Tuesday, June 29, 2010

Powering up !!

Power stocks ruled the roast on D-Street yesterday while Oil companies continued to boost indices. US Economic data is still a dampener while
India seems to neglect the negatives.

We like the power space from the next 2 year perspective. With lot of reforms and many plants ready to commence operations Power stocks are ready to
move up big time. Reliance Power, Adani Power, India Bulls Power and Govt owned NHPC and NTPC are likely gainers in this space. We like one BSE listed
power stock and betting 400-500 pct gains in the next 3 years.

We like textile sector especially the retail space. Arvind is our dark horse here while Brandhouse started looking little expensive. Autos, Banks had their
share of the last one year rally along with IT. Consumer durables like Whirlpool moved up big time. Followers of India Bears might remember 3 years before
we recommended Whirlpool at around Rs 50 levels. Time for the next of rally but from a different space. Realty might still lag for the next 6 months or so.

Midcap space is getting hotter. We sincerely advice to check the company credentials before jumping the gun