.506.21 crore, while domestic institutional investors (DIIs) net bought shares worth Rs.69.4 crore in the Indian equity market on January 1, as per provisional data, on the NSE. 

Inspite of all these positive data, I feel the Covid - 19 vaccine related rally has been done away with, as the domestic economy continues to be in shambles. 

I suggest you to start booking profits and remain light on the F&O longs. 

#However, you can still bet on the travel and hospitality sector. 

I have already recommended Imagicaaworld Entertainment Ltd (Rs. 6.14), which you can slowly accumulate in market declines, with a training SL of 10%, like you did in case of many of my earlier recommended shares, especially my strongly recommended scrip: Premier Explosives Ltd (Rs.162.50) at Rs.30/31, some years back; which went to become a multibagger. 

#Buy Kamath Hotels (I) Ltd near Rs.37/38, during market dips for short term targets of Rs.46/51. SL: Rs.36.

As the hospitality sector opens up more, post Covid - 19 episode, such scrips are likely to generate good returns over a period. 

#By the way, Join My Crore - Pati (multi - millionaire) Scheme with an initial investment of only Rs. 2 lakhs and opening an account in my associate brokerage house. For more details you can send me a mail at: sumanm2007s@gmail.com or suman2005s@rediffmail.com, but the secret theory and algorithm behind the scheme can't be disclosed. You will get only a rough idea of this offer. I have put in my more than 2 decades of experience behind this concept.

Winning Strokes: Think Different

Key benchmark indices suffered severe losses amid a broad-based sell-off in index pivotals. The barometer index, the S&P BSE Sensex, lost 550.51 points or 1.51% to settle at 35,975.63. The Nifty 50 index lost 150.05 points or 1.36% to settle at 10,858.25. The Nifty settled below the psychological 11,000 mark.

Photo: Samachar Plus

Sentiment was weak after the rupee dropped to a new low amid sustained foreign fund outflows and surging crude oil prices. Investors were also cautious ahead of the three-day Reserve Bank of India (RBI) policy review scheduled to begin Wednesday. The RBI's Monetary Policy Committee (MPC) will meet between 3 to 5 October 2018 for the fourth bi-monthly monetary policy for 2018-2019. The resolution of the MPC will be unveiled at 14:30 IST on 5 October 2018.

In the global commodities markets, Brent for December 2018 settlement was up 17 cents at $84.97 a barrel. The contract had fallen 18 cents, or 0.21% to settle at $84.80 a barrel during the previous trading session.

In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 73.24, compared with its close of 72.91 during the previous trading session. Rupee hit a record low of 73.4175 against the dollar in early deals amid worries that surging oil prices will stoke inflationary pressures and widen India's current and trade deficits.

Among secondary equity barometers, the BSE Mid-Cap index lost 1.11%. The BSE Small-Cap index rose 0.20%.

The market breadth, indicating the overall health of the market, was positive. On BSE, 1453 shares rose and 1212 shares fell. A total of 153 shares were unchanged.

Among the sectoral indices on BSE, the S&P BSE Auto index (down 2.9%), the S&P BSE Teck index (down 2.38%), the S&P BSE IT index (down 2.23%) underperformed the Sensex. The S&P BSE Metal index (up 1.74%), the S&P BSE Oil & Gas index (up 0.63%), the S&P BSE Capital Goods index (up 0.23%) outperformed the Sensex.

Yes Bank gained 5.79% on bargain after the steep declines in recent weeks. In a recent press update, the bank noted that it is fully geared for the MD & CEO's succession and pursuant to the board of directors meeting dated 25 September 2018, the two external experts of the search & selection committee will be finalized by 7 October 2018. The committee, assisted by a global leadership advisory firm, will evaluate both internal and external candidates and make suitable recommendations to the board of directors for onward submission to RBI.

Over the past few days, some unfounded speculations regarding the bank's asset quality have been brought to its notice, according to the bank. In this context, the management clarifies that the asset quality continues to be stable and reiterated its credit cost guidance at 50-70 bps for FY19 (76 bps for 

FY18).

The bank has a liquidity coverage ratio of ~101% as on September 30, 2018, which is 11% points in excess of the minimum regulatory requirement of 90%. The Bank's average daily LCR for Q2 FY19 was ~100%. The bank's liquidity position will further benefit from the recent RBI measures (announced on September 27, 2018) to ease systemic liquidity which will take effect on October 01, 2018, noted the bank further.

Hathway Cable & Datacom jumped 9.09% after media reports suggested that Reliance Industries has initiated talks to acquire Hathway Cable. The acquisition talks are underway in a bid to speed up the commercial launch of Reliance's GigaFiber high-speed home broadband services, reports added.

Reliance Industries lost 2.13%. With reference to media reports titled, "RIL in talks to buy Hathway, bring broadband home to you", the company clarified to bourses today that it is unable to comment on media speculation and rumors and it would be inappropriate on its part to do so. The company evaluates various opportunities on an ongoing basis. There is no information which has not been announced to the stock exchanges and which should have been announced by the company.

MOIL gained 6.39% after the company said that it has fixed/revised prices of different grades of manganese ore and other products, effective from 1 October 2018. The announcement was made after market hours on Monday, 1 October 2018. Stock markets were closed yesterday, 2 October 2018 for local holiday.

MOIL said that in line with the business practice of fixing/revising prices Manganese Ore, the company has fixed/revised prices of different grades of Manganese Ore, effective from 1 October 2018. The prices of Ferro Grade, SMGR (Mn 30% & Mn 25%), Chemical Grade and Fines have been increased by about 10% on the existing prices prevailing since 1 September 2018. A discount of 10% will be offered on the prices effective from 1 October 2018 on specific grades of materials i.e. BGF534, DBL456 & BGL523 for dispatches during October 2018.

The basic price of Electrolytic Manganese Dioxide (EMD), has been increased by Rs 9000 PMT on the existing price prevailing since 1 July 2018. Ferro Manganese/ Ferro Manganese Slag and some identified grades of Manganese Ore will continue to be sold on e-auction basis as well as through Metal Mandi (M3) of MSTC.

Overseas, most European stocks rose on Wednesday as investors kept an eye on Italian politics and spending plans. Most Asian stocks declined. Markets in China and South Korea were closed for a public holiday.

Italy last week unveiled a 2019 budget deficit target that has met stiff opposition from European Union officials, who say it will violate the bloc's fiscal rules. Italy's coalition government proposed a budget that would increase the deficit to 2.4% of gross domestic output in 2019, well above the initial target of 0.8% proposed by the country's previous centre-left government. The current target range for this year is 1.6%. The deficit blowout revived fears of the eurozone debt crisis and put pressure on the euro.

Meanwhile in the UK, the Conservatives' annual party conference was under way with Prime Minister Theresa May facing pressure over her proposal for future UK-EU relations, known as the Chequers plan, which has already been rejected by EU leaders. Any additional signs of political instability in Europe could weigh on the US, where multinational firms have a large amount of revenue exposure to the region.

In US, the Dow Jones Industrial Average hit a record high on Tuesday as it rallied for a second day, boosted by gains in Intel and optimism around global trade. Stocks were coming off strong gains from the previous session after Canada joined the US and Mexico in a new trade deal. The United States-Mexico-Canada Agreement, or "USMCA" for short, will see all three countries compromise on certain trade aspects. More market access will be granted to US dairy farmers, while Canada has agreed to effectively cap automobile exports to the States.

Trade war remains in focus for the markets. Following the new USMCA deal to replace the current North American Free Trade Agreement, eyes are now on Washington's ongoing trade fight with China. Investors will be looking to China, to see if Beijing and Washington can compromise on certain trade elements.

#Yesterday's call Yes Bank Ltd at around Rs.185 and Rs.200 call at Rs.15 gave good returns to the investors. The stock rose to Rs.222.95 in the NSE before closing at Rs.212.75 in the NSE up 5.92%. The Premium Members were asked to book profits around Rs.220 after the 1st target was achieved. You can hold the scrip with a SL at Rs.202.
I have started to give calls on Twitter during the market hours, because this seems to be a better one than Facebook for micro-blogging. My Twitter handle is suman2009s

#Today a buy call was initiated in the shares of Global Offshore Services Ltd at around Rs.12.80 for medium to long term basis. It is in the business of transport of personnel to rigs or  platforms from onshore bases and vice-versa; delivery of cargo or  material to rigs or platforms; anchor handling operations;towing of rigs, etc. The fact that crude oil prices are moving up in the international market is positive for the sector.
However, since this is a high-risk-high-gain stock, kindly don't enter the counter without placing a SL at Rs.9.60. If the things work as expected then this stock can make you millionaire. 

