i Develop Stocks Advisory

No life without troubles Why did RPL not moving ahead when all other stocks have moved faster….? When I was recommending RPL Street was busy shorting it on the pretext of forex losses. Now street is long with vallan end target of Rs 225 plus. I think RPL stock will correct first to Rs 174 levels once the correction starts on Tuesday for rollover where stop losses will trigger and the stock will start its normal march in May. In any case the deadline of commercial production is now indirectly confirmed by RIL gr when they announced the 90% project completion. July 6 should the date fo commercial production which means ideally RPL will reward shareholders only in July and Aug in a big way. The thumb rule of speculation never changes whether it is a long call or short call. The fundamental story needs to be checked before you enter on either side. Orchid was rising with Ranbaxy buying all round till 14.95% now what…? Short sellers stop loss already triggered as usual and Orchid corrected by 30% from the top to close at day’s low. With every fall, traders have tried to enter this stock which has now become a very weak link. It is for certain that no more buying will come from the aforesaid gr and now media too will stop writing about this stock the fear factor of short sellers gone. Stock set to correct vertically and even a price below Rs 200 not ruled out now. There was a rumour that the open offer from Solrex will come soon at Rs 220 levels though I am inclined believe any such rumour. In my opinion, there will not be any offer for the reason explained earlier. Satta has broken and stock will correct heavily with huge volatility. Cni team timed the short call also as they always do with long call. Whether it was Bombay Dyeing, RPL, Reliance or Orchind our conviction was unchanged. Market will not correct too much expect for the rollover issue as only 4 days are left and RIL result will provide the opportunity of correction. In fact, today even with 350 points rally RIL was weak as somebody was hammering the counter. It is always our policies neither generates a call on result day nor advise our members to trade ahead of result. We think RIL will beat street analyst’s projection a wild margins. We know the nos but we can’t speak here. Yet there are chances that RIL stock might correct. We produced a sterling call like Gremach Infratech which has now become the darling of the Street. Then we produced HMT which fired. I think very shortly co will announce sell of its 300 acre land Bangalore which could HMT stock to Rs 500 very easily. After Bombay Dyeing run with the exact news flow do not take I Develop’s core intelligence unit lightly. When they say HMT will announce it means HMT will announce timing is the only matter which is not in our control. As such I Develop is always ahead of times. Yesterday I had written about STL Global the stock was on fire with 20% upper circuit. The said stock has recovered 40% in just 2 days and could rise another 50% from hereon in straight sessions. This is the kind of following you can see only at I Develop. Once again this has proved that the return in B gr is enormous. I had recommended Bajaj Steel in this column at Rs 90 cmp is Rs 149. Just keep watch on this scrip. Though we have vested interest in the scrip we certainly believe that the potential of the co is worth Rs 1000 due to unlocked value in land of Rs 150 odd crores and intrisic value of Rs 375 for its core business. Anybody want to buy the report of this co may send their enquiry to Cni. Now the next stock which could be a block buster in 2008 is Anil Special Steel. Again we have vested interest in the stock and the report is for sell. This stock was actively covered by us at Rs 17 which then went to Rs 60 with huge volumes where all smart FII connected investors had entered. Post crash promoters allotted themselves warrants at Rs 30 though current market price is Rs 21. The investors who had cornered huge chuck earlier have target of Rs 200 in this co. One of the reason is that co is having huge land of Rs 100 odd crores at Jaipure. Minda we were expecting some correction but it seems some strong hands have entered Minda Industries. Even Minda is a stock where we have vested interest. What we know about Minda is that its E V is Rs 1600 crs whereas the market cap is just Rs 230 crs which not reflection it’s E V. We have Minda report on sell. One more stock requires special mention which is under active coverage of Cni and hit 20% upper circuit with very thin volume is I G Petrochemicals. We have seen this stock rise from Rs 17 (where we first initiated buy call) went on to Rs 107. Placement of almost 15% was made to dashing fund at Rs 78 the details are there on the BSE website. Stock corrected to Rs 34 that was March mania and immediately back to Rs 62. Even if you buy this stock till upper circuit I e Rs 74 still it will below the investor’s price making a strong investment decision. However the way the stock hit upper circuit it indicates that co may announce something big in couple of days which could allow the price to move past Rs 107 its earlier top. Smart investor must latch this opportunity to grab this value stock. On E V the stock is fairly priced at Rs 276 plus. Coming back to economy related issues it is certain that inflation will fall further next week because it takes at least 2 weeks for reflection the prices have started falling last week. Monsoon is 99% normal. RBI will raise interest rate. CRR hike is okey in give set of circumstances. J P reported good profit which means bad is coming to bottom in US. Tomorrow Citi too will announce better than expected results. Monday RIL will please analysts for sure. So also each and every corporate will do. The impact of rising cost will come in next quarter if the prices do not fall which means this quarter is well on course. Bears full throttled with short whereas large retail still search value in A gr which is already over owned. Only stocks like Orchid, Bombay Dyeing where selling can’t come in a big way will lead the show to begin with. The issue on hand is that brokers have stopped funding to B gr shares which is not allowing HNI to go a big way. At the same time the India’s most of the large MF’s have increased their exposure to mid cap. Small cap are as such virgin territory where Fund selling is not expected. Therefore B gr would be the segment where I would stick my neck. It is sooner you understand this. Nobody, as long as he moves about among the chaotic currents of life, is without trouble.