Monday, January 3, 2011

DAILY VIEWS ON NIFTY & STOCK - 02.01.2011 (Monday)

Nifty Futures 11am Call:

11am: Nifty Futures opened today at 6202 against its previous close of 6162, and is currently trading at 6183. It has so far recorded a HIGH of 6207 & a LOW of 6181. Asian cues are positive, US futures are in green, and European market may open in positive today. The trading range for NF today is likely to be 6180-6250.

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Portfolio Trade

Bought 3 shares of MRF Ltd at 7290 under SIP Portfolio.

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STOCK FUTURES

Here is a method to earn profits out of investments made by all of you in stocks recommended by me. Pl follow the instructions carefully:

1. Ensure that all the investments made by you are in one demat account, preferably in a sound & well known brokerage house like ICICI Bank.

2. Do not mix any of your trading positions including short term stock trades in this account.

3. Create "FnO Margin" by just pledging the shares held by you for long term. Every brokerage house allows this by giving a margin against all shares after deducting the fixed "hair cut". For example, for Balaji Telefilms, ICICI Bank deducts only 15% hair cut, and allows a margin of 85% of the market value of the shares.

4. Utilise the "FnO Margin" created as above for stock futures trading. The thumb rule is if you have created a margin of Rs 1 lakh, you should never use more than Rs 50,000 worth of margin for stock futures, allowing the balance 50000 for MTM losses if any.

5. I will do this shortly, create FnO margin for the purpose of stock futures, take positions in selected counters, only one at any given time, and place my trades in this blog. Members may just watch this space, see the performance of such trades, and then follow the trades.

6. All my trades will be in first class counters like Colgate, and the margin required for one lot of such shares will be in the region of 30-40K, which means you need to create a FnO margin of 70-80K by the above method.

I request all those who want to follow the above trades, to ensure that they dont deviate from any rules which I have mentioned above. Overtrading is strict NO NO, and ensure that you have an outstanding position only in one counter, and that too for one lot.

kadiyali.
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15 comments:

  1. neelimaJanuary 3, 2011 at 11:52 AM

    Kadiyali Sir...have bought NIFTY Futures Jan Expiry @ 6195 levels...guide me regarding it plzz
    also need ur advice regarding Shree Ashtha Vinayak...holding 150 though booked out of 150 at double my buy price...these 150 are free for me now. but shud i enter it again...if YES at what levels
    Want to add Gitanjali nd hold for long term..whats d best buy levels?? Plzz guide

    ReplyDelete
  2. NitinJanuary 3, 2011 at 11:55 AM

    Hi Kadiyaliji,

    Wish you Happy New Year 2010. Wish God give U more wealth and Prosperity. Also, thanks for guiding us.

    Please let us know if we can buy Shree Ashtavinayak as it is currently at around 7 with no buyers? Currently having 50% of the free shares bought @12.

    Also, Arvind Mills doubled the price you had quoted. Sold 50%. Thanks for this recommendation. Bought Provogue at CMP.

    Regards,
    Nitin.

    ReplyDelete
  3. kadiyaliJanuary 3, 2011 at 12:01 PM

    neelima/nitin, once you have booked profits in Shree Ashta Vinayaka by selling 50% when the price doubled, just dont bother about that counter any more. Just hold on to the free shares, and aim at similar free shares in other counters recommended by me.

    ReplyDelete
  4. kadiyaliJanuary 3, 2011 at 12:05 PM

    neelima, you have already seen Gitanjali doubling from your buy price. Should have sold 50% to make the balance 50% free. If not done, aim at doing so very shortly when it is likely to hit Double soon from your price. Once this Golden Rule is applied to any share, just stop bothering about that counter any more, continue to hold the 50% free shares, and aim at similar free shares in other counters.

    Nifty may take 2-3 years to double from its current level, but during this period of 2-3 years, you will see many stocks recommended by me double. The strategy should be to accumulate as many free counters as possible by deploying our limited funds.

    ReplyDelete
  5. neelimaJanuary 3, 2011 at 12:06 PM

    OK...but guide me regarding Gitanjali..nd shud I buy Provouge at cmp or Trend wud b better at cmp ??

    ReplyDelete
  6. kadiyaliJanuary 3, 2011 at 12:08 PM

    neelima, both Provogue and Trend are at very attractive valuation. Buy both and wait for them to double from your buy price.

    ReplyDelete
  7. neelimaJanuary 3, 2011 at 12:08 PM

    I shud mention here...i was holding Gitanjali 150 @ 115....but greed overtook my senses nd didnt book out @ 395...nd it fell hard....booked out @ 214 eventually. bought again 100 @ 178...holding them. but i wish to hold it for long long time nd keep on adding....wud it b ok...what levels shall i add more ??

    ReplyDelete
  8. kadiyaliJanuary 3, 2011 at 12:12 PM

    neelima, apply Golden Rule to all shares recommended by me.

    ReplyDelete
  9. neelimaJanuary 3, 2011 at 12:14 PM

    Ok Sir....but shud i add some of Gitanjali @ cmp ??

    ReplyDelete
  10. neelimaJanuary 3, 2011 at 1:15 PM

    Kadiyali Sir....May I know @ what price u recommended to buy PROVOUGE initially ??

    ReplyDelete
  11. GanpatJanuary 3, 2011 at 1:42 PM

    Kadiyali:

    For the following stocks you recommended,can you give the date of rec. and the price at which it is recommended? You promised for this detail several weeks back but vanished suddenly.I can apply your Golden rule 2011 that take capital after the stock doubles its value after buying and re work the scenerio.
    Since you have recommended almost 60 scrips in one year and the list is growing,it becomes necessary to tabulate them for the benefit of all our group.
    You may take your time but sooner the better
    Thanks

    BLISSGVS
    BRIGADE
    DECOLITE
    EVERONN
    GUJFLUORO
    HATSUN
    IDBI
    INDIAGLYCO
    INDSILHYD
    INFOSYSTCH
    KOTARISUG
    LT
    MARICO
    MAYTASINFR
    MRF
    MRPL
    NITESHEST
    NOCIL
    OBC
    SAHYADRI
    SPICEJET
    TECHM
    TORNTPOWER
    TTKHE
    TTKPRESTIG
    TTML
    TVSELECT
    VLSFINANCE
    VOLTAS
    WHIRLPOOL

    ReplyDelete
  12. neelimaJanuary 3, 2011 at 1:55 PM

    Wud v get to see 6250 on NF today...as i m long there ??

    ReplyDelete
  13. kadiyaliJanuary 3, 2011 at 2:34 PM

    Ganapat, I will provide the details very shortly.

    Regarding stock market investment, regular churning of portfolio is essential part of the game. Because no one has infinite money to invest. That is why I insist on applying the Golden Rule. At least you will be able to take back money from the counters where you are able to apply Golden Rule, and redeploy the same in new picks, at the same time, notionally applying the value of those free shares to those counters which are under performing. Even those shares which remain below my recommended price will be multibaggers but it will take time.

    ReplyDelete
  14. kadiyaliJanuary 3, 2011 at 2:41 PM

    Hi All,

    Make Colgate & MRF a permanent part of your portfolio. Cultivate a habbit of adding 1 of MRF and 5 of Colgate every alternate month.

    ReplyDelete
  15. saraJanuary 3, 2011 at 6:32 PM

    Sir,
    Its nice to see your guidance after a gap, during market hours with new f&o Strategy on this New Calender year.
    Great Going ..

    Regards,
    Saravanan

    ReplyDelete

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