#Today a buy call given to the Premium Members on Premier Explosives Ltd at around Rs.180. If you could remember, that I used to give regular buy call on this company during 2003-2007 period, when it used to hover around Rs.18-35. Now I am recommending the same stock almost 6  times that price. This is how the stock market rewards long term investors. The stock  rose to Rs.214 intraday giving good returns to the Premium Members. The scrip closed at Rs.189.65 in the NSE, up 7.88%.
Join the Premium Services and get such calls on your Whatsapp, during the market hours. One or two Right Trade/s will give you back what you Paid as subscription charges. You can send me mails at: suman2005s@rediffmail.com.

Premier Explosives is a manufacturer of high-energy materials for the defence and mining sectors. It is the first private entity to develop and manufacture solid propellants for missiles. Bharat Dynamics has been procuring booster grains from Premier Explosives for use in the manufacture of Akash missiles. Amar Nath Gupta (promoter) bought 25,38,599 shares through market purchase from August 23 to August 27, 2018.

#The stock of Bharat Electronics Ltd (BEL) was given a buy to the Premium Members on 2nd October, '18 to be bought on the next day, i.e. 3rd October, '18 at Rs.82.70. The scrip made a high of Rs.84.75 today, before closing at Rs.83.40 on the NSE. You can still buy the scrip for targets of Rs.102/119. SL: Rs.75.
Public sector major Bharat Electronics Ltd (BEL) is planning to grab its pie on the Rs 90 billion-worth opportunity Indian Space Research Organisation (Isro) is opening up for the industries in the next few years. BEL is working in strategic areas like homeland security solutions, smart cities, cyber security, unmanned systems, satellite integration and composites in line with the emerging needs of the customers, said M V Gowtama, Chairman & Managing Director of BEL in a communication to the shareholders.

#In the Forex market the Indian Rupee dropped to a new low amid sustained foreign fund outflows and surging crude oil prices. This gives a general indication that the RBI is likely to increase the repo rate in the next meet. Hence, as a precautionary measure, I would suggest you to stay away from the rate sensitive sectors, like Real Estate, Construction, Auto, etc for the time being. 

#The Nifty Spot today closed at 10858.25 down 150.05 points. I feel the negative trend is likely to continue with occasional bouts of spikes, which should be used either to come out long positions or to initiate fresh shorts. According to my estimation, with a rate hike fear looming on the horizon, the Nifty Spot is likely to test 10586 in the Extreme Case, on the downside. However, the individual shares are likely to shine. Hence, stock picking is very important in this kind of market. Tomorrow we could witness a bounce of 10 - 15 points bounce on Nifty during the opening hours. 

~~with inputs from Capital Market Live News....

REMINISCENCE

I have been in the blogosphere since more than a decade, after trying my hand in Yahoo and Google groups; though many of my contemporaries have perished in the warp of time. I feel I don't have to remind you of their names; as you perhaps know many of them....and my historical conflict with one from my home state, Assam. 

I maintain an open-book-style, where the performance of my calls are etched on my blog pages or in other words, one can judge me through my blog-post. Needless to say, those who are with me since a long-long-time, are already privy to my fact-sheet. Your good wishes, innuendos, whispers and murmurs have often helped to improve my style of speaking with you directly, through this mechanism. 

Hope in future too, I would be able to disseminate information to the you in the same way and with passion like I did hereto, especially to the small investor community; keeping the delivery frank, intimate, professional, adventurous and sometimes even romantic. I believe that although the contents of this blog may not be viewed as an investment manual, however those seeking perspective from an expert mind in equity investing will find a great deal in its pages.

But, before, I pen my thoughts further, let me say that even I'm NOT infallible in equity investing space; though the quantum of mistakes may be less than the novices and/or new entrants. 

Also, my hints, tips and suggestions presented here are colour blind-- to say precisely, I don't look into the caste or creed or religion or linguistic orientation or political background of the investor/trader, when I share my views here in this blog. In other words, I am like a doctor, who attends to patients of any colour or caste or any community, when the investments (Equity, Film Financing, Real Estate, Metal Scrap, etc etc) are highlighted -- I am absolutely rigid and crystal clear in this vertical. I don't think anyone has any complaint, as far this part of me, is concerned. May be because of this, I have clients and well-wishers scattered across the globe.

Now switching topic, it is pertinent to mention here that surreal financial killings have always been a part of the stock market euphoria since 1920s. The present condition of India economy can be termed as a "BUBBLE IN SLOW MOTION", especially in the context of recapitalizing of private sector banks (PSBs -- I don't like the Media-Coinage, PSU Bank in the way, I have avoided using two terms: Technical Analysis and Penny Stock, in my writings) with enormous gaping holes in their balance sheets, post ballooning of their NPAs. 

On the flip side, Indian economy is also slowly limping back to normalcy, after the stupidities like Demonetization and a hurriedly implemented GST, rocking the nerves of the investing and trading communities. 

Experience with GST, a Consumption TAX (CT) has shown that products originating from informal and semi-formal sectors are hard to be taxed. Even in the formal sector, CT can be avoided by under-invoicing the sale receipt at the last leg of the value chain, sounding death-knell to those theorists, who had vouched GST as the ultimate device to block TAX-THEFT. That is why the tax rates under GST have been a story of one foot forward, two steps backward.

Indian monetary policy is like a bottle of tomato-ketchup, once gene starts to have effect, it is already too late to moderate it or wind it back. The Intellectual sub-current indicates that bank recapitalization is likely to release a huge quantum of money into the system. This money will be sloshing around, chasing finite resources and hey, the markets are likely to become more crazy in the coming days, before the RBI and other regulators slam the brakes hard.

My gut feeling is that Indian bourses are still not ripe enough to blow up in the near future - the momentum is likely to continue for at least another six months, before we can think of a major correction or perhaps a soft landing (mild crash) of sorts.

Having said this there is another aspect which needs a closer look: while the markets have roared parabolically-up, paradoxically defying the GDP figures and other negative clues, in technicolor and style; the INR-USD ratio, is working some hoodoo in the other rings of this psychedelic circus. But the TV financial shows still haven’t raised shrill alarm bells of dollar tanking in the past several months or the likelihood of interest rates creeping up in the bond markets.

In fact, this could be a crowning comic moment in human history when the world would be interested to buy bucket-loads of sovereign bonds backed by a falling currency. Meanwhile, the US Treasury’s partner-in-crime, the Federal Reserve, is getting ready to dump an additional $600 billion bonds in the market out of its over-stuffed balance sheet. Well let's stop ricocheting from hashtag to hashtag now and focus on other aspects of markets.

With this thought in mind, I would like to share a few things I gathered over the years:
#Sometimes investing can be incredibly simplified and profitable using common sense techniques. The reason that use of this technique works is that for some unexplained reasons there is a lack of it in the annals of stock market. As such, you can use common sense to somewhat predict/anticipate future stock market moves.

#Try to avoid investing through MUTUAL FUND route -- I have never liked the concept and these dangerous instruments perform mostly during a raging bull market. According to a report published in Financial Times, almost all US, global and EM funds have failed to beat their benchmark since 2006 or 99% of actively managed US equity funds underperformed.

So, unless you are a LAZY GUY or have no time to take a look on your investment profile on a regular basis, except your domain of work, always try to invest directly in stock market, albeit with the help of experts (if any). 

It is interesting to note that the total assets under management (AuM) of the world’s largest 500 managers grew to US$ 81.2 trillion in 2016, representing a rise of only 5.8% on the previous year, according to latest figures from Willis Towers Watson’s Global 500 research. Although the majority of total assets (78.4%) are still managed actively, its share has declined from 79.7% from end of last year as passive management continues to make inroads. 

In India, the mutual funds have added over Rs.6 trillion to their asset base in 2017 and the uptrend is likely to continue in the new year, helped by a spirited promotion campaign by the industry and post-demonetisation resurgence of financial investment products. The industry is looking at an increase of nearly 40% to the total asset under management (AUM) ......... after attaining a record level of Rs.23 trillion at November-end itself—up from Rs16.46 trillion at the end of December 2016.

