WEEKLY RERPORT ON NIFTY BY kadiyali - 20.02.10 (Saturday)

WEEK GONE BY

Nifty had a zig zag trade in this week, with both bulls & bears controlling the market turn by turn, but bulls managed to give nifty a positive close though with a small margin. Nifty ended the week at 4845, up 18 points from previous week close. Against the trading range of 4740-4970 indicated by me in my last weekly report, nifty traded in the range of 4783-4922, with the high of the week of 4922 touching on Thursday & the low of the week of 4783 recording on Monday.

WEEK AHEAD

In a market where the strength of both bulls & bears has become almost equal, nifty is finding hard either to fall or to rise. However, the Union Budget during the week ahead may give a slight edge to the bulls. Nifty may succeed in just touching a level of 5000 during the week, but may close the week in positive with only minor gains. The trading range for the week is likely to be 4810-5020.

STOCK RECOMMENDATION

My stock pick for this week is INDSIL HYDRO POWER.

BUY Indsil Hydro Power - FV 10 - CMP 65 - EQ 9.45 Cr - EPS for 06/09 Rs 3 - Expected EPS for 06/10 Rs 12-15.

Buy this share in a lot of 200 (or multiples thereof), sell 100 when the stock price doubles, and retain the balance for long term.

OPTION RECOMMENDATION

My Options recommendation for this week is Suzlon stock option call 75CA (cmp 0.55). 

BUY this stock option around cmp for a target of 2/3.

NIFTY SMS GROUP TRADES - 2010

                                                Feb 10    Jan 10    2010

A. Total Trades:                    11           15           26

B. Winning Trades:               9            11           20

C. Losing Trades:                   2              4             6

D. Points Gained:              228         283         511

E. Points Lost:                       46           57         103

F. Net Gain:                          182        226          408