The Professional Ticker Reader

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Mid-cap stocks of the week June 11, 2005

The Mid cap stocks listed below are Nifty 200 components - liquid, traded easily and benchmarked volatility. These are stocks that we expect to out-perform the markets. It should be remembered that many of these stocks are trading with abnormally high volumes, maybe operator driven, and have appreciated significantly. Therefore, the risk element is likely to be very high. Take limited exposure to these stocks and maintain stop losses as specified.

Individual stocks.

CESC - this scrip was recommended last week and the trade was closed prematurely but profitably. The stock is showing signs of consolidation at the current levels and should get support at the 180 levels where strong buying is set to emerge. Upsides will see resistance at the 222 levels above which, the scrip is likely to surge higher. The oscillators are pointing towards a bullish scenario and the directional indicators point towards a continued bullishness. We recommend a buy on declines for the patient and disciplined investor.

Your call of action - buy on declines to the 190 levels and average downwards to the 175 - 180 levels. Hold with a stop loss at the 162 levels. Expect to book profits at the 245 levels in the short / medium term. Over the longer term, expect higher levels.

CESC I Chambal Fert I Exide Inds I H.E.G. I Macmillan I Omax Auto I Pidilite Inds I Premier Instru I Midcap index I Top I Close window I Print page

Chambal Fert - this cement scrip is under profit taking pressure as the upsides are encountering selling pressure. The chart pattern shows a rising tops and bottoms formation and the 52 week SMA presents a solid support. The price graph is likely to swing to the monsoon forecasts and currently, the forecast is that of deficient downpour. We recommend a buy on declines for the return conscious / lower risk appetite players.

Your call of action - start buying from the 31 levels and average downwards to the 29 mark. Hold with a stop loss at the 27.50 levels and expect to book profits at the 34 mark in the short / medium term. Longer term will see higher levels.

CESC I Chambal Fert I Exide Inds I H.E.G. I Macmillan I Omax Auto I Pidilite Inds I Premier Instru I Midcap index I Top I Close window I Print page

Exide Inds - this scrip is trading in a low resistance zone as the stock is making consistent higher tops and bottoms formations. The higher relative strength of 298 vis-a-vis the Nifty ( where 100 = base ) is a sign of bullish strength. The auto ancillary sector is in a bullish phase and this scrip is well positioned to out-perform the segment due to it's dominant place in the market share. We recommend a buy for the medium / long term players.

Your call of action - start buying from the 170 levels and keep room for averaging till the 155 levels. Maintain a stop loss at the 142 mark. Expect to book profits above the 200 levels in the medium term. Long term players can expect higher levels.

CESC I Chambal Fert I Exide Inds I H.E.G. I Macmillan I Omax Auto I Pidilite Inds I Premier Instru I Midcap index I Top I Close window I Print page

H.E.G - this scrip is another market out-performer as the high relative strength of 185 vis-a-vis the Nifty ( where 100 = base ) shows. The traded volumes have been perking up of late and the oscillators are pointing towards a bullish outlook. As long as the scrip stays above the 150 mark, expect the scrip to make newer highs. We recommend a buy in small lots only.

Your call of action - buy as long as the scrip moves above the 150 mark and hold with a stop loss at the 138 levels. Expect to book profits past the 178 levels in a conducive market scenario in the short / medium term. This is a high risk trade and should be initiated in small lots only.

CESC I Chambal Fert I Exide Inds I H.E.G. I Macmillan I Omax Auto I Pidilite Inds I Premier Instru I Midcap index I Top I Close window I Print page

Macmillan Inds - This scrip is a lower volume stock that shows good strength by the virtue of it's higher tops and bottoms formation. The 30 week SMA is a strong support and the scrip is being supported by the oscillators. As long as the scrip remains above the 430 - 435 levels, expect the bullishness to continue. We recommend a buy in small lots only due to lower liquidity.

Your call of action - Buy at the 450 levels and leave room for averaging upto the 422 levels. Hold with a stop loss at the 400 levels. Expect profit taking past the 515 levels in a conducive market scenario in the medium term.

CESC I Chambal Fert I Exide Inds I H.E.G. I Macmillan I Omax Auto I Pidilite Inds I Premier Instru I Midcap index I Top I Close window I Print page

Omax Auto - This scrip was recommended by us via sms alert and was squared up at a profit. It maybe noted that the scrip has signalled a breakout above the 120 levels and that too with very high volumes. The oscillators are pointing towards a firm outlook and as long as the scrip maintains levels above the 120 mark, expect the outlook to remain firm. Note the high relative strength of 184 vis-a-vis the Nifty ( where 100 = base ). We recommend a buy.

Your call of action - Buy at the current levels and hold with a stop loss at the 110 levels. Expect to book profits at the 160 levels in the medium term.

CESC I Chambal Fert I Exide Inds I H.E.G. I Macmillan I Omax Auto I Pidilite Inds I Premier Instru I Midcap index I Top I Close window I Print page

Pidilite Inds - This scrip was recommended a few weeks ago and has performed exceedingly well. The new tops made by the scrip confirms the bullish outlook on the counter and high relative strength of 251 vis-a-vis the Nifty ( where 100 = base ) imbibes bullish confidence. The oscillators are pointing towards a positive outlook and the lower traded volumes are the only concern. Buy in small lots for the medium / long term.

Your call of action - buy at the 500 levels and keep room for averaging till the 460 levels. Maintain a stop loss at the 440 levels. Expect to book profits at the 580 + levels in the medium / long term.

CESC I Chambal Fert I Exide Inds I H.E.G. I Macmillan I Omax Auto I Pidilite Inds I Premier Instru I Midcap index I Top I Close window I Print page

Premier Instruments - this scrip was recommended at the 40 levels and achieved it's target of 60. There has been consolidation since then and the 60 mark is a critical barrier that the scrip must trade above to signal a breakout. The high relative strength of 241 vis-a-vis the Nifty ( where 100 = base ) is a confidence booster. We recommend a buy.

Your call of action - Buy at the 55 levels and average down to the 50 mark. Hold with a stop loss at the 46 levels and expect to book profits at the 72 levels in a conducive market scenario in the medium / long term.

CESC I Chambal Fert I Exide Inds I H.E.G. I Macmillan I Omax Auto I Pidilite Inds I Premier Instru I Midcap index I Top I Close window I Print page

CNX Mid-cap Index - this index was advocated by us as having resistance at the 3066 levels. The closing has been almost at that level after an intra-week high of 3098. As long as the 3066 levels remain inviolate, expect the index to surge to the 3360 levels over a quarter's time frame in a conducive market scenario.

Your call of action - This is an academic study only.

CESC I Chambal Fert I Exide Inds I H.E.G. I Macmillan I Omax Auto I Pidilite Inds I Premier Instru I Midcap index I Top I Close window I Print page

Have a profitable week.

Vijay L Bhambwani
Ceo :- Bsplindia.com

The author is a Mumbai based investment consultant and invites feedback at Vijay@BSPLindia.com and ( 022 ) 23438482 / 23400345.

SEBI disclosure :- The author has no positions in any securities mentioned above.

While all due care has been taken while in compiling the data enclosed herein, we cannot be held responsible for errors, if any, creeping in. Please consult an independent qualified investment advisor before taking investment decisions. This mail is not sent unsolicited, and only advisory in nature. We have accepted no consideration from any company mentioned above and recommend taking decisions on merits of the stocks from our viewpoint. This email is being sent to you as a paid subscriber. Please protect your interests and ours by not disclosing the contents to any un-authorised person/s