In any case even if you are a die - hard Mutual Fund fan, always prefer open ended schemes, against closed ended ones. 

#Don't invest in more than 2-4 stocks at a time in spite of all the temptations from external sources; so that you can keep a constant track of them -- your portfolio should look sleek and elegant. If a stock is not performing and its sector has started to give negative signals, trim it out of the portfolio, even at a slight loss and ride on the sector which is in trend or will be in long term trend from here. Asset allocation and constant churning of portfolio is what will give the creams of return. Always book profits in the way, because Indian markets are immature and your small profit might soon evaporate to land you in losses. 

#Avoid too much trading in your account. Buy a scrip based on a story and keep holding it with a target in mind. Once the share reaches near the target, book profit and exit. Don't become too much greedy and hold a share for years and months, unless and until there are compelling reasons to stick on that formula. However, occasional try in BTST/STBT or Daily Jobbing is also fine to some extent. Authenticity of source based information should be checked  on regular basis.

#Search for turnaround stories across the financial mosaic, pivoted on company and sector specific outlooks.  Once found then do a bit of research and try to get source based information on the scrip. In the past I have mentioned a lot of turnaround stories in this blog including, Premier Explosives, Suzlon Ltd, etc the latest being 3i Infotech Ltd and the Banking sector. 

#Whatever be your age, always keep at least 30% of your investment in equities. Market crashes are generally not “manufactured” rather they are an emergent side effect of market dynamics. Therefore, to lose extraordinary money in equity market, calls for commensurately extraordinary events. In Bombay, it is said: Everyday 9 people lose their lives while commuting through local trains, considered life line of this metropolis. But does it stop people from using this instrument of communication? No, isn't?

Bull markets often piggyback on Fantasy or/and Euphoria and hence politically loaded, expositions carry little meaning during this period. Moreover, books have been written on timing markets and it's generally accepted that it cannot be done reliably. To get out before a crash then buy cheap would require you to predict three different moments accurately: 

(i) When to get in, 

(ii) When to get out, and then 

(ii) When to buy on the "cheap". 

Timing even one reliably requires luck or clairvoyance or miraculous financial acumen. Therefore, postulating entry and exit theories are really very tough, if not impossible.  

In India active management industry is adding value, as compared to other parts of the world,  where the markets get more institutionalized, i.e more ownership lies in the hands of the institutions. I think passive management will grow in the years ahead and gain market share but the absolute equity asset class allocation will also rise substantially. As regards returns from the asset class like equities, given current valuations and projected figures, expectations should be palliated; till there is a sizable tectonic shift in the macroeconomic parameters accompanied by more pro-corporate government policies.

Lastly, always prefer a full fledged brokerage house instead of budget brokers like Zerodha, who not only provides stock research reports but also have a good trading platform. Safe is a very strong word, hence your choice of brokers may have a direct fall out on many future investing coordinates.

In this information age the outlook of people, who saw equity as a purely speculative, volatile asset class, almost a form of legalized gambling is slowly changing. Statistically, equity still remains the best asset class for wealth creation over the long term. 

The risks inherent in equity can be mitigated by diversification,  finding an expert for guidance and cutting down on hubris and excessive urges. 

And even after several tries if you have failed in Equity market, then try investing in recession-proof Comic books.... 

All the best and good luck!!

Defence stocks rally upto 10% as DIPP clears industrial licences

Mumbai, 5 Dec, 2014: Shares of defence related companies are up for second straight session after the Department of Industrial Policy and Promotion (DIPP) licensing committee cleared several industrial license proposals stuck since 2012.

According to reports, of the 34 licences considered by DIPP, seven came from Pipavav Defence; two were from Punj Lloyd Aviation and one proposal each by Tata Motors and Piramal Systems and Technologies.

It has also recommended licenses for 10 defence and explosives manufacturing firms. These include Bharti Shipyard, Aveo Helitronics, Spectrum Infotech, Dusoft Fabrication, Premier Explosives and Shiva Explosives India.

Defence stocks have been rallying for the past few sessions on the back of positive newsflow. The government recently notified FDI limit in the sector to 49 per cent from 26 per cent.

The government also revoked ban on foreign institutional investors' (FIIs) in the sector. The RBI has issued a notification allowing FIIs to invest up to 24 per cent of the equity capital of the defence companies. 

Courtesy: The Economic Times

WINNING STROKES: THINK DIFFERENT

The bulls took a breather today amid the news of the disclosure of names of the alleged BLACK MONEY HOLDERS in the Honourable Supreme Court of India. Also, the uncertainity regarding the formation of the goverenment in Maharashtra, took its toll on the markets. However, as long as the level of 8000-7980 is held the bulls can still hope for a continuation of this rally. The focus is now expected to shift towards the small and mid cap counters as the broader market is likely to trade in a range till the F&O expiry on this Thursday. The traders are therefore, suggested to buy the scrips which has a story to tell and hold for few days to get some good returns,  as NOVEMBER-EFFECT draws closer. 

Glodyne Technoserve Ltd today hit another buyer freeze in the opening trade at Rs.4.11. The company came out with a slightly better Q1FY15 results, speaking sequentially. 

Today, the shares of Suzlon Energy Ltd were recommended, as BUY to the PAID GROUP MEMBERS, around the price range of Rs.11.99-12.10. After recommendation, the scrip touched a high of Rs.12.20 intra-day. The stock seems to have given both price and volume break out today. The next target according to my analysis should be Rs.16.50-17. Meanwhile, there were media report, this month that Suzlon Energy is planning to set up 2,000MW wind energy projects in Madhya Pradesh. The company will also establish supporting manufacturing facilities in the state for this purpose. Very recently, Suzlon Energy Ltd also announced that it has bagged contracts for wind power projects having total capacity of 150 MW, estimated to be worth about Rs.1,200 crore. The orders have been received from various entities including Malpani Group, Rajasthan Gum Group, KRBL, Sterling Agro Group and an assortment of Small and Medium Enterprises. There are repeat orders from existing customers including Malpani Group, Rajasthan Gum Group, KRBL Group, and Sterling Agro Group. Suzlon Group is the world's fifth largest wind turbine maker and has installed generation capacity of over 24,700 MW. Suzlon Energy Ltd is planing to list its German subsidiary Senvion on the London Stock Exchange through an initial public offer which is likely to garner close to Rs.7,000 crore. At the end of March this year, Suzlon Group's order book was worth about $7.2 billion (~Rs.43, 000 crore). The company is currently working on its business revival strategy and plans to raise about Rs.1,000 crore from sale of non-core assets in the current financial year (2014-15). The company is coming up with September, quarter results on 31st October, 2014.

Resurgere Mines and Minerals Ltd today hit another buyer freeze at Rs.1,72, before closing at Rs.1.71 in the BSE. The company is hoping to get approval of one of its mines in Maharashtra, after the new government has taken over. 

Pipavav Defence Ltd today hit the upper circuits at Rs.43.05 on the news that the government of India on Saturday cleared defence projects worth Rs.80,000 crore. Pipavav Defence and Offshore Engineering Company, a beneficiary from defence project announcements has put in bids of Rs.30,000 crore for new projects, as they claim to be well poised to secure and execute large government contracts, says company Chairman Nikhil Gandhi in an interview with a private news channel. 
Premier Explosives Ltd recommended at Rs.30.90 on Thursday, April 10, 2008, made a lifetime high of Rs.246.35 today. Congratulations to all bought the share and is still holding. 

