Category: Your Money

Analysis: SIEMENS

Abhishek February 27, 2013February 27, 2013

Today’s pick is SIEMENS [stockquote]SIEMENS[/stockquote]. The stock saw a double top at the beginning of the year, to start its descent to Rs. 650 levels. It then was range bound between Rs. 650 – Rs. 750 for June to January. In January it saw a bearish breakout of the range, and has since been headed south. In the last three months, the stock moved -22% vs. -2% of the Nifty’s.

Oscillator RSI and CMO are deep into over-sold territory. The stock is trading in the lower edge of a very broad Bollinger band.

The MACD line and signal line are moving parallel to each other without giving any directional bias. Also, Long-term and short-term GMMA lines are currently inverted and expanding giving a bearish bias for the stock.

SIEMENS’s average correlation with the Nifty is 0.58 which is positive and strong. The scrip will be replicating movement of Nifty. [stockquote]NIFTYBEES[/stockquote]

SIEMENS has a historical volatility in the range of 0.2 to 0.5. The scrip’s volatility is currently in the lower end of the range.

Given these technicals, we suggest a short-term Buy and a long-term Sell. However, as the scrip is deep in over-sold territory, I suspect that a move back is in waiting for the short-term.

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Categories Your Money Tags SIEMENS, technical analysis

Analysis: BAJAJHLDNG

Abhishek February 26, 2013February 26, 2013

Today’s pick is BAJAJHLDNG [stockquote]BAJAJHLDNG[/stockquote]. The stock hurried to to Rs. 800 point in 15 days at the start of the year. It then hovered around the level until September before a bullish breakout of the range. Since then the stock has been on an up-trend and saw its 52 week high of Rs. 1050 in January. In the last three months, the stock has moved +10% vs. a flat Nifty.

Oscillator RSI and CMO are in no man’s land. The stock is trading in the middle of a very narrow Bollinger band not giving any short-term directional bias. Short-term technicals saw a 4×9 bullish cross-over.

The MACD line and signal line are moving very close to each other without giving any directional bias. Also, Long-term and short-term GMMA lines can be seen contracting, unable to give any direction to the stock. The stock is again moving in a range.

BAJAJHLDNG’s average correlation with the Nifty is -0.01 which is negative. The scrip will not be replicating movement of Nifty. [stockquote]NIFTYBEES[/stockquote]

BAJAJHLDNG has a historical volatility in the range of 0.2 to 1.0. The scrip’s volatility is currently in the lower end of the range.

Given these technicals, we suggest a short-term Sell. A long-term buy would be a good idea given the trend-line in place. However, It is suggested to have broad trailing stop-losses to capture the upside in case sudden trend-reversal were to take place.

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Categories Your Money Tags BAJAJHLDNG, technical analysis

Live Portfolio trades for Feb/25

Abhishek February 25, 2013February 25, 2013

Sold SAIL [stockquote]SAIL[/stockquote] due to trailing stop loss. The whole portfolio is currently in Red.

Also, there is a stop loss order for BRIGADE and GEOMETRIC at Rs. 75.00 and Rs. 100.00 respectively.

Lets see what the coming days have in store for the portfolio.

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Categories Your Money Tags live portfolio

Analysis: TATACOMM (TCL)

Abhishek February 25, 2013February 25, 2013

Today’s pick is TATACOMM [stockquote]TATACOMM[/stockquote]. The stock has been range-bound between Rs. 220 and Rs. 260 for most part of the year. There is a secondary support at Rs. 200 levels. The stock is again headed towards the lower end of the range. In the last three months, the stock has moved -4.1% vs. a flat Nifty.

Oscillator RSI and CMO are in no man’s land. The stock is trading in the middle of Bollinger band not giving any short-term directional bias. Short-term technicals saw a 9×18 bullish cross-over.

TATACOMM’s average correlation with the Nifty is -0.11 which is negative. The scrip will not be replicating movement of Nifty. [stockquote]NIFTYBEES[/stockquote]

TATACOMM has a historical volatility in the range of 0.4 to 1.2. The scrip’s volatility is currently in the lower end of the range.

Analysts continue to have an underperform rating for the stock.

Given these technicals, we suggest a short-term hold. For the long-term a call can be taken once this Rs. 220 – Rs. 260 range is broken in either direction. However trailing stop-losses will be of help in case sudden trend-reversal were to take place.