Capital Allocation

Capital Allocation
Break capital in 20 equal portion and invest ... most simplest method to follow...

5% stops for loosers but do check chart before exiting ..( false breakdown do come to trigger stops)

Ride the winning stock and add to it Dump the squibs

Glaxo

Glaxo CMP 2490 buy for 30% upside ... 2100 stops

Orchid Chemicals

Orchid Chemicals ... keep an eye ... high flyer candidate can give 30-40% in no time ... breakout above 55 levels... use dips to buy ...
will post chart later at eod

HOVS Ltd

--> Recommended on a pvt group at 48 (disclosure)
-- CMP 69+ at UC
-- co is into BPO
-- made a base around 20-25
-- will try to test 23.8% retracement level on longer term basis..
-- given monthly breakouts ...
-- use dips to accumulate for 100+ and then higher targets...

Auro Pharma

-- Hitting new 52 weeks high
-- headed towards no res zone towards old high of 277
-- once breaks old highs opens up 500+
-- old fractals suggest a 261.8% retracement may happen opening up 600+
buy on dips for a 18-24 month time frame till 125 holds

Nucleus Software

-- breaking out in medium term time frame ( 3-5 year) above 110
-- if breaks out then headed towards 135/150
-- Made a higher low compare to 2008 low around 38+
-- will try to test retracement level of 23.8% if fall from 600 to 38
-- buy on dips...

UFlex

  UFlex Limited gives a solid breakout ... small res at 80 and then 90 may fly all the way to 115+ .. keep an eye on dips to buy

Bata India

-- ready for next upmove ..
-- headed towards 1450-1500 zone in 9-12 months time frame...
-- buy on dips candidate

First Source Ltd. ( FSL)

-- Breaking above 20+
-- in short term headed towards 26 / 27
-- if sustains above 14 may head towards 35+ in 2-3 years

Tata Motors

-- Gives a breakout from recent highs...
-- Move above 400 will take towards extended target of 431.
-- in past have retraced and fallen back from 1.50 Fibo levels..

MRF Tyres

--> breaks out from short term resistance zone ...
--> heading towards 17500-18000 and then towards 21-22k..
--> always a buy on dips for still 3-5x return towards

J K Tyre Ltd

-- structure suggests if lows of 2011 holds in next downtrend it have potential to hit 350-400 and even beyond...
-- breakout above 130-140 zone opens up room towards 200+ in coming year or two..

Escorts Ltd

- Last rally it retraced around 1.38 fibo levels..
- based on same presumption if break out above 120-125 zone will be a multi beggar for 3x returns for a target of 320-350 in coming 3-5 years

Relaxo Footwear

- breaking out above 920-930 zone will have potential to take it towards 1400-1500+ in medium term
- Low volumes in trading

Biocon

long term stock breaking out ... ^ 371 will be fire works...
Buy on dips for 2-3x returns....

Dishman Pharma

Long Term buy emerging .. buy at dips for long term

Ceat Ltd.

suggests a move to 500-600 over coming years... dips should be used to accumulate for longer term time horizon ...