UPA Bomb Brewing!

Hello Friends,

In my last post, I have indicated that equities all over the world are set to boom, and have requested all members to STAY INVESTED for a Nifty target of 15000. Yes the next bull phase will see nothing less than 15K nifty level. Any bull phase, in its beginning stage will see attempts by Bears to pull the index down, and we have already seen that two months back when nifty almost touched 5200 levels due to bear hammering. Once this attempt is done with, we can safely assume that nifty journey will now be smooth upto 15000.

However, there is one possibility which we can term as Local Factor, which can give us all a last chance to pick the shares we missed out last time. Call it a Golden Chance which may be presented to us in a few months from now. What is that Local Factor? Read on.......

Last 5 months in India, many political, economic and social developments have happened, and keep happening. I consider them as COMPONENTS OF A BOMB placed on the table. Here are a few examples:

2G Scam, Raja arrested, DMK involvement, Kanimozhi charge sheeted, Anna Hazare, Subramanyam Swamy, TN Election, WB Election, Old Bosses sitting with no job (Gowda, Lalu, Mulayam), Food Inflation, Arrest of Corporate Bigwigs, Swiss Money, and you can go on adding....

These components are presently being wired without any body knowing that all these components are ones required to make a UPA BOMB which ultimately result in FALL of UPA II GOVT. Some wiring somewhere can ignite the Bomb. I feel if Mamata comes to power without Congress dependence, and if DMK loses power, the wiring will have come close to getting ignited, and it will be only a matter of time before actual igniting will take place. The fall of the Govt will give a KNEE JERK level of nifty. So members can not only remain Invested, they should also keep sufficient liquidity with them, to take advantage of this Golden Chance.

Possible levels of some of the shares if the above Golden Chance does take place: Unitech 9, Reliance Communication 49, Reliance Capital 199, Colgate 599, RIL 490, Videocon Ind 99, etc. etc. Nifty may even fall below 4500 but the lower level will not remain for long. It will be only for a few days or some level may even be only for a few hours.

Keep your fingers crossed, and wait for the Golden Opportunity. Chances of such a situation right now is 50:50.

kadiyali.

Equities All Over the World All Set to Boom

Hello Friends,

First it was the real estate prices all over the world which boomed beyond expectation.

Then it was the turn of Gold, followed by Silver, yes the Precious Metals were the next in the line which were taken up for Bull Run.

The traders then took up all kinds of metals, one by one, and all of them without exception touched dizzy heights.

Oil was the next in the list.

Even the food items were not spared. We saw all the food items taken up for Bull Run, and all of them were taken up one by one. Even onions were not spared whenever an opportunity was presented to the traders.

What do you think is the next? Yes your answer is as good as mine! Of course, it is EQUITIES all over the world. Stay invested in select investment picks for a nifty target of minimum 15000.

Derivative instruments are the tools for these traders all over the world to make money out of thin air. Why not we participate in Equities on cash basis, and ride on their derivative race?

kadiyali.

Full Stop for Paid Service

Hello Friends,

I have created a new blog to give trading calls in OPTIONs. The name of the blog is "ONE OPTION A MONTH", or in short " OOAM BLOG".

It is going to be a free blog for all visitors of my existing blog FIFTY POINTS A DAY.

I will give only one call every month. It will be either nifty option or stock option. The trading call will be for only OUT OF THE MONEY (OTM) calls or puts, and the investment is going to be very much limited, with good scope for appreciation. No STOP LOSS for the trading calls, as all calls will be for OTM calls/puts with small investment.

Comments section will be open. All readers are free to place their comments. However I reserve my right to either reply or just ignore.

I will allot only around two hours every week, and mostly this time will be away from the trading hours. Time allotted will be used to reply the comments of the readers. However kindly restrict the qeuries only on options trading.

"Subscribe by Email" facility has been enabled, so that members can get the trading calls immediately by an email.

I wish you all good luck in Options Trading through my "OOAM BLOG".

kadiyali

PS: You may access the OOAM BLOG by loging in oneoptionamonth.blogspot.com OR just click on the VIEW MY COMPLETE PROFILE on the right side of this blog.

WAIT FOR CATCHES BEHIND THE STUMPS

I have already informed you all in my earlier posts, that every multi-year bull phase will start with bear pressures in the initial stages. We are in the beginning stage of a MULTI YEAR BULL RUN, my target of which is NIFTY 15000! Stay invested in stocks I have recommended, because most of them will give us multi fold appreciations in the years to come.

