Transcript of Chat with Mr. Hitendra Vasudeo (Technical Analyst) - Will second line tech stocks deliver? (11/01/2002)
[04:33:39 PM] => Myiris : Welcome to the live chat session.
[04:34:35 PM] => Myiris : Today's chat will commence at 5.00 PM. We apologise for the delay.
[05:03:07 PM] => Myiris : Our guest, Mr. Hitendra Vasudeo, Technical Analyst will be joining us shortly.
[05:03:14 PM] => DISCLAIMER
[05:03:45 PM] => Mr. Hitendra Vasudeo is a technical analyst. At the time of this conversation / chat, Mr. Vasudeo may or may not have positions in the stocks mentioned below, although holdings may change at any time. The views expressed by Mr. Vasudeo is based upon information that he considers reliable, but does not represent that it is accurate or complete, and it should not be relied upon as such. Mr. Vasudeo, his company and its affiliates, officers, directors, partners, and employees may, from time to time, have long or short positions in, buy or sell and deal as principal in the securities, or derivatives thereof, of companies mentioned herein and may take positions inconsistent with the views expressed.
[05:04:33 PM] => None of the information contained herein constitutes, or is intended to constitute a recommendation of any particular security or trading strategy or a determination that any security or trading strategy is suitable for any specific person. To the extent any of the information contained herein may be deemed to be investment advice, such information is impersonal and not tailored to the investment needs of any specific person. You should consult with and rely upon your own advisors whether and how to use such information in making any investment decision.
[05:05:00 PM] => Lastly the views expressed by Mr. Vasudeo have no bearing whatsoever with that of IRIS Ltd. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website www.myiris.com.
[05:08:02 PM] => Welcome to the chat session Mr. Vasudeo.
[05:11:23 PM] => ayanad1: Your view on Fujitsu and Gynesis international?
[05:12:29 PM] => HV : Fujitsu : For medium term the stock looks good. If your are holding the stock then continue to do so. BUY the stock with a daily closing stop loss of Rs 83. A close below Rs 83 could possibly end the hope of a bull run in the stock. The range for the stock is Rs 124-Rs 83. Expect a blow up on daily close above Rs 119.55, if it is witnessed in days to come.
[05:12:55 PM] => Gynesis Int : No activity at the moment. The stock has resistance at Rs 28-Rs 30. A breakout above the resistance range will only bring momentum in the stock. Wait for a breakout for fresh entry in the stock otherwise avoid it.
[05:14:22 PM] => arrowmats: Your views on Dr. Reddy and Ranbaxy?
[05:14:51 PM] => Dr.Reddy : The stock to remain range bound in the band of Rs 1150-Rs 860. Medium to long term investors need to maintain a stop loss of Rs 860 on weekly close. Hold long positions and book partial profits as the stock moves towards the upper zone level.
[05:16:33 PM] => Ranbaxy : The stock has resistance at higher levels. As can be seen in the chart of the trend line. Resistance levels are at Rs 775 and Rs 825. On lower side the stock has support at Rs 660. The stock looks good at the moment and likely to test the resistance level of Rs 775 at leas in days to come. Short term traders and investors could keep the level of Rs 660 and stop loss for all long positions on the stock.
[05:19:52 PM] => joydeepmitra : What is your outlook on TIPS Industries and the media sector in general?
[05:20:31 PM] => HV : The stock has support at Rs 86. Keep a weekly closing stop loss of Rs 86. Overall media sectors looks buoyant.
[05:20:58 PM] => pcb7: I am holding 400 shares of DSQ Software at the average rate of Rs.75/-.Keeping in view the latest bad performance, what do I do.
[05:23:47 PM] => HV : As far as the performance is concerned, I cannot comment. If can take some risk and BUY 400 shares with a stop loss of Rs 40 then you could get out at Rs 58-Rs 60 on a pull back. But you will also need to observe the stop loss of Rs 40. Other solution is you wait for level of Rs 58-Rs 60 or above and exit pending stuck up long positions as the opportunity arises.
[05:24:34 PM] => Rana : Is there a correction on the way in tech counters?
[05:25:10 PM] => HV : Yes, We had certainly witnessed it today. The level of Rs 1450 is the higher bottom for BSE IT. A weekly close below Rs 1450 could create problematic situation for the sectors.
[05:25:31 PM] => Reddy : Can you suggest a good cement scrip?
[05:25:57 PM] => HV : ACC, GACL and India Cement.
[05:27:21 PM] => Shyam : Sir, Views on Infosys results? Will Narayana Murthy stepping down affect the company?
[05:27:31 PM] => HV : Cannot comment on it
[05:30:11 PM] => ASM : Where do you see the sensex at the end of next month?
