'4800 is a technical sell level'
This week, Ramesh S Damani expects the market to correct but also advises investors to keep a watch on the Nasdaq and Friday's cabinet meeting on privatisation. He also answers many stock-specific questions.
Mr Ramesh Damani (Wed Jun 21 19100 5:56 IST)
hello everybody - thanks for joining in let's start
winner (Wed Jun 21 19100 5:50 IST)
Hello mr. Damani what happened today? why the sudden panic any adverse news?
Mr Ramesh Damani (Wed Jun 21 19100 5:58 IST)
4800 is a technical sell level. Market probably got too heavy.
Mr Ramesh Damani (Wed Jun 21 19100 6:2 IST)
First let me congratulate rediff for a great IPO. Congrats!
winner (Wed Jun 21 19100 5:51 IST)
what's ur view on ICE stocks?
Mr Ramesh Damani (Wed Jun 21 19100 6:2 IST)
winner - track the "I" in ICE stocks. Look at NASDAQ for clues on the future
rex (Wed Jun 21 19100 6:0 IST)
what's ur view on visualsoft?
Mr Ramesh Damani (Wed Jun 21 19100 6:4 IST)
rex - visual has a compelling growth story. I would buy it on declines. It's a product company with a bright future.
abhijeet (Wed Jun 21 19100 5:54 IST)
what will be the impact of removal of circuit filters in sensex stocks?
Mr Ramesh Damani (Wed Jun 21 19100 6:4 IST)
abhijeet - good idea to remove circuit filters. It will lead to better price discovery. I support it.
RAHULGI (Wed Jun 21 19100 6:4 IST)
A DREAM RUN ON THE ENGINEERS INDIA COUNTER—120 –TO –200 IN 5 DAYS!! ALSO BHARAT ELECTRONICS!!!
Mr Ramesh Damani (Wed Jun 21 19100 6:5 IST)
Rahul Engineers was trading at 130 cum 12.50 dividend. BEL is at this year PE of 3-4. Hold these stocks
rohit (Wed Jun 21 19100 5:55 IST)
is it a good time to buy PSU stocks considering this week's meeting?
Mr Ramesh Damani (Wed Jun 21 19100 6:6 IST)
rohit - I would wait till the meeting is over. If privatised these stocks can rise 5 fold from here. Trick is to buy the stocks that are going to be privatised first. Keep an eye on MTNL
sri (Wed Jun 21 19100 6:6 IST)
What about HDFC?
Mr Ramesh Damani (Wed Jun 21 19100 6:8 IST)
sri - hdfc, and hdfc bank are both good.
ashabhagwan (Wed Jun 21 19100 5:58 IST)
hi mr damani my question is on reliance I purchased it at an avg price of rs 359 what shold I do hold or sell them and I bought satyam at 3722 shall I hold on or sell it..what is your take on the market for the next month
Mr Ramesh Damani (Wed Jun 21 19100 6:9 IST)
asha - i am not bullish on reliance. Market is likely to correct. Watch NASDAQ and Friday cabinet meeting on MTNL pvt. Next cue will be Q1 result from infosys.
M R Ahmed (Wed Jun 21 19100 5:55 IST)
Hello Mr. Damani. Was today a correction or a further downfall is expected?
M R Ahmed (Wed Jun 21 19100 6:9 IST)
What are ur views on Pentasoft?
Mr Ramesh Damani (Wed Jun 21 19100 6:10 IST)
M R Ahmed - Market is in a tricky phase. Stick to quality leaders. Penta is not in that group.