WINNING STROKES: THINK DIFFERENT

Kohinoor Broadcasting Corporation Ltd

Kohinoor Broadcasting Corporation Ltd hit the buyer freeze in the opening trade, before cooling just below the circuit limit. The stock today moved up with good volumes. I have already said, that the company has come up with the proposed news channel, KBC News, which is available in Cable Network. Another news channel KBC Gold is also in the offing. The company today came out with Q4FY12, results, which is along the expected lines. However, in the statement of Asset & Liabilities, as of 31st March, 2012, we find that the Trade Receivables (It is a subset of Accounts Receivable. Trade receivables are considered a current asset in the balance sheet of company, as they can be readily turned into cash) at Rs.48.33 Cr as against Rs.18.88 Cr in the same period previous year. Also, inventories shot up to Rs.41.77 Cr as of 31st March, 2012, as against Rs.4.48 Cr in the same period previous year. The other current assets also shot up to around Rs.100 Cr as of 31st March, 2012, as against Rs.37.56 Cr in the same period previous  year.  I think you understood the significance of the above figures. Therefore, one should buy the scrip in bulk, as all these negatives are already factored in the current price. The company has two subsidiaries, Kohinoor Broadcasting Corporation FZE, Sharjah (UAE) where it invested Rs. 96.06 Cr and KBC Power Corporation Ltd (its solar energy venture, which is expected to come up next year) where it has invested Rs.37.57 lakhs till, 31st March, 2012. Kohinoor Broadcasting Corporation Ltd is is currently engaged in the media and entertainment industry with a particular focus on the TV industry. The Company is currently engaged in the production of TV content including current affairs, music, serialized drama and other entertainment programmes. The company has received permission from Ministry of Broadcasting for up-linking of News and current Affairs channel. It has obtained the WPC clearances from Ministry of Communication and Information Technology. The company has already completed setting up of the earth station that is capable of up-linking 8 TV Channels in Punjab and are focusing on play out station and other infrastructure for broadcasting. It is the first company of north India to have its own earth station and up-linking Tele port. n, 2007 the company established a wholly owned subsidiary under the name of Kohinoor Broadcasting Corporation FZE, in Dubai, as its distribution hub in United Arab Emirates.
The company is diversifying its portfolio by entering into solar energy sector. For this, another wholly owned subsidiary under the name KBC Power Corporation Limited has been incorporated in the year 2010. The company has a target to commence commercial production in April, 2013. The shares of the company are trading, less than 1/10th (one tenth) their book value and face value, which is simply absurd for a broadcasting and a renewable company like Kohinoor Broadcasting Corporation Ltd. Also amazing its is market cap, which is only Rs.8.60 Cr at the CMP of Re.0.78; which can only be termed as bizarre, especially when the loss making NDTV Ltd has Price/Book value as 0.65 (In case of Kohinoor Broadcasting Corporation Ltd it is only 0.08. On a similar scale, the shares of Kohinoor Broadcasting Corporation Ltd should not trade below Rs.5-5.50, after providing suitable discounts, against its CMP of Re.0.78). For more on the company one can visit their website: http://www.kohinoorbroadcasting.com. To find the news of uplinking of the Channels by Kohinoor Broadcasting Corporation Ltd, CLICK HERE.  
The fine prints in that link clearly read as: The company has uplinked its free to air channel, during the quarter (Q3FY12). It is available in cable network. Therefore, the company has stopped outright sell of its programmes. 
It is most unfortunate that some people make comments, without knowing A, B, C, D of anything--these people do not feel shame also, spreading nonsense. One such fellow has newly opened a blog, to fool people around...If they do not believe in my source based information, then why do they visit my  blog and invest in my scrips--there is no need na.........Moreover, a vast section of people think stock market is a lottery, so their money should double in 6 months--the problem with these categories of people is that they never make money from the markets (only watches other to make money). Some even have too much confidence in their own research or chart based predictions, even though out of 100 attempts, their failure rate is more than 80%....Huh!! Still they would not go for the advice of the experts. According to them--they are the most intelligent ones in the markets, we people who are here for more than a few decades are all rubbish.....Strange Dreams or if we quote Shakespeare, then can we call it, "Midsummer Night's Dream"? These days everyone becomes analysts,  after taking a mandatory course in chart watch or what they call by an fancy name, "Technical Analysis" (I call it clerical analysis as it does not require too much brain to analyze dead based charts) for 5-6 months---like we have a hobby of Bird Watching or Nature Watching....Huh!! Most dangerous part is that many of these fellows have no idea of the fundamentals of companies or how to value a company based on the existing parameters. It is like eating bread and butter without knowing whether bread is vegetarian or non-vegetarian food item.
Anyway, though I have nothing to prove, after decades of my presence in the Indian Stock market, but let me remind my altiloquent detractors, the names of some of my recommendations which gave superb or multi-bagger returns even in a bad market conditions, are: Ennore Coke Ltd, Premier Explosives Ltd, Yes Bank Ltd, DCB Ltd, Cochin Mineral & Rutile (more than 10 times in 2 years), Chandra Prabhu International Ltd (more then 4 times in 3 years), UCO Bank Ltd (more than 3 times in 2 years), Arshiya International Ltd, IFCI Ltd (around double in less than 6 months), Kohinoor Broadcasting Corporation Ltd (from Rs.3-4 to around Rs.9.70 in two three occasions), Sanguine Media Services Ltd (from Rs.2-3 to around Rs.5), Sarda Energy and Minerals Ltd, Hanung Toys Ltd, Satyam Computers Ltd (more than 4 times in one year), Essar Shipping Ltd, Reliance Industrial Infrastructure Ltd, HDIL, Monnet Ispat Ltd, Zydus Wellness, Atlanta Ltd, and so on (the list of multi-baggers is endless). Apart from this there could be at least 100 of scrips, like D B Realty, J P Associates Ltd, Atlanta Ltd, Jai Corporation Ltd, IVRCL Infrastructure Ltd, etc where the investors made short term returns.

The Indian markets moved up today as expected and as was mentioned in this blog, yesterday.  Now both Dow and Nasdaq are trading slightly in the negative territory, but I think it should recover their losses at the end of the day. It is because we now have a direction in Europe, either they form a government or go for fresh elections; but then the message is clear, whichever government comes to power in Greece, has to abide by the EU/IMF bailout package as it would be virtually impossible for the Greeks to exit the EURO. I did not know that these two developed countries vote (or have stupid voters) like us and there are large number of wooly-headed voters like us, who choose wrong party for wrong reasons--these group have no idea what is going on in the country. In both the places it is those Socialists (or you can moderated communists) who are the real trouble maker, like always. It is very easy to become a communist or a socilast---if you are not happy with the government,  you start killing people or in extreme cases, KILL THE KING and take his throne. Or if want to be a "bhadralok" (or gentleman) socialist then you don't have to do any, like some of those in West Bengal, Tripura and Kerala, simply run a trade union and keep on extracting from either the management of the companies or the government for your team--the work is over. 
Meanwhile, consumer shares led a modest rebound on Wall Street on Tuesday, after the S&P 500 fell for four of the past five sessions, but gains were capped as investors kept an eye on the political impasse in Greece.U.S. retail sales rose 0.1 percent in April, slightly below expectations. However, details in the Commerce Department's report indicating underlying strength in demand and a rebound in manufacturing activity in New York State calmed concerns that the economy was stalling. Meanwhile, if you remember, I had earlier year asked all to exit Gold Futures, as the USD was becoming strong. Now after a legendary run culminating in a peak near $2,000 an ounce in August 2011 gold has been cooling its heels of late. The yellow metal has given back all of what were once impressive 2012 gains. More disquieting for those who regard it as the ultimate hedge, gold has loss twice as much as the S&P500 during the choppy markets in May to date. Therefore, the time  has come to invest in equities leaving the bullion market. At the moment gold is could be sliding towards $1,550/oz. However, gold isn't a speculative bet, but a store of value. 
Meanwhile, Facebook Inc increased the price range of its initial public offering, aiming to raise more than $12 billion and giving the world's largest social network a valuation potentially exceeding $100 billion. The indications of high demand for Facebook's IPO bolstered the shares of other social media companies, with online game maker Zynga (ZNGA.O) up 7.4 percent at $8.54 and professional network LinkedIn up 3 percent at $113.80. This could have some effect on the shares of "Indian Facebook", Northgate Technologies Ltd. India has nothing much to do with the happenings in Europe, unless the Indian government becomes inactive. We export not only to Europe, but also in whole of Africa, Latin America, North America and Asia including sizable export to the Gulf countries. Moreover, we have a 70% domestic consumption story, which after successive interest rate cuts in the near future by the RBI should slowly move towards the growth path.Therefore, keep investing in good stocks.

Lanco Infratech Ltd today moved to Rs.12.33, before cooling down a bit. I think the stock has formed a bottom yesterday on the Candle Stick Charts. The company is coming up with results at the end of this month. If one looks at the shareholding pattern then one would find that the promoters hold a whooping, 72.22% of the shares of the company, while DIIs have increased their stakes in the company, speaking sequentially.