[05:32:05 PM] => HV : The Sensex will remain range bound for some time in the range of 3100-3500. If the Sensex is able to give a weekly close above Rs 3500 then we could expect a big rally on the Sensex. In that case we could expect a pull back of the fall from 6150 to 2594. The 0.382 corrective level is placed at 3950. On immediate front, it is very important for the Sensex to maintain above 3100. Keep a weekly closing Sensex stop loss of 3100 for all long positions in the market.
[05:35:01 PM] => Hitec43 : How do you see Digital Soft?
[05:36:10 PM] => HV : On immediate front, the stock has resistance at higher levels. The stock can firm up now only on breakout and close above Rs 550. Short term traders and investors could keep the low of Rs 479 as the stop loss for all long positions, fresh or old. Resistance levels are Rs 566 and Rs 626. Exit long positions or book profits as the opportunity arises in weeks to come.
[05:37:36 PM] => Basu : Whats the outlook on Aftek Infosys?
[05:39:06 PM] => HV : Overall, the stock is bullish but has already attained its first target range of Rs 412 by attaining a high of Rs 406 recently. If the stock is available at Rs 311 and Rs 279 then BUY and invest the stock. The stock is speculative and those are quick to take vital decisions should only attempt the trades. The medium term stop loss for the stock is Rs 260. If the stock can move above the resistance range of Rs 410-Rs 430, then it a still big mover it store. So, those are high-risk traders could looks to consolidate the stock at lower level.
[05:40:20 PM] => Raghavan : Sir, Any good PSU stocks that's worth looking at?
[05:41:46 PM] => HV : BHEL, MTNL, BPCL HPCL, Hind.Zinc. Think of buying only if panics are witnessed in the market.
[05:43:25 PM] => Hari V : What if war happens? Will there be a crash?
[05:44:27 PM] => HV : The history says that when war is expect then the market falls. When the actual war begins the up move begins. If the war is not expected and suddenly the war begins overnight without the market getting adjusted to the news then the crash will be see. For.e.g, WTC incident was an incident, which nobody could have taught off. Kargil War and Gulf War. The initial pyschological preparation had already been there and when it actually started the new gets discounted. The heavy negative news typically creates a short-term opportunity for the bulls.
[05:44:51 PM] => NG 45 : Hello Sir, could you suggest some low value tech stocks?
[05:45:09 PM] => HV : India Cement.
[05:46:30 PM] => Vivek Singhania : Any good short-term buys in pharma?
[05:46:43 PM] => HV : Abbot Lab, Alembic, FDC, Sun Pharma
[05:49:12 PM] => Manu : Whats the expectation from Wipro results?
[05:51:21 PM] => HV : I am sorry, I cannot comment on the result.
[05:53:09 PM] => SS 38 : Good long-term scrips in cement?
[05:53:34 PM] => HV : GACL
[05:55:08 PM] => Myiris : The chat continue shortly...please stay tuned.
[06:00:08 PM] => Myiris : welcome back
[06:00:38 PM] => ankurmurarka : What about Onward Technologies Ltd. It has given bonus shares. What's its future. When the bonus shares will come?
[06:00:48 PM] => HV : I cannot comment on that.
[06:02:04 PM] => shekhar999: First and foremost, is it worth putting money in software cos, if so, can u recommend so low priced software scrips below Rs 100/-.Any idea of nucleus software, please comment. I`m thinking of investing in software scrips with exposure to banking/insurance.
[06:03:36 PM] => HV : To buy in software stock the timing has to be very good . Try to buy only when the market crashes. One bull run is already over and for next bull run keep BSE IT stop-loss of 1450 on weekly closing. Subsequently, exit all long positions in the tech sector, if that happens. Keep track of Aptech for a target Rs 115. Maars Software with a stop-loss of 29.
[06:04:50 PM] => Guest3 : Is there a way where we can completely get rid of scams? Is our rules tough enough?
[06:05:15 PM] => HV : I feel sorry to mention that without scams we might not see big moves in the market. To get big rally in the market, speculation is a must. For speculation for abnormal rise, huge funds are required and that no individual can have. Even positive FII figures during the year 2001 could not bring a rally. Now SEBI is doing good job and the scams will certainly be minimised in the years to come.
[06:05:42 PM] => Manohar : What is your outlook for the next six months on the equity markets?
[06:06:02 PM] => HV : An up move towards 3600 and to outer extent 3950. Subsequently a fall to test the bottom of 2594 but will not fall below it.
[06:06:38 PM] => MA 54 : Any good private sector banks that you can suggest?
[06:07:02 PM] => HV : ICICI Bank
[06:07:32 PM] => Sanjayn: Please suggest one good pick each from Pharma and FMCG?
[06:07:57 PM] => HV : FMCG- Ballrampur Chini, Bata, and Marico - for slow and steady investors.
[06:09:44 PM] => Tkumar : Which is the best looking sensex scrip? Also what's best in nifty?
