Bears take Bulls by horn, Sensex down 80 Pts.

Markets witness huge volatility in intraday trade

The last hour of the trading today proved that bears were in strong hands. The sensex which opened on a positive note and went on to a high of 100 points in the intra day from its previous close finally slipped to the red and closed down 80 pts.

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The market breadth turned weak in the latter part of the trading session. 1,621 stocks declined on BSE as compared to 773 stocks that rose. 42 scrips were unchanged. Losers outpaced gainers by a ratio of 2:1.

Ranbaxy emerged as Top loser and the scrip closed at Rs.412 with volumes of around 7 Lac shares. Other pharma scrips followed suit.

In metals , TISCO lost 5% to close at Rs.346. Same was the case with tech stocks. Stalwarts like Reliance and Gujarat Ambuja closed with losses.

Outlook for Wednesday
Tuesday's fall is significant with the perspective of the market sentiments. With markets rising in the morning, investors were expecting a sort of turnaround for the stocks. However, that proved to be elusive in the last hour of the trade.

The market breadth has turned quite negative. The only solace is that the volumes were not so high as compared to Monday.
However, alot depends on how the markets move on Wednesday. The outlook for wednesday is weak and the selling is expected to continue. Investors are advised to stay cautious.

48 comments:

Anonymous said...

Dear Sir,

Keep up the good work you are doing. My best wishes.

Can you please provide your expert comments on Alok Textiles and Hindalco ?

Thanks in Advance,

Supal

Anonymous said...

Dear Sir,
Kindly let us have your comments on Ranbaxy. We have purchased at Rs 492.
Regards
m r kale

jaw_amo said...

Should we buy more at current levels?If yes what?
Should we buy more ur latest pick guj amb cem?

Unknown!!! said...

Am soon gonna become a pauper if the market goes down at the same rate..bought guj amb cem at 71/-..long time back...ITC at 133/- IDFC at 70/- Amtek auto at 280/-
..glenmark at 285/- Rasoni ji please comment on these scrips...

Rajesh Soni said...

Hi Supal
I do not track Alok Textile.
Hindalco is a good stock.Hold it for at least six months. If it comes below 120 you can accumulate some more.

Rajesh Soni said...

Ranbaxy is struggling with the legal cases. The short term view is negative on Ranbaxy.It will be difficult to get your purchase price in short term. I would advice you to make this your long term investment.

Rajesh Soni said...

Hi jaw_amo
Iwould suugest wait and watch at this level. Market may go further down by 200 points before it resumes its rally.

Rajesh Soni said...

Hi Unknown
It would not be a good strategy to sell in this market. I would recommend you to hold on these scrips. You will definitely get much better prices in case you want to exit.

Narendra said...

Hi Rajesh Sony,

Any suggestion for new buys?
I am waiting for your next investment idea:-)

Regards,
Narendra

Narendra said...

How is the prospects of Berger Paints?
Can we buy at current dip or should we wait for some more time?
I am looking at it with idea of (longterm) Investment.

Regards,
Narendra

Anonymous said...

Dear Rajesh,

Following yr tip on Gujarat Ambuja I bought 150 shares at 68.5. Currently its traded at 66. Today they announced the results of their last quarter which is not encouraging as net profit went down by 17%. Its EPS for this quarter is 0.8 Rs so aprx. yearly EPS is 3.2 so its traded at P/E 20.

Do you feel that this script has potential to give good retunrs and should be accumulated at lower levels?

Rajesh Soni said...

Dear Friend,
The problem is not with Gujarat Ambuja Scrip. Whole market is fallling very sharply and hence you are seeing fall in this scrip also.
I think you should wait before buying further in any scrip as the sentiment is extremely negative in the markets.

sunil kumar said...

Sir
I am a regular reader of your page. I bought Ranbaxy at 500. I can hold for 6 months. Is it good to average at this stage? I am also holding Maruti from 564. Please guide.
Thanks,
Sunil Kumar

Unknown!!! said...
This comment has been removed by a blog administrator.
Unknown!!! said...