Those who have applied for opening accounts in my brokerage house, are requested to give me a day or two respond to your queries and also send you Demat/Trading forms to your home/office. Opening of commodity account along with share trading account is free. Many have asked me if it would be alright if instead of Rs.2 lakhs (Mandatory capital), one can open the account in my brokearge house with an equivalent of share capital. My reply would be: Yes, you can do that.....in fact since the brokerage is somewhat at par with ICICI Securities Ltd one can shift from there to my brokerage, with an additional advantage of margin funding and opening of Free Commodities account. There are also other facilities too, which I mentioned in my earlier write up. In addition to that, there are other SPECIAL FACILITIES too for HNI Investors (for portfolios over Rs.10 lakhs). You can also go for profit sharing arrangement here....with my assistants guiding you to make money in difficult circumstances. Please do not go for cheap brokerage houses, as you never know, when they would suddenly stop functioning and create problems for you. Also, once the forms are send, please try to fill them up quickly and return to the office address either in Mumbai, Kolkata or Delhi. I have seen many people ask to send them forms, then after that, all the problems of the world start for them, making unnecessary delays. These days, a large section of people in India, do not have the required responsibility, sincerity and faithfulness towards their job or their words of mouth---and unfortunately it cuts across all sections of Indian society, starting from Doctors, to Engineers, to NRIs, to CEOs, to sales or sports personalities in India and so on; this malice is present in every religious/linguistic communities in India. But then there are some genuinely good persons too, some of whose name, I think I must mention Indrakanti Ram (of Nampula, Mozambique), Arumugampillai Manikandan (Qatar), Md.Mujtaba (Saudi Arabia), Dr.K S Sridhar (Bangalore), Navin Kondabolu (Australia), Hemant Ramagowda (US), Vikash Gupta (Rohtak), Yogesh Patwal (New Delhi), Manjit Singh (New Delhi), etc. to name a few.

~:WINNING STROKES: THINK DIFFERENT:~

Rolta India Ltd moved to Rs.61.75 before cooling down a bit. A couple of days  back, it was mentioned in this blog that the stock has almost bottomed out around Rs.55--56. Today it came out with announcement that: it has launched New Solutions and Services Focused on Oil & Gas and Alternative Energy Sectors.

Koutons Retail Ltd fell today, due to lack in clarity regarding FDI, in the retail sector. However,  FDI in retail is now a reality and all these drama staged by the opposition will only given UPA more and more support. When the opposition parties, led by the BJP, will understand this, they would simply tone down their rhetoric.  The company some month back, decided to increase the authorized share capital of the company to Rs.200 Cr. Also, Special Resolution under section 81 (1A) was passed by the shareholders where by the board was authorized to create, offer, issue and allot, in one or more tranches, through public issue, and/or on a private placement basis and/or QIP and or ADR/GDR/FCCBs or any other equity related instrumements of the Company or a combination of the foregoing.

My recommended TIP Industries Ltd is going strong in bad market conditions. If you remember the scrip was recommended around Rs.29.50--30. The scrip earlier touched Rs.38.8, after recommendation to the Paid Service.

The Market has suddenly turned to BUY ON DECLINES MODE from the SELL ON RISE MODE. Hence every dip should be used as a buy by the investors and traders. The Next Target for the Nifty is 5050. For more details, you can visit my Yahoo Group: SumanSpeaks.
I shall be recommending at stock from the Renewable Energy Space to the Paid Members today. I had recommended this scrip earlier also, but it seems the scrip has bottomed out and formed beautiful pattern on the daily charts.  I shall disclose the name of the scrip today, in this blog in the later hours--may be by that time, the scrip has already hit BUYER FREEZE.
Another interesting point is that, there are some new age Chart Analysts who are very good in post mortem of the market, like what RJ did and what the retail did or what happened to a stock when a one day IT raid hit a software company (and the case is dismissed on that day only), without understanding the basics of the market dynamics. People have spent decades trying to understand market movements but these new age messiahs, claim to know everything....Huh!! The stock market is a place for outlandish and amazing people; really!!
Moreover, these people send out all kinds of misleading statements through their blogs and websites, which attracts naive and gullible crowd who pay hefty amounts for one year subscriptions. If people could  have made money so easily, by ONLY following charts, then all would have left their businesses and would  have come to the stock market to make money. The Irony is that a group of novice, investors/traders, fall for their tall claims and lose everything at the end of the day. The Key to making money in the markets is buying on dips and execute stop losses strictly in case of short term play. For the long term, only way to make money is to follow a story and accumulate slowly--the gains made by my clients in Ennore Coke Ltd, Premier Explosives Ltd, Selan Exploration, Flat Products (CMI FPE Limited), Chandra Prabhu International Ltd, Jamna Auto Ltd, ZYDUS WELLNESS LTD (Carnation Nutra Analogue Foods Ltd) etc proves all. Those who does that, returns winner but those dribble with the stocks on daily basis using all the charts, are losers in most cases. In other words, in most of the cases it is the traders who lose money in the markets at the end.  
If these so called Technical Analysts could say everything about the markets looking at charts, then why don't they take a loan of few crores from the Banks or Financial Institutions and become Mukhesh Ambani within a few years? The truth is that---most only fools the gullible masses...!! The chartical analysis is only a guide in trend-less market. When the trend starts, either up or down, the chart based prediction hardly works. We  have seen  stocks like Jay Corp Ltd, JVL Agro Ltd (Jhunjhunwala Vanaspati), Subuthi Finance Ltd (Holding stake in Indowind Energy Ltd), etc, hitting continuous upper circuits inspite of being highly overbought on the daily and weekly charts and all chartical predictions indicating sell on every rise. 
BUT WHY DO CHARTS GIVE ADVANCED INDICATION SOMETIMES? DID YOU EVER THINK? IT IS BASICALLY DUE TO INSIDER TRADING, WHICH RECENTLY SEBI CHAIRMAN, Mr.Sinha, HIGHLIGHTED!! Once more strict rules are formed in insider trading, the chart based predictions will look more dull. Moreover, those who have seen the markets in 1990--1993 or 1999--2000 or 2008--2009, understands this better than anyone....!!  I have said this a number of times in the past and is again saying the same thing.....!! Be careful of all these tall claims and fly by night chartists....!!  But yes charts do provide some inputs on tracking the markets and the scrips---but they are neither absolute nor sufficient or else the great RJ would not have said, "I do not  understand charts". When the markets fall everything falls ...and when the market rises everything rises (with certain exceptions here and there)---though the quantum of rise or fall might be differnet....and therefore, there is no great deal about it....The stocks like Allied Digital Services Ltd (ADSL) fell so much not due to IT raid but the company said, it would consolidate for sometime (insider view is 3-4 quarters) in the press release. But then these fellows hardly have time to read these details.....Poor Chaps!! These misguided people will misguide 100 others....!!

Key benchmark indices edged lower in choppy trade as the deadlock over allowing foreign direct investment (FDI) in retail sector continued as an all-party meeting failed to reach an agreement and both houses of Parliament were adjourned for the day amid protests by parties opposed to the move. Shares of organized retailers dropped. Data showing sustained selling by foreign funds over the past few days also weighed on sentiment. The BSE Sensex lost 158.79 points or 0.98%, off close to 200 points from the day's high and up about 55 points from the day's low. The market breadth was negative.

The Sensex has lost 1,696.67 points or 9.58% this month so far. The Sensex has slumped 4,500.75 points or 21.94% in calendar 2011. From a 52-week high of 20,664.80 on 3 January 2011, the Sensex has lost 4,656.46 points or 22.53%. From a 52-week low of 15,478.69 on 23 November 2011, the Sensex has risen 529.65 points or 3.42%.

Coming back to today's trade, index heavyweight Reliance Industries (RIL) dropped in volatile trade after the company said it has initiated arbitration proceedings against the government to seek an independent view of a tribunal on the issue of the company's entitlement of recovery of entire costs on KG-D6 gas blocks from the revenue generated from the blocks. Interest rate sensitive realty shares fell on profit taking after recent gains triggered by the latest data showed easing of food inflation. IT stocks were mixed. Bank stocks declined in volatile trade. Telecom stocks declined after the telecom secretary said that the Department of Telecommunications may auction more bandwidth to provide wireless broadband services. FMCG stocks rose on defensive buying.

The market slipped into the red soon after hitting one-week high at the onset of the trading session. The market extended initial losses to hit fresh intraday low in morning trade. The market trimmed losses in mid-morning trade. A bout of volatility was witnessed in early afternoon trade as the market slipped into the red after recovering sharply to move into the positive terrain in early afternoon trade. The S&P CNX Nifty slipped into the red soon after hitting fresh one-week high in early afternoon trade. The market hovered in negative zone in afternoon trade. The market slumped to hit fresh intraday low in mid-afternoon trade. Stocks were volatile in late trade.