[06:10:09 PM] => HV : ACC, GACL, HPCL, ITC, M&M, Reliance, Satyam , SBI, Telco, Tisco and ZEE TELE. Possibly should give 25-30% medium term returns from current levels.
[06:10:26 PM] => Shaym D : Does interest rate cuts have any bearing on markets?
[06:11:42 PM] => HV : Logically, when interest rates cut is witnessed, a fund flow in equity market is expected but in our market, the flow has been towards insurance sector of late.
[06:12:05 PM] => V. Kunal : Please suggest companies which can outperform the markets?!!
[06:12:13 PM] => HV : Media Sector, PSU stocks
[06:15:01 PM] => Vinay : What is the best bet amongst auto scrips?
[06:15:14 PM] => HV : M&M
[06:15:41 PM] => DKN : What's the outlook on IT in the short-term? Is the sector strengthening?
[06:15:58 PM] => HV : IT sector is for short-term only and take benefit of fluctuations.
[06:18:38 PM] => Neegi : Does L&T look good long-term?
[06:19:05 PM] => HV : If the stock is available at lower level then its ok. Overall the stock is good enough.
[06:24:24 PM] => Myiris : Mr .Vasudeo will be back in just a moment.......
[06:45:21 PM] => Myiris : Welcome back to chatmasala...
[06:45:31 PM] => fightraj2001: I bought 85 Ramco Systems at 318, do I book losses and put the money into some other stock that would cover my losses with in a month?
[06:45:50 PM] => HV : You could hold on to the stock.
[06:46:04 PM] => Neeta : How do you see wipro doing next week before its results on the 18th Jan.
[06:46:22 PM] => HV : The stock has support of Rs 1400 . If the stock is available at Rs 1400 before the result then buy it with a daily closing stop loss of Rs 1334.
[06:46:38 PM] => Arvind : With so many negative sentiments for second rung, does it make sense to invest in them and what do you think for there delivery capability?
[06:46:57 PM] => HV : One has to be very selective.
[06:47:08 PM] => Asim : What is the prospect of HFCL by March 2002 end?
[06:47:25 PM] => HV : BUY and Hold the stock with a stop loss of Rs 66. Expected target during the year is at least Rs 250.
[06:48:12 PM] => Arvind : What do you think about penta media and silverline with present valuations?
[06:48:46 PM] => HV : Pentamedia - Bullish till the level of Rs 44 is not violated for medium to long term position Expect target of Rs 101 and Rs 137.
[06:49:04 PM] => HV : Silverline - Bullish till the level of Rs 45 is not violated. Buy on every dips towards Rs 45. Expect target of Rs 83 and Rs 145.
[06:49:44 PM] => Ajay : What stop-loss should be maintain for long positions on nifty?
[06:50:07 PM] => HV : Medium term stop-loss is 1010.
[06:50:37 PM] => akm : What is your view on HFCL and Zee?
[06:51:13 PM] => HV : Himachal - BUY and Hold the stock with a stop loss of Rs 66. Expected target during the year is at least Rs 250.
[06:51:39 PM] => Zee Tele - Resistance at higher level range of Rs 140-Rs 160. Consolidate long position at dips towards Rs 95. The level of Rs 95 as the medium term stop-loss. Breakout above Rs 160 will take it a big bull-run.
[06:51:58 PM] => Arvind : What are the prospects of Rolta, polaris and visualsoft at current levels.
[06:54:45 PM] => HV : Polaris - Hold all long positions with a stop loss of Rs 156.
[06:55:04 PM] => Rolta - Buy only at Rs 97 or Rs 82 as the opportunity arises with a stop loss of Rs 78. Expected target at least Rs 157.
[06:55:13 PM] => Visual Soft - Hold all long positions with a stop loss of Rs 133.
[06:55:25 PM] => Ajay : What do you think will market crash on the news of army chief saying that the situation is serious?
[06:55:57 PM] => HV : That could happen, But could move up first and then fall. The Sensex level of 3100 is crucial.
[06:56:11 PM] => Lavanya : How do you foresee the market on Monday opening?
[06:56:58 PM] => HV : The market could open firmer as a result of recovery towards the close.
[06:57:11 PM] => Guest 23 : Do you think software education will bounce back?
[06:57:33 PM] => HV : Yes
[06:57:46 PM] => Bhalchadnra : Is it wise to invest in Aptech?
[06:58:06 PM] => HV : Yes
[06:58:40 PM] => Vishal : What about the kind of results expected from Polaris, Rolta and Visualsoft?
[06:59:22 PM] => HV : I cannot comment on results.
[06:59:43 PM] => Myiris : Thats the end of the chat session for today.
[07:00:23 PM] => Myiris : Thank you for your participation and we hope to meet you again on Monday.
[07:00:47 PM] => Myiris : We thank Mr. Hitendra Vasudeo for his valuable inputs.
[07:01:42 PM] => Myiris : Have a nice weekend!!
