Thursday, March 11, 2010

Trade Stock Specific,Midcaps on hot seat

Indian markets might open flat on global cues on Thursday morning, after coming off from highs of the day yesterday. Expect the benchmark index or Sensex to trade in range bound today. Midcap space is getting heated up. Although we have not seen a broad based move in Midcaps. There is very hight interest in select stocks.

Oil & Gas and FMCG stocks led the gainers yesterday with help from gains in ITC, ACC Ltd and Reliance Ind. While Technology, Banking and Realty stocks took a breather. The new listing Texmo pipes surged more than 54 percent on its first day and finished at Rs 138.60. We might see amove of another 10 bucks are so in this stock. We advice investors to stay away from this stock, as the company is overvalued at current levels, while traders can try their hand from an intraday perspective.

Our Pick (recommended to our subscribers at Rs 60) Man Ind vaulted more than 15 percent to finish at rs 77. The scrip might face some profit booking. Speculative stocks like Crew Bos and Global Vectra were very active in yesterday's dealings and it is not bad idea to keep distance from these scrips.Zylog Systems is one stock that stood out after upbeat comments from the CEO on acquistion in Canada. The stock spurted by 14 percent on huge volumes.

After Man Ind, we have come up with pick in Renewable Energy space that might give returns of more than 20 percent in the coming week. We like Nagarjuna Fert, IFCI and Hanung Toys from a 5-7 day perspective. Overall a good day for the bulls for especially the second and third rung stocks