good call on monesto… I didn’t buy it because i was just studying the technicals.
1). Was this in response to the GM might be approved by Moily… or in technicals we don’t bother about the news… it was showing the pattern so we buy it… all the news is reflected in the price. ( that is what i learnt first thing when reading about the technical )
2). What do you do know ? Sell because target is achieved. I think a person following a strict technical trading would sell it. A person taking a mixed approach might like to wait on how GM things gets played out… Is it good to combine technical and fundamental during such time…
One more query… do you have set of stock which you keep on looking for patterns… or do you have a alert set which indicate a particular stock is near resistance/support and once the alert gets triggered… you start analysis.
Hi Hitesh, Congrats on spotting the pattern right on time. Do you still reccommend holding FDC and JB chemicals after this run up? Which amongst JB, FDC, Polymed and Shilpa looks better at this juncture?
pankaj… I dont have any alerts in software for spotting any patterns… monsanto was brought to my notice by manish vachhani.
And regarding monsanto, yes I sold out of the stock today. Pattern targets achieved and fundamentally most of the juice might be out… In same space I would prefer kaveri based on fundamentals.
Rohit Ojha,… Among the stocks mentioned, based on fundamentals, I would prefer polymed followed by jb chem…Shilpa is an unknown quantity for me… very little is known to take a definite call.
the run up in various small and midcaps stocks reminds me of similar run up in small and mid caps in late 2007 … at that time the only difference was that poor quality stocks dominated the run up… But this time, high quality stocks are running up but to me it seems even in these run up is being overdone… For me its time to exercise caution… Mainly because of two big reasons markets are likely to encounter…
1). Fed tapering and end of easy liquidity…
2). Indian elections round the corner… There is bound to be some nervousness as elections come nearer and all kinds of opinion polls come up with varous kinds of likely outcomes…
However, not able to find many stocks where I wanna book profits. For some (like Symphony, Canfin, Kaveri, Poly, Repco etc), I am positive for next 2-3 yrs. For some like JB Chem, I expect good Dec numbers.
So, not finding many options to sell.
Can you please share which all stocks are you planning to reduce??
One gets possessive about one’s stocks esp winning stocks… Its difficult to let go of your winning stocks once u have made a pile of money from them. And thats what the investing greats advise.
Coming to which stocks to sell, if at all you decide to sell considering any sharp corrections, if u are not able to decide then it makes sense to sell most of them in equal proportions.
If we see a sharpish corrections most of the stocks will correct definitely…
Try considering things in an inverse way… Which stocks would you buy at current market price? Those that you own and are not ready to buy at cmp, merit some selling.
Also i was also checking this chart… my interpretation was that around 2222 was a resistance level which is about to be broken… it has broken that now… so next target will be 2400+… is that correct way of reading it. Sorry if i am troubling you…
Sorry… i think i didn’t put it correctly. I didn’t doubt your 2800 target… i understood and also learnt from your comments that the target is based on the depth of the cup.
I was checking hawkins chart from last three four days and was observing this as resistance. On friday it crossed that resistance… so was eagerly waiting on how it plays out… from that point of view i was just checking. I am yet to read on the patterns… but had a great learning from your posts on flag… and cup and handle pattern.
biocon price move didnt surprise me. But on fundamental front I dont feel too much changes. price wise it might have made a short term top and might consolidate some more before another big move.
I currently have Biocon (30% Appreciation), FDC (14% Appreciation) and JB Chem(10% Appreciation). I would like to consolidate this to one or two of the above. So from one year perspective which will be your preferred picks based on current price?
the technicals.
