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Can anybody guide me

Discussion in 'Technical Analysis' started by saju_abraham, Jan 6, 2013.

  1. saju_abraham

    saju_abraham New Member

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    Dear Shabbir,

    I have read your book, its worth reading and very good to learn from your experiences of investing. I have selected 4 stocks for any investment of next 5 years and invested equal amounts in that.
    1. NHPC @ 18.40 reason for investment low value(below ipo price) + strong fundamentals + Zero debt company and huge gross margin due zero value on raw materials.
    2. United Phorphorus @ 122 reason is aggressive buying by promoters + improving financials.
    3. Care Ratings @ 750 and buying on dips reason for buying is due to good gp margin and less compititors.

    I have a doubt on my assumptions. Kindly advise if i have chosen right stocks and can hold on without looking back for another 5 years. Actually i am confused with LT finance and united phosphorus. Kindly advice.

    Thanks & Regards,
    Saju Abraham
     
    saju_abraham, Jan 6, 2013
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  2. shabbir

    shabbir Administrator Staff Member

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    Saju, you have posted this query under technical analysis sub forum but your queries are mostly fundamentals but still I will try to answer them in mixed of both fundamentals and technicals.

    Your investment time is 5 years and so I will take that into consideration as well.

    Perfect levels technically as well as fundamentally for this stock where you entered into this stock but then I would keep a good stop loss of 20 for this stock and ride on the profits.

    Fundamentally the sales of this stock has gone from 2,570.36 to 5,654.69 which is ideal for fundamentally good company.

    Technically there is a good breakout for this stock above 130-135 and 120 is a good support as well and so yet again perfect entry for you.

    The sales turn over has doubled in last 5 years suggesting fundamentally good stock.

    very new stock and so I would not be the first one to be buying into this stock for such an elongated investment horizon.

    I hope it helps.
     
    shabbir, Jan 6, 2013
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  3. saju_abraham

    saju_abraham New Member

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    Thanks dear shabir.
     
    saju_abraham, Jan 6, 2013
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  4. shabbir

    shabbir Administrator Staff Member

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    The pleasure is all mine.
     
    shabbir, Jan 6, 2013
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