Data showing sustained selling by foreign funds over the past few days weighed on sentiment. Foreign institutional investors (FIIs) sold shares worth Rs 302.59 crore on Monday, 28 November 2011, as per the provisional data from the stock exchanges. FIIs have pressed heavy sales of Indian stocks over the past two weeks. Their outflow totaled Rs 7591.26 crore from 15 to 28 November 2011.

The BSE Sensex lost 158.79 points or 0.98% to settle at 16,008.34, its lowest closing level since 25 November 2011. The index gained 43.24 points at the day's high of 16,210.37 in early trade, its highest level since 22 November 2011. The index slumped 214.59 points at the day's low of 15,952.54 in mid-afternoon trade.

The S&P CNX Nifty shed 46.20 points or 0.95% to settle at 4,805.10, its lowest closing level since 25 November 2011. The Nifty hit a high of 4,866.10 in intraday trade, its highest level since 21 November 2011. The index hit a low of 4,787.10 in intraday trade.

The BSE Mid-Cap index fell 0.56% and the BSE Small-Cap index declined 0.18%. Both these indices outperformed the Sensex.

BSE clocked a turnover of Rs 1890 crore, lower than Rs 1909.26 crore on Monday, 28 November 2011.

The market breadth, indicating the overall health of the market, was negative. On BSE, 1,525 shares fell and 1,224 shares rose. A total of 112 shares were unchanged.

From the 30-member Sensex pack, 20 stocks declined and the rest of them rose.

FMCG stocks rose on defensive buying in a weak market. ITC, Hindustan Unilever, and Britannia Industries rose by between 0.3% to 1.25%.

Telecom stocks fell after the telecom secretary said that the Department of Telecommunications may auction more bandwidth to provide wireless broadband services. Bharti Airtel tumbled 3.8% and was the top loser from the Sensex pack. Idea Cellular (down 3.2%), Tata Teleservices (Maharashtra) (down 3.05%) and MTNL (down 0.56%), edged lower. Reliance Communications rose 0.62%.

Telecom secretary R. Chandrashekhar told the media today, 29 November 2011, that there is one chunk of bandwidth for wireless broadband services available in 15 of India's 22 service areas, but it was unlikely that the government would be able to complete the auction process within this fiscal year through March 2012. Chandrashekhar also said that state-run telecom companies Bharat Sanchar Nigam (BSNL) and Mahanagar Telephone Nigam (MTNL) have sent proposals to the government to offer voluntary retirement to employees to save costs.

Index heavyweight Reliance Industries (RIL) fell 2.3% to Rs 765 after the company said it has initiated arbitration proceedings against the government to seek an independent view of a tribunal on the issue of the company's entitlement of recovery of entire costs on KG-D6 gas blocks from the revenue generated from the blocks. The stock was volatile. The stock hit a high of Rs 782.80 and a low of Rs 760.

RIL said all the investments in the exploration, development and production of hydrocarbons from KG-D6 were made by RIL and its foreign partners at their own risk, and not by the Government of India (GoI). RIL and its partners are entitled under the production sharing contract (PSC) with the GoI to recover their full costs from the revenues generated by production from the block, RIL said in a statement.

The investment made in KG-D6 production facilities has been only partly recovered and the return on the investment so far is less than the cost of the capital, RIL said. The PSC contains no provision which entitles the GoI to restrict the costs recovered by the company by reference to factors such as the level of production or the extent to which field facilities are utilised, RIL said. RIL said it has initiated arbitration proceedings against the GoI in a bid to finally resolve the cost recovery issue so as not to hinder future investments in this block.

Shares of organized retailers fell for the second straight day after leaders of many states said they were opposed to foreign giants setting mega stores in their state. Pantaloon Retail India, Trent, Koutons Retail, V2 Retail, Brandhouse Retail, Provogue (India), Shoppers Stop and Store One Retail shed by between 1.23% to 11.89%. The Union Cabinet on Thursday, 24 November 2011, cleared a proposal to allow 51% foreign direct investment (FDI) in multi-brand retail and increase in FDI in single brand retail to 100% from current 51%.

To set up shop, foreign retailers must get a green light from the government of the state where they want to do business. The leaders of the states of Tamil Nadu, Uttar Pradesh, Kerala, Orissa and West Bengal have all publicly opposed the government's move to let foreign retailers own up to 51% of supermarkets and 100% of single-brand stores. A newspaper report suggested that 28 of the 53 cities where retailers could set up under the new rules are in states controlled by political parties opposed to the regulations.

Nevertheless, the move to liberalize FDI norm in retails signals that the Indian government, after years of prevaricating over allowing greater foreign investment in several sectors, is now serious about attracting overseas funds. Foreign direct investment in India dropped 28% to $29.4 billion in the year ended 31 March 2011 as the country's economic forecast clouded. Further opening the retail market--and the message that sends about the government's willingness to introduce reforms--might help kick-start the economy and shore up faltering investor sentiment.

Foreign supermarkets wanting to set up shop in India will have to source 30% of their produce from local, small industries, a government statement said on Monday, 28 November 2011. Last Friday, a government statement had said supermarkets could not be forced to source their wares from Indian industries as such a policy would not be compliant with guidelines from the World Trade Organisation (WTO).

IT stocks were mixed. India's second largest software services exporter by revenue Infosys fell 1.41%. India's third largest software services exporter Wipro rose 0.23%. India's largest software services exporter TCS gained 0.14% extending Monday's 2.46% gains. Tata group holding firm, Tata Sons, last week named Cyrus Pallonji Mistry as the successor to Tata Group Chairman Ratan Tata.

Interest rate sensitive realty shares fell on profit taking after recent gains triggered by the latest data showed easing of food inflation. Another trigger for the recent rally in realty shares was the government's decision to liberalize foreign investment rules in retail sector which could throw open a big opportunity for domestic real estate developers. DLF, HDIL, Indiabulls Real Estate and Unitech shed by between 2.56% to 4.66%.

Bank stocks declined in volatile trade. India's largest private sector bank by net profit ICICI Bank fell 1.85%. India's second largest private sector bank by net profit HDFC Bank shed 1.45%. India's largest bank by net profit and branch network State Bank of India (SBI) dropped 1.15%.

Axis Bank, Bank of India, Punjab National Bank and Bank of Baroda declined by between 1.37% to 3.97%.

Interest rate sensitive auto shares rose after the latest data showed easing of food inflation. Purchases of automobiles, including that of cars, utility vehicles and commercial vehicles are substantially driven by financing. Reports that petrol prices are likely to fall by up to Re 1 per litre this week, on account of the declining trend in international prices, also aided gains in auto stocks. Auto firms will start unveiling sales figures for the month of November starting Thursday, 1 December 2011.

India's largest motorcycle maker by sales Bajaj Auto rose 2.06%. India's largest motorcycle maker by sales Hero MotoCorp gained 1.24%.

Mahindra & Mahindra (M&M) rose 1.6% after the company said that its board of directors has approved amendments to the scheme of arrangement between Mahindra Automobile Distributor Private (MADPL) and Mahindra & Mahindra which was approved by the board of directors on 30 May 2011 envisaging demerger of the automotive business along with related assets and liabilities of MADPL into M&M.

India's largest truck maker by sales Tata Motors fell 2.02%, after jumping 5.36% on Monday.

Maruti Suzuki India fell 1.2%. The company will start buying diesel engines from Fiat SpA's local unit from January 2012, a move that will help reduce the long waiting period on some of the Indian auto maker's best-selling models, Maruti Chairman R.C. Bhargava said on Tuesday, 29 November 2011. Currently, Maruti sources all its diesel engines from Suzuki Powertrain India, a joint venture between Maruti and its parent Suzuki Motor Corp. Suzuki Powertrain will make 3,00,000 diesel engines this financial year through March 2012, up from 2,40,000 engines it made last year. These engines are made using Fiat technology.

Metal stocks fell on profit taking after rising sharply on Monday, 28 November 2011. The BSE Metal index had surged 4.87% on Monday. Hindustan Zinc, Nalco, Jindal Steel & Power, Hindalco Industries, JSW Steel, and Sterlite Industries fell by between 0.26% to 3.34%.