Thanx for that motivating commet....now i feel relieved..

Unknown!!! said...

Rasoniji comments on Pantaloon retail..keeping into mind the recent past..it has touched 2000/-.is it better to buy it now...1480/-..

Anonymous said...

Technically market looks like has bottomed out and it gives us a great opportunity to buy at current level. As Warren Buffet says to be fearful when others are greedy and greedy only when others are fearful. ITC(115) and Guj Ambuja(Suggested by Rajesh) looks great buy at current level. ITC has very good support at Rs. 110.
Thanks,
Sushil.

Anonymous said...

Hi Rasoniji

The CMPs of the scripts which you had suggested in your "investment ideas" are now considerably below the suggested buy price. (Skumars Nationwise, Narmada Chempatur, Guj Ambuja). Can I consider this as an opportunity to accumulate more in these? Please reply.

Best regards

Dr Sajith

Satya said...

I have 100 Andhra Bank shares at 95. Now it is around 91. Can I accumulate some more? Please commnet on this.

Anonymous said...

Hi Rajesh ji
We are eagerly waiting for ur valueable comments the comming IPO 's.
Thanks
Sumit

Anonymous said...

Rajesh, on ur suggestion i have bought gujrat cement at 70. it is closed at 68.70. should i book losses are stay invested. i can hold for 1 year. thanks

Nilesh said...

Rajesh, on ur suggestion i have bought gujrat cement at 70. it is closed at 68.70. should i book losses are stay invested. i can hold for 1 year. thanks

Rajesh Soni said...

Hi Dr. Sajith,
I would recommend to buy into Gujarat Ambuja at this stage.
For rest, I would suggest wait and watch till we get more clear picture.

Rajesh Soni said...

Hi Satya
Banking sector still look weak. So wait before buying further into these stocks.

Rajesh Soni said...

Hi Nilesh
If you can hold gujarat Ambuja for One year , you will not regret your decision to buy it.

Don't panic for 5-6 Rs. fall in such stocks if you are long term investors.

Happy Investing !

lucky said...

hi , rajesh ji
how r u , sir i always invest in your invesment idea and invest in guj amb(1000 shares), narmada(500sh.).
sir today i want your sugg. for yes bank for 1 to 2 years as the parmoters are good and bank comes out from lose.
is it good long term investment.
pls reaply
lucky

Anonymous said...

Hi Rajesh

Hope u r doing gud ..
Please give ur valuable comments on upcoming IPO 's

thanks

jaw_amo said...

On 24th Oct Monday mid and small caps performed quite well than the large caps. These midcaps have also fallen sharply.Is this a sigh on recovery?If yes in which midcaps should we enter?or only large caps

Anonymous said...

Shri Rajeshji,
I am visiting your blog every day since it is interisting see comments and your notes.Last 7 days you have not given any write up .I admire your deep knowledge in the subject.I am retired and develop good interst in share market.Awaiting yr news letter.Regards,
M.R.Kale

Anonymous said...

ANY VIEW on VISHAL EXPORTS >>> ANY VIEW on VISHAL EXPORTS >>> ANY VIEW on VISHAL EXPORTS >>> ANY VIEW on VISHAL EXPORTS >>> ANY VIEW on VISHAL EXPORTS >>>

Anonymous said...

ANY VIEW on VISHAL EXPORTS
ANY VIEW on VISHAL EXPORTS
ANY VIEW on VISHAL EXPORTS
ANY VIEW on VISHAL EXPORTS
ANY VIEW on VISHAL EXPORTS
ANY VIEW on VISHAL EXPORTS
ANY VIEW on VISHAL EXPORTS
ANY VIEW on VISHAL EXPORTS

Subu said...