MANISH (Wed Jun 21 19100 6:10 IST)
SIERRA OPTIMA'S RESULT IS AWAITED TODAY BUT ITS FALLEN DRAMISTICALLY. WHAT SHOULD BE THE REASON? ALSO MCDOWELL SHOWS GOOD RESULT BUT IT FALLS TODAY THANKS
Mr Ramesh Damani (Wed Jun 21 19100 6:11 IST)
Manish - I am not following Sierra but B group software stocks have got hammered. McDowell is a hold. Restructuring is going on.
ashabhagwan (Wed Jun 21 19100 6:11 IST)
mr damani what's your view on hcl tech
Mr Ramesh Damani (Wed Jun 21 19100 6:11 IST)
asha - hcl tech seen a bit expensive to me. Buy proven leaders in this phase of the market.
jj (Wed Jun 21 19100 6:10 IST)
sir some news expected in reliance capital. can you please shed some light
Mr Ramesh Damani (Wed Jun 21 19100 6:12 IST)
jj- lot of loose talk that Rel Cap will see Ambanis' entry into infotech. They own 74% of the company. No news from the company though.
jj (Wed Jun 21 19100 6:12 IST)
sir what's your opinion on satyam it has had so many scams they are forever toeing the line between right and wrong. it has had a good run up with lot of media hype. is this for real or just a scam
Mr Ramesh Damani (Wed Jun 21 19100 6:13 IST)
jj- character counts said someone famous. I repeat in this nervous phase we can and should pay a premium for A group mgmt.
RAHULGI (Wed Jun 21 19100 6:12 IST)
ACC --@115 --BUY??? OR WAIT FOR FURTHER CORRECTION?? IF 115 BUY –ANY STOP LOSS??
Mr Ramesh Damani (Wed Jun 21 19100 6:14 IST)
Rahul - ACC is a hold at 115. Buy if it comes lower. I suspect it is going to be in a takeover battle soon.
rex (Wed Jun 21 19100 6:14 IST)
what happened in the street today such panic selling with huge volumes of over 12,000 crore on both the exchanges put together?
Mr Ramesh Damani (Wed Jun 21 19100 6:15 IST)
rex - market has had a 1000 point rise- so a fall is no problem. To delink from NASDAQ we need leadeship from New Delhi.
RAHULGI (Wed Jun 21 19100 6:15 IST)
RAYMOND, BOMBAY DYEING & INDIAN RAYON-----YOUR PICK?? WHY??ANY TARGET??? IF YOUR PICK IS RAYMOND THEN THIS YEAR THE N.P. ===OTHER INCOME FROM SALE OF CEMENT+STEEL,ISNT IT??? SO WILL YOU STILL GO FOR “RAYMOND”??
Mr Ramesh Damani (Wed Jun 21 19100 6:16 IST)
rahul - pick is Raymond. The garment business I understand is good.
jj (Wed Jun 21 19100 6:16 IST)
sir what is the long term on vsnl with the rates getting cheaper and they losing their monopoly soon can we expect the counter to lose its sheen? will it give long term returns should we buy now ?
Mr Ramesh Damani (Wed Jun 21 19100 6:18 IST)
jj- if VSNL and MTNL are privatised I expect them to go for very high prices. Turkish Telecom has a valuation of $20 billion. The key is PRIVATISATION.
rex (Wed Jun 21 19100 6:17 IST)
Jardine Fleming downgraded india from overweight to neutral. What will be the impact? Are they big investors?
Mr Ramesh Damani (Wed Jun 21 19100 6:19 IST)
rex - jardine is important. However enough contrary players exist. No great impact.
jj (Wed Jun 21 19100 6:19 IST)
sir what's the long and short of reliance petro with the opec planning to raise production will it have positive impact on the stock price
Mr Ramesh Damani (Wed Jun 21 19100 6:20 IST)
jj - rel petro is overvalued.
GIRISH (Wed Jun 21 19100 6:19 IST)
SIR, WHAT U ADVISED ABOUT KOTAK, PHILIPS, MCDOWELL
Mr Ramesh Damani (Wed Jun 21 19100 6:22 IST)
Girish - mcdowell hold Philips - hold kotak - hold
Umesh (Wed Jun 21 19100 6:22 IST)
Hi Ramesh I am joining you when it's almost time to say Good Bye !
Mr Ramesh Damani (Wed Jun 21 19100 6:23 IST)
umesh - thanks. i stick on till 7.15 so.
raman (Wed Jun 21 19100 6:21 IST)
i am fresher. i would like to know about share market. but i don't know where to and how to start? can u please help me.