Pharma stocks extended recent gains triggered by good Q2 results. Dr Reddy's Laboratories, Ranbaxy Laboratories, and Cipla rose by between 0.66% and 2.51%.

India's largest power equipment maker by sales Bhel rose 0.61% to Rs 282.45, with the stock gaining for the third straight day. The stock had hit a 52-week low of Rs 246.20 in intraday trade on Thursday, 24 November 2011.

PSU OMCs -- BPCL, HPCL and Indian Oil Corporation (IOCL) fell by between 1.13% to 4.02% on reports the state-run refiners may cut petrol prices by about one rupee a litre or 1.5% as softening Singapore spot gasoline prices have offset the impact of a declining rupee. PSU OMCs cut petrol prices by about 3.2% earlier this month, the first reduction in retail prices in nearly three years and the first since prices were decontrolled in June 2010.

Suzlon Energy clocked highest volume of 70.03 lakh shares on BSE. GTL (58.46 lakh shares), D B Realty (58.15 lakh shares), Cals Refineries (43.53 lakh shares) and Resurgence Mines (34.32 lakh shares) were the other volume toppers in that order.

SBI clocked highest turnover of Rs 118.08 crore on BSE. RIL (Rs 62.91 crore), Tata Steel (Rs 61.20 crore), ICICI Bank (Rs 56.69 crore) and Infosys (Rs 48.54 crore) were the other turnover toppers in that order.

A government statement in parliament has dashed hopes of a relief in securities transaction tax (STT). Junior finance minister S.S. Palanimanickam, last week, said the government has no proposal to lower the securities transaction tax (STT). There has been a speculation that the government will reduce STT in Union Budget 2012-2013 in a bid to revive sagging volumes on the bourses. Palanimanickam said in a written reply to Rajya Sabha that the securities transaction tax receipts had declined by around 18% to Rs 2960 crore during the first six months in the current fiscal year from a year ago period.

On the macro front, the government unveils Q2 September 2011 gross domestic product (GDP) data on Wednesday, 30 November 2011. The GDP is seen rising 6.9% in Q2 September 2011 as per median estimate of a total of 14 economists polled by Capital Market. The economy expanded 7.7% in Q1 June 2011 from a year earlier, helped by strong growth in the services sector. The GDP is seen rising 7.3% in the fiscal year through March 2012 (FY 2012) as per median estimate of the poll.

The row over FDI in retail continued to disrupt the functioning of Parliament with both Lok Sabha and Rajya Sabha adjourned till tomorrow, 30 November 2011, after a united opposition refused to allow any proceedings for the sixth day. The opposition wants the government to reverse its decision on allow 51% foreign direct investment in multibrand retail. Earlier, an all-party meet to end the FDI logjam in Parliament on Tuesday morning ended without any breakthrough. The meeting, chaired by Pranab Mukherjee, failed to break the deadlock, with both sides sticking to their stands. The opposition made it clear that it will accept nothing less than a complete rollback of the decision.

Uproar in parliament on Friday, 25 November 2011, over the cabinet's decision to open up the retail market to global supermarket chains forced Trade Minister Anand Sharma to announce the details of the new FDI policy at a press conference instead of the government's plan of announcing the same in parliament on that day. Sharma said the India-specific scheme would create tens of millions of jobs. The proposal sets a minimum investment limit of $100 million per chain -- 50% to go on developing rural infrastructure and establishing a cold-chain system -- and 50% on front-end retailing, or stores. The multi-brand retailers will be permitted only in cities with a population of one million or more.

The government on Monday, 28 November 2011, changed its stand on sourcing rules for international retailers who want to set up shop in the South Asian nation, in the face of stiff political opposition to its move to open up the sector to foreign investment. On Friday, 25 November 2011, the government said foreign retailers looking to invest in India should procure 30% of manufactured or processed products from small-scale industries anywhere in the world. However, on Monday, 28 November 2011, it said they must source a minimum of 30% from small industries in India, so as to encourage local manufacturing and create employment.

So far, the Winter Session of Parliament has been a non-starter. The winter session concludes on 21 December 2011.

The Union Cabinet on Thursday, 24 November 2011, approved the long-awaited Companies Bill that will completely recast the key provisions of the decades-old Companies Act 1956. Following Cabinet clearance, it is now likely to be taken up for consideration and passage in the ongoing winter session of Parliament. The Bill suggests that profit-making companies above a certain threshold will have to spend at least 2% of the average profits in the preceding three years on corporate social responsibility (CSR) activities and make a disclosure to shareholders about the policy adopted in the process.

The government diluted the provision after stiff opposition from the industry and decided not to make 2% CSR spend mandatory. The Bill also seeks to provide for class action suits and a fixed term for independent directors. Among other things, it proposes to tighten laws for raising money from the public. The Bill also seeks to prohibit any insider trading by company directors or key managerial personnel by treating such activities as a criminal offence. The Bill will give more powers to the Serious Frauds Investigation Office.

RBI announced a 25 basis points hike in its key policy rate viz. the repo rate to 8.5% after half-yearly review of the monetary policy on 25 October 2011. The central bank cut its GDP growth forecast for the current fiscal year through March 2012 to 7.6% from 8% earlier. But it retained its March-end inflation projection of 7%. RBI said the projected inflation trajectory indicates that the inflation rate will begin falling in December 2011 (January 2012 release) and then continue down a steady path to 7% by March 2012. It is expected to moderate further in the first half of 2012-13. This reflects a combination of commodity price movements and the cumulative impact of monetary tightening. Further, moderating inflation rates are likely to impact expectations favourably.

European stocks reversed initial decline as chemical makers rebounded before euro-area finance ministers meet to discuss insuring a portion of bonds issued by debt-stricken countries. Key benchmark indices in France, Germany and UK rose by between 0.51% to 1.27%.

European shares had jumped on Monday, 28 November 2011, on optimism that Europe was making progress toward resolving its debt problems. Euro zone finance ministers meet in Brussels today, 29 November 2011, to thrash out details on how the European Financial Stability Facility will boost its muscle by insuring sovereign debt with guarantees. Meetings are slated to take place on Tuesday and Wednesday.

Asian shares traded mostly higher on Tuesday, 29 November 2011, extending an advance made in the previous session as investors hoped for a timely resolution to Europe's debt problems. Key benchmark indices in China, Hong Kong, Japan, Indonesia, South Korea and Taiwan were up by between 1.21% to 2.3%. Singapore's Straits Times fell 0.23%.

Japan's unemployment rate rose more than expected in October, while the drop in household spending was less than forecast, and retail sales expanded at a faster-than-anticipated pace.

Asian, European and US shares had all closed with sharp gains on Monday, 28 November 2011, prompted in part by optimism for a solution to Europe's debt woes. Signs of strong US retail sales over the Thanksgiving holiday also boosted equity market sentiment.

Trading in US index futures indicated that the Dow could gain 107 points at the opening bell on Tuesday, 29 November 2011. US stocks rebounded from seven days of losses on Monday as investors used the latest effort from European leaders to resolve the region's debt crisis as an opportunity to cover short positions. After the market's close, Fitch Ratings revised to negative the outlook on the United States' AAA credit rating after a special congressional committee failed to agree on at least $1.2 trillion in budget cuts. A report on US consumer confidence in November, which is expected to have risen, is due later in the global day today, 29 November 2011.

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Perils of investing in the stocks recommended by some advisory services in www.valuenotes.com:

In the last decade, there has been a spate of stock market advisory services, including the highly Inflammatory one by one  named, Anirudh Sethi of Baroda, Gujarat--though SEBI banned him later from accessing the markets and also writing about the markets. 
Most of these services claim to make you rich within a very short time from investing in the stock market. If I remember correctly then this dangerous trend  was started from 2001-02 itself when an entity named Atul Jain of Gujarat used to spam mails in Yahoo Groups (now done by Flash Stocks/ Neeta Salecha) to make  his recommended stocks move. I remember he used to choose low liquidity stocks, which used to hit continuous circuits for some days.....Now the things are far worse from there....every day, new advisory service comes up and gullible investors/trader queue to test their, "Richie quick Rich" formulae. The result is very pathetic most of the time and these fellows ultimately leave the markets in anguish. If you are suffering from Typhoid, will you get cured by taking the medicines for stomach ache...??!! Huh!! 
During the last few years I had discussed a number of stocks recommended by many agencies like Jumping Stocks (I  have seen many people "jump in pain" after buying their recommendations), 3M Team, Bulls & Bears, Dharmesh Bhatt, Kaamdhenu, Khelo India Khelo, Kuberdhan, Manu Consultant, Money Mantra, MTech Tips, Praveen Kumar, Rakesh Singhariya, Sai Trade, StockHiFi, etc.  