Hi Rajesh,
I hold Wipro 70 @ Rs355. Can you pls tell why did this stock not participated in any bull run since last one year. If you compare it's PE of around 17.87 with that of TCS (34.23) and Infy (36.89), it looks far cheap. Also growth wise, it is not lagging far behind it's peers. Any views on this..

Anonymous said...

Buy SGN TELECOMS between @0.80 to @0.85... next technical target is 1.40... in short span

Nilesh said...

thanks Rajesh for your reply.

Anand said...

Hi Rajesh,
Could you recommend a few stocks for buying at the current levels?
Rgds,
Anand

Narendra said...

Rajesh,

It has been nearly 10 days since your last post.
And 1.5 months since the last Investment Idea!!

Please do give some more tips.
Markets are down and we can get it cheaper now:-)

Regards,
Narendra

Anonymous said...

buy SQL Star @28 - @30 ... target is @38 in next 15 days

buy SQL Star @28 - @30 ... target is @38 in next 15 days

buy SQL Star @28 - @30 ... target is @38 in next 15 days

Rajesh Soni said...

Hi Lucky
I agree with you taht yes bank's performance has been better this qaurter. You can buy in to the stock at around 60 levels and hold for a period of six months to see how it performs in next two qaurters.

Rajesh Soni said...

Dear Mr. Kale
I agree with you that I am not able to spend time on the blog for last 15 days. It's just because I have got more busy these days with my work, so couldn't spare time for the blog.
However I hope after this week Iwill be able to do some justice to it.
Thanks for visiting the blog and I hope you will keep visiting and find the blog useful.

Happy Investing!

Rajesh Soni said...

Hi Subu
As you may be aware that markets always discount the future. and unfortunately we are not hearing much from wipro about its future plans as we hear from TCS. That may be one of the reason that market put high PE on TCS than wipro. Hopwever, the performance was satisfactory.I would advice you to hold on for some more time since I am expecting the valuations of IT companies to improve going forward.

Rajesh Soni said...

Hi Narendra
Please see my reply to Mr. Kale.
Thanks for your patince. I will be giving few Investment Ideas in the coming days . SO please stay tuned to Investment Guru Blog

Rajesh Soni said...

I aqppreciate that few visitors are putting their tips on the message board on this blog.
However, I request visitors to exercise caution and do their homework before acting on any recommendations. Investment Guru Blog do not endorse any such recommendations and any action on such recommendations willpurely be at your risk.
This is just a disclaimer and I do not mean to discourage visitors who are putting thier views.
Keep messaging !

Rajesh Soni said...

To all thiose visitors who are planning to put money in the stock market and want to capitalise on the ongoing fall in markets, I would suggest that the markets are not going to run up sharply from here and may see further fall before moving up. So keep patience and drive your money in small installments into the markets.

Anonymous said...

I asked Marc Fabre if this is a right opportunity to enter in the market as index is down by more than 12%. He said I would wait. I thought should tell his views to the investors in this Blog.

Thanks,
Sushil.

leosharewala said...

Sir, Pl tell me what to do with Narmada chemtaur , i baught @40, i am already in heavy losses with other stocks and this is adding to my woes by going down even when the market is going up.
Pl comment!

Anonymous said...

TOI has bought a stake in SQL Star

buy SQL Star @28 - @30 ... target is @38 in next 15 days

buy SQL Star @28 - @30 ... target is @38 in next 15 days

buy SQL Star @28 - @30 ... target is @38 in next 15 days

Anonymous said...

Vishal Exort is great stock ... dont worry .. wait for a month or two ... one can also buy SQL Star or SGN Telecoms at current level... SQL Star - Target in 12 days will be 38 and SGN Telecom - Target will be 1.40 by month end. For Vishal Export Target is 8.80 in 30 to 45 days.

Anonymous said...

Hi Rajesh,

I would like to know your comments on Abhishek Industries. I have been holding this stock for 1 year.

Thanks,
-Amol.