February 27: The market is in an upbeat mood. On Friday, the values have stayed up. Now to some quick recommendations in the short time available before going to press!ACC has now broken through the Rs 1400 barrier. It would now look at Rs 1520 and even beyond that to Rs 1672. Buy Arvind Mills in the region of Rs 54-Rs 55 with a stop loss at Rs 50. At Bajaj Auto, book profit at Rs 592 and re-enter. At BHEL, book profit close to Rs 325, and re-enter. BSES could sail up further to Rs 210. If the bull frenzy continues, it could move up even to Rs 240. Watch the market for confirmatory signals and conservatives could consider booking profit. There is a cardinal principle. You must pre-set your profit targets and book it, irrespective where the scrip would finally land up. There is a merit in this argument. Conservatives should mull over this. Hold Colgate uptil Rs 265 and then review. But the short term sell signal has come on. So if you like to pinch your rupee, just do that. At GE Shipping, my lastrecommendation holds. Gujarat Ambuja may see some profit booking on the next two days; the short term sell signal has come on. Why is the frenzy of ACC not affecting Gujarat Ambuja?
Book your profit on HLL. Hold on to HPCL. No fresh buying recommended. Partial booking profit on upper reaches will be a very sensible thing to do. Hindalco could now take off. Medium term investors who have longer patience than the short term traders could get in with benefit. Book part profit on ICICI. Hold further buys; new entries could be only at Rs 85. Book profit at IDBI. Indian Hotel could move up to Rs 600. But the stride in this scrip has come as a surprise. May be punters are considering the possibilities of sop for the hotel industry post-election. Or is the acquisition syndrome spreading to the hotel industry?
Hold in suspense acquisition of IPCL. ITC is mapping into new territory. The prudent thing is to book profit on tops and have a fresh look at the scrip thereafter. At Larsen & Toubro, book part profit on Rs230-Rs 240. It can go right through to Rs 275, though. But you need to pocket your profits and stay on sensible grounds. You could always re-enter. Basically you are in a market which is heading towards frenzy. Impossible things can happen.
Depending upon your personal profile, you can play for the high stakes as well. Hold M&M. It can move up to Rs 280 and thereafter to Rs 320. May be even late entrants can make an entry here now. Try entry closer to Rs 230 -Rs 240. At MTNL target Rs 280 for booking profit.
I now state the obvious. Book profit at Nestle! Enter Reliance at Rs 158.50. Higher entries too can be done by the more adventurous. Watch out for a resistance at Rs 260 at the SBI counter. If this is cleared, it will move to Rs 280. Book profit at the Tata Chem counter at the top. Book profit at Telco and re-enter at lower level. But check the opening price. Book profit at the Tata Power counter, at above Rs 113. Hold your longs at Tisco.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