Mr Ramesh Damani (Wed Jun 21 19100 6:25 IST)
Raman - read a lot and open an e-broking account to get used to the idea of owning stocks. Read Peter Lynch's One up on Wall Street
GIRISH (Wed Jun 21 19100 6:23 IST)
WHAT WOULD BE MARKET TOMORROW ?
GIRISH (Wed Jun 21 19100 6:25 IST)
SHOULD I ENTER ZEE FOR QUICK GAINS
Mr Ramesh Damani (Wed Jun 21 19100 6:26 IST)
Girish - That is your own call. hard to give trading tips on the net
alok (Wed Jun 21 19100 6:25 IST)
INFY B/S/H?
Mr Ramesh Damani (Wed Jun 21 19100 6:27 IST)
alok - i think Q1 result of INFY will be good. I would hold till then at least.
Umesh (Wed Jun 21 19100 6:27 IST)
Will the market touch 4000 again? I don't want to be pessimistic but would like to have your opinion on the same. What is the bottom at present?
Mr Ramesh Damani (Wed Jun 21 19100 6:27 IST)
Umesh - I don't think we will touch 4000 again. I hope not.
ashabhagwan (Wed Jun 21 19100 6:24 IST)
sir I have a huge portfolio worth millions. I am now at even money no profit no loss situation. i enterted the market during the months of march and april this year. shall i hold or sell and re-enter the market when it is low
Mr Ramesh Damani (Wed Jun 21 19100 6:29 IST)
asha - good that you have not lost. Market is very nervous still. This is still a bear market rally.
RAHULGI (Wed Jun 21 19100 6:9 IST)
LEADING EDGE—TRIGYN TECH—HAD A “BAD” LAST Q—WITH “I” TAKING STAKE IN IT “RUMOUR”, IS IT A BUY @ 900 ??
Mr Ramesh Damani (Wed Jun 21 19100 6:29 IST)
Rahul - Trigyn does not excite me. Tell me why you like it.
(Wed Jun 21 19100 6:30 IST)
sir when you say bear market rally i guess you mean like a relief rally is this because the bottom has not been tested last time ??
Mr Ramesh Damani (Wed Jun 21 19100 6:31 IST)
:: market should stop at 4550-4600 if it is a normal correction.
Umesh (Wed Jun 21 19100 6:30 IST)
Can you suggest one great pick?
Mr Ramesh Damani (Wed Jun 21 19100 6:32 IST)
Umesh - Birla 3M for long term investors. It's around 600.
ashabhagwan (Wed Jun 21 19100 6:32 IST)
so when will the market touch its all time high around 5500-6000 levels
Mr Ramesh Damani (Wed Jun 21 19100 6:33 IST)
asha - Dont have a feel for it either way. Will have to wait and watch for Sensex to touch 6000
RAHULGI (Wed Jun 21 19100 6:32 IST)
Grasim Industries wants to lower its interest burden and is cutting down its exposure to high cost debt. Grasim has a huge debt of Rs 2,420 cr on its books and the company has an interest burden of Rs 256 cr per annum. Grasim has an installed cement capacity of 11 million tonnes and considering the current M&A activites in the industry, its cement business alone would be worth Rs 4,000 cr as compared to the overall company's market capitalisation of Rs 2,400 cr. Thus even on neglecting its other businesses, Grasim seems to be under priced. IS IT A BUY??
Mr Ramesh Damani (Wed Jun 21 19100 6:34 IST)
Rahul - if you add the debt back, it's no longer cheap. Commodity business is not very pricey.
RAHULGI (Wed Jun 21 19100 6:31 IST)
BHEL—SHOULD I CARRY FORWARD ,SINCE ANY + NEWS ON DISINVESTMENT ON FRIDAY— THIS WILL BE IN LIMELIGHT??
Mr Ramesh Damani (Wed Jun 21 19100 6:34 IST)
Rahul - I dont think BHEL is up for discussion
(Wed Jun 21 19100 6:34 IST)
sir some suggestions where i can learn about technical analysis??