I had given in my last post a list of stocks of FV 10 with CMP below 100, for you to consider investing for long term. A few of them have already gone back into 3 figure price. Now I request you to 1) keep a watch on the following FV 10 shares which are being traded above 100, 2) wait for them to fall below 100, and 3) just grab them like any wicket keeper behind the stumps waiting for that rare snick of the bat. DO CATCH THEM, AND DONT FLOOR THE CHANCES COMING YOUR WAY:

1. Prestige Estates - FV 10 - CMP 120.

2. India Glycol - FV 10 - CMP 115.

3.Garden Silks - FV 10 - CMP 116.

4. Ceat Ltd - FV 10 - CMP 110.

5. IFB Industries - FV 10 - CMP 130.

6. IDBI Bank - FV 10 - CMP 136.

List inconclusive, will be expanded shortly.

kadiyali.

HUNT FOR FV 10 SHARES BELOW 100 CMP

It is time for bargain hunting of fundamentally strong shares with growth potentials, now that the maximum possible damage has already been done by bears. The strength of these bears will fizzle out soon, and we will see a confirmation of the market having taken a U turn.

Hunt for shares with FV 10 which are available at market price of below 100. There are many long standing companies with good project which are available below 100 despite their FV being original 10. Here are the examples:

1. Brigade Enterprise - FV 10 - CMP 93

2. Arvind Mills - FV 10 - CMP 59

3. Garden Silks - FV 10 - CMP 98

4. Spice Jet - FV 10 - CMP 39

5. Nitesh Estates - FV 10 - CMP 25

6. Moser Bear - FV 10 - CMP 39

7. Subex Systems - FV 10 - CMP 59

8. Eveready - FV 5 - CMP 48

9. IFB Ind - FV 10 - CMP 99

10. Wintac - FV 10 - CMP 36

11. IFCI - FV 10 - CMP 51

12. Country Club - FV 2 - CMP 11

13. Fedder Lloyd - FV 10 - CMP 69

14. Lloyd Electric - FV 10 - CMP 55

15. Trend Electronics - FV 10 - CMP 65

16. Zicom Security - FV 10 - CMP 37

17. Heidelberg Cement - FV 10 - CMP 36

18. MRPL - FV 10 - CMP 62

You will see the market capitalisation of these companies growing by leaps & bounds over a period of next few years. Stay invested in a portfolio of the above shares and see the appreciation in the years to come.

I will expand this list within the next 7 days. Keep tuned in.

kadiyali.

BUILD A MINI REAL ESTATE PORTFOLIO

The market correction has thrown a fantastic opportunity to build a MINI REAL ESTATE PORTFOLIO OF BANGALORE BASED COMPANIES.

The companies are 1) Prestige Projects (FV 10 - CMP 120), 2) Brigade Enterprises (FV 10 - CMP 92) and 3) Nitesh Estates (FV 10 - CMP 25). All these 3 shares are Rs 10 paid up Face Value, and all are available well below their IPO prices.

All these companies are among top real estate companies of Bangalore, with Prestige and Brigade having a standing of more than 15 years, though Nitesh Estates is comparatively a recent entrant into the market.

BUY 100 shares each of Prestige and Brigade, and 300 shares of Nitesh, OR in similar multiples/ratio, depending on the size of your portfolio. All these companies shares will double in a period of 12-18 months, and whenever the share prices double, DO SELL 50%, MAKE BALANCE 50% FREE, and HOLD FREE SHARES for long, long term.

kadiyali.

PHARMA SECTOR TO OUTPERFORM - STAY INVESTED

Market has seen the correction, giving those who were in the sidelines a fantastic opportunity to buy and stay invested. This happens during the beginning phase of every multi-year bull phase, and it happened during the current bull phase too. Stay invested is all that I can say for those who want to follow me.

PHARMA SECTOR will be the dark horse during this bull phase, and this sector will outperform beyond the expectations of any analysts. You will see all the shares of pharma companies getting split into FV 1 within 2-3 years. Buy into this sector heavily, and stay invested till the Nifty reaches 15K, whenever it happens.

RECOMMENDATIONS: I have already recommended investment in Abbott (FV 10 - CMP 1200) on SIP basis. My second recommendation in this sector is RANBAXY (FV 5 - CMP 500). Buy Ranbaxy in an initial lot of 10-20 shares, and keep adding 5 shares every month on SIP basis.

WINTAC LTD (FV 10 - CMP 32): The company formerly known as Recon Ltd, is having a small equity of Rs 4.54 cr, a major portion of which is held by the promoters. The turnover of the company which was struggling to go beyond 15cr, has shown a healthy growth last year by crossing 20cr. This year turnover is likely to touch 25cr. The company has recently made a global tie up with a well known US based generic company for an eye drop called "Latanoprost", and the US patent of this product is expiring shortly, and the company's product which has received USFDA approval will be sold in US at a lower price than the patented one. The company has for the first time in their history has started working in 3 shifts, which will contribute to a very good growth from next year.

Buy this share in the range of 32-35 for a target of 100 by March 2012.

kadiyali.