I have said that in many occassions that a large number of stocks recommended by them are inappropriate at the price of recommendation and people who hold their recommendations might suffer in the long run--because ultimately stock market is guided by the fundamentals. I have seen earlier Jumping Stocks charging as high as Rs.8000 per month. Many advisory services take not less than Rs.5000/month except those who run, "Forwarded Call business" (Many popular ones are like that only) or who run what I call in loose term, "Chela Calls" of some large advisory services. These people are "Chelas" or subscribers of some advisory services and they would keep forwarding the calls from those services, without much hassle. They will give you 100s of calls in a year and talk only of those calls which were able to generate returns. 

It is to be understood that in the short term sentiment might change due to lot of unwanted factors, but in the long run, a fundamentally strong company or which a strong story to tell (Ennore Coke Ltd, Premier Explosives Ltd, Sujana Metals Ltd , etc) wins the race. 

But then there are sometimes manipulation of share price of "visibly" fundamentally strong companies as well, like what is happening in Jupiter Bio Science Ltd. The company's fundamentals look good as compared to the current dismal price of Rs.32-35. But the question is: are the fundamentals real? 
If yes then why there is selling in the bourses by the GDR people or entities holding the shares in the form of  GDR. The company should disclose the names of identies who are selling......People generally sell family gold, when either the family is in distress or the price of gold has peaked out...??!! So which of the two cases are true here...??!!

The stock  of Jupiter Bio Science Ltd is getting hammered without any valid reason as far as the fundamentals mentioned on www.bseindia.com are concerned, but the company's management has not even filed a complaint either with exchanges or SEBI, which looks totally strange. In this context we can remember the case of the stock of ICICI Bank Ltd. A couple of years back when the stock was getting beaten down badly without any reason, its then  CMD, Mr.K V Kamath, jumped into action information about the price rigging in the scrip by some entities in Dalal Street. If I could remember correctly, even the media was used to the hilt by the said bank to stop manipulation of the price of the scrip by vested interest group/s. But in case of Jupiter Bio Science the things are going on for months, while the  management is feigning ignornace, as if they know nothing of the affairs.....What a pity??!! 

Switching topic let me come to the main point of discussion. Jumping Stocks recommended Nelcast Ltd (URL: http://www.valuenotes.com/valuenotes/content/contriarticles/contri66836.asp) at Rs.137-139 with a target of Rs.180. Now let me discuss a bit about the perils of investing in such recommended scrips. Moreover, their quality of English Language used for communication, mentioned on their page (www.valuenotes) needs special "medication". Let me now put my points without further delay...

(i) the current price of Nelcast Ltd is near its 52-week high price of Rs.136.80. It is always dangerous to invest in the scrips which are near their 52-week  high price. 

(ii) the December quarter (Q2FY11) result of the company as given in www.bseindia.com seems to  have some problem, which Jumping Stock copied without verifying the facts and figures. If we go through the result page then we would find that, there has been a steady increase in the total income of the company in the last few quarters, but then there is sudden jump in the Net Profit of the company from Rs.2.34 Cr to Rs.78.22 Cr in Q3FY11, which totally looks strange to me. This figure has been copied by Jumping Stocks and presented to hapless investors to make their case strong for investment in Nelcast Ltd at such a high price. Now if we dig deeper we would find that, PBT for Q3FY11 was only Rs.5 Cr and also there was  tax component of Rs.1.87 Cr so going by the general logic the net profit should have  been Rs.3.13 Cr, while it has been shown as Rs.78.22 beyond my understanding!! 

(iii) Jumping Stocks writes, "Post.....44.96 Rupees EPS Vs 1.34 Rupees in Year Ago.... ( What's More u Want )". But then the question is how can the EPS be Rs.44.96 when its PBT is only Rs.5 Cr and tax component is Rs.1.87 Cr ??!! Just call up these people and ask them.....You can quote my name also....

(iv) Then Jumping Stock writes the most dangerous thing, "Last....But Not Least................JUMPING STOCKS is Bullish in this Counter....and Awarded NELCAST As Stock of the Month....and Giving Target of 180+ in Next Few Days...........!!!" Just ask yourself: How can the shares of a company with the kind of story Nelcast Ltd has, can become Rs.180, with H1FY11 EPS of less than Rs.5 or even 9month EPS of less than Rs.5, unless it is manipulated to the hilt??!! Putting some figure by the BSE does not increase the EPS of the company..does it.??!!...What is more nerve shattering is that, instead of questioning the stock exchange for the same, Jumping Stocks is copy pasted those "seemingly erronous" data on their web-page at www.valuenotes.com. 

What I conclude therefore is that, either the company is wrong in sending the data or the BSE has put up a wrong data on their website: www.bseindia.com. But what is lamenting is that Jumping Stocks copied the same statistics without even mentioning in their page as why the figure of NET PROFIT so far away from the actual figures!! 

(v) Moreover, Jumping Stocks writes, "Promoter's........Stake is Now......More Than...70%......(And Continuously Increasing). But giving a closer scrutiny it has been found that the promoters stake has been more or less constant during the last one  year. The promoter holding was 68.71% in Q2FY10, which marginally increased to 70.12% in Q2FY11 a very minor increase of 1.41%. Moreover, the Promoters' holding in the last two quarters did not change or changed very less when compared to June, 2010 quarter. Hence this claim also looks to be hollow. 

However, people continue buying these recommended stocks in the hope of getting quick income, which is just an illusion in stock market most of the time unless  you have an access to boardroom of companies. 

When I recommend a scrip, I look at the scrip from all angles, except may be in very few cases. If the scrip tanks in the short time due to some wrong information from the sources, I ask them to average the scrip and give continuous updates on the same, like presently I am doing in case of Ambalal Sarabhai Enterprise, Kohinoor Broadcasting Corp, Vision Corp Ltd, etc. 

Though Ambalal Sarabhai Enterprise (recommended by www.hjbjcapital.com also) got suspended for trading some weeks back, I have not seen such updates by www.hbjcapital.com on their website till now.

When a stock does not do well most of these agencies, just keep mum or ask to exit the scrip and invest somewhere to make up for the loss. Or try to keep things under the carpet so that their clients do not get the real news....

But the question is: it is possible in one or two stocks out of a basket of 50 stocks and not in case of every stock one recommends. I recommend so many stocks and even put their research reports at www.sumanspeaksplus.blogspot, including this blog but some people only talk of my scrips which failed to perform in the bourses due to many factors. But I know most of those who invest in my recommended  scrips makes money over a period. For example, many pulled my legs very badly (like now they are doing in case of Kohinoor Broadcasting and Northgate Tech, though both gave profits to those who average the same at lower price) when I recommended Pondy Oxides Ltd in 2007 at Rs.24, because the stock was finding difficulty of crossing Rs.26. Many sent me mails that it was a great mistake of me of recommending Pondy Oxides and Chemicals Ltd at that price. But then in the last 3 years the stock gave 3 times return from the recommended price. Those who have averaged around Rs.18, which I told to do, could have made 4 times return in 3 years. Now also I have recommended some scrips and some have tanked except the ones manipulated by the vested interest groups. The Paid Groups are constantly told what to with those recommended scrips of mine. However, some people only want to  make money following my free blog--which is lamenting!! When are critically sick, do you take your medicines yourself or you visit a doctor for the same??!! You visit a doctor isn't it and that too a good doctor most of the times. So when your investment is not yielding the desirable returns and you are not capable of finding a route through my free service, then why NOT GO FOR PAID SERVICE??!! 

But what they do is just the opposite: they go to some highly advertised service and pay exorbittant fees losing money there also...and then blame both me and the stock market for their default. When there is "Ghost" in the medicine how can the person get cured. Hence if you genuinely want to make money from the stock market and you do not have the requisite knowledge, then either you go for the Paid Service or go for Portfolio Management Service (PMS). To get some  PREMIUM PRODUCTS you need to spend some money, isn't it....how can you expect to live in Nariman Point in Bombay and think of paying the price of the flats in Kalyan or Dombivli??!! Premium things demand premium pricing....isn't it.!!