Mr Ramesh Damani (Wed Jun 21 19100 6:35 IST)
:: buy a chart package. I will try and suggest some books next Wed. The bible is by Murphy.
RAHULGI (Wed Jun 21 19100 6:35 IST)
Domestic aluminium companies are likely to hike selling prices by Rs 2,000-3,000 per tonne (2.5%-3.5%). The shutdown of couple of international aluminium plants has resulted in reduction of global production and therefore LME prices have risen to roughly US$ 1,550 per tonne as against US$ 1,450 per tonne a week ago. Secondly, the depreciation of the rupee to almost Rs 45 per US$ has increased the landed costs of imports of the metal. Thus, the move to raise prices is logical and the aluminium companies will benefit since the price rise will straight away increase the bottomline correspondingly. YOUR PICK?? I THINK "H"--HOW IS "NALCO"??
Mr Ramesh Damani (Wed Jun 21 19100 6:36 IST)
Rahul - Nalco looks okay to me.
GIRISH (Wed Jun 21 19100 6:36 IST)
WHAT DO U EXPECT SIVERLINE FROM HERE UP / DOWN
Mr Ramesh Damani (Wed Jun 21 19100 6:36 IST)
Girish - I hope I am wrong but down is my guess
MANISH (Wed Jun 21 19100 6:35 IST)
PLS. GIVE ME YOUR EMAIL ADDR. FOR SOME MUCH NEEDED ADVICE AND BUSINESS RELATIONS WITH U THANKS MY EMAIL : MANISHDHUPPAD@TATASTEEL.COM --------------------------------------------------------------------------------
Mr Ramesh Damani (Wed Jun 21 19100 6:37 IST)
Manish - Thx but this is a public space not private so sorry no commercial business
ashabhagwan (Wed Jun 21 19100 6:37 IST)
my broker is telling me that the next month is going to be dangerous as the market might bottom out back to its 3800 levels is it true
Mr Ramesh Damani (Wed Jun 21 19100 6:38 IST)
asha - not 3800 but maybe 4500
RAHULGI (Wed Jun 21 19100 6:37 IST)
IF “OPEC”DOESN’T INCREASE THE OIL OUTPUT ,THEN HPCL//BPCL—SELLLLLLL???
Mr Ramesh Damani (Wed Jun 21 19100 6:39 IST)
Rahul - hpcl/bpcl are good disinvestment candidates
GIRISH (Wed Jun 21 19100 6:39 IST)
PFIZER IS COMING OUT WITH THE RESULTS. WHAT SAY YOU BUY OR ..
Mr Ramesh Damani (Wed Jun 21 19100 6:41 IST)
Girish - Pfizer results should be good I believe.
RAHULGI (Wed Jun 21 19100 6:40 IST)
SAB DEKHO, BUT SAB TV MAT DEHKO!!! A FLOP CHANNEL
Mr Ramesh Damani (Wed Jun 21 19100 6:41 IST)
Rahul - HA HA. Remember in the E-business content will be king. That is not a recommendation for TV 18 though.
(Wed Jun 21 19100 6:41 IST)
sir it has been really good learning from you chatting on these shows do you give private audience or talk shows on the stock markets have you written any books where are they available
Mr Ramesh Damani (Wed Jun 21 19100 6:42 IST)
: Not written books, I am on CNBC, STAR NEWS OFTEN ENOUGH. Thanks for joining in.
(Wed Jun 21 19100 6:45 IST)
bye sir thanks to you for your inputs
Umesh (Wed Jun 21 19100 6:41 IST)
before you pack off Ramesh I must say that it's always pleasure chatting with you!
GIRISH (Wed Jun 21 19100 6:42 IST)
WHY MARKET IS SO MUCH SENTI NOT FUNDAMENTAL ?
Mr Ramesh Damani (Wed Jun 21 19100 6:43 IST)
Girish - that is the nature of markets. If it was only Funda the CAs would be rich.
Mr Ramesh Damani (Wed Jun 21 19100 6:44 IST)
Thanks everyone will see you all next week. Have a prosperous week ahead.
Money
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