Newbie portfolio and investing style inputs

Hi guys,

I have recently started investing directly in equity and majority of the portfolio is built off the conviction from Valuepickr discussions. I have put up my portfolio for your review and suggestions:

CERA 21%
HDFC Bank 21%
KSCL 20%
Unichem 15%
Gruh 11%
GIC Housing 6%
Monsanto 4%
Symphony 3%

Being a newbie with a rather smallish portfolio, I havent really conquered my impatience just as yet. I am just starting off with investment intuition, and wanted to know from the seniors on their investing styles at the start of the building their portfolios.

* Buy and Hold vs. Rotation: Currently, as the portfolio size is small, the returns on the time/effort for even passive strategy (buy and hold, and then trying to time the buy) is quite small. At the same time, an active management (rotation between 6-7 stocks) will probably mean very high transaction costs.

* Rotation between stocks: how do we time the rotations between the selected list of stocks? Do folks here rely on technical signals to sell and buy a stock? The reasoning here is that not all stocks will rise/fall at the same time, is there a way to time the gains within an already concentrated stocklist?

* When to sell?: What are the typical thresholds that seniors rely on for making these decisions? What are the typical costs (or thresholds) associated with selling a stock and then rebuying it at a lower price?

* Target returns: For an SIP-driven (here SIP means monthly investments on salary, not pure SIP) portfolio, what are the typical returns one should expect from an equity portfolio? Is 10% excess return over the market a good target?

* Capital allocation for SIP-driven strategy: How should one allocate the monthly capital that one gets from a salary. Do we distribute it across stocks equally, or buy a few opportunistically based on target weights, or keep cash in hand for relatively larger bulk buys?