'The market is technically healthy'
After many weeks, the mood in Stock Talk improved as the market turned bullish. Ramesh S Damani says the market is in an intermediate uptrend and and advises investors to buy 50 per cent quality tech stocks. Last week, he had predicted a technical recovery.
Mr Ramesh Damani (Wed May 31 19100 5:56 IST)
Hello everyone - thanks for joining. Let's start
prabhat (Wed May 31 19100 4:58 IST)
hi mr damani what is ur opinion of psi data systems at current rate of 775
Mr Ramesh Damani (Wed May 31 19100 5:56 IST)
prahbat - psi looks good.
ppkchatterjee (Wed May 31 19100 5:18 IST)
hi mr damani what do you think of the future of infotech shares both as a short term and long term investment
Mr Ramesh Damani (Wed May 31 19100 5:57 IST)
pk chaterjee - investors will have to buy infotech shares if this country is to prosper. Look for good cos with good business models. Prices are attractive again.
VIJAY (Wed May 31 19100 5:20 IST)
is this rally sustainable, where do u see the mkt headed in the short term?
VIJAY (Wed May 31 19100 5:21 IST)
what's ur view on wipro, infosys and satyam?
Mr Ramesh Damani (Wed May 31 19100 5:58 IST)
Vijay - market is technically healthy. We could test 4800. I like Infy, SSI and Visual among the IT shares
VIJAY (Wed May 31 19100 5:30 IST)
what was the sebi guideline on albm short sales that came out today is that also like margin imposed on the bse for naked short sale?
Mr Ramesh Damani (Wed May 31 19100 5:59 IST)
vijay - i have not seen the guidelines
Mr Ramesh Damani (Wed May 31 19100 5:59 IST)
vijay - i think it is a poor idea to ban sellers from getting badla. It will lead to market distortions.
Ashok Agarwal (Wed May 31 19100 5:35 IST)
Hi Mr Ramesh Damani, do you have any idea about takeover of Iridium. i heard zee has invested money along with Bill Gates and two other persons. is it true, and if yes, what will the impact on zee's stock. do you think this price 520 is justified as on date.
Mr Ramesh Damani (Wed May 31 19100 6:0 IST)
ashok - to my knowledge iridium has gone bust. VSNL had invested in it not zee. Zee does not look good anyway at over 500 to me
Manish Agarwal (Wed May 31 19100 5:37 IST)
Hello, Mr Damani, The rate of a dollar at the time of Mr Rajiv Gandhi was Rs 25. Now, the rate is a whooping Rs 45+/-. What do you have to say on this?
Mr Ramesh Damani (Wed May 31 19100 6:2 IST)
Manish - i agree that we need a strong rupee. Software should compete on value not rupee depreciation. Unfortunately the politicians always take the easy way out.
amit (Wed May 31 19100 5:40 IST)
what was the sensex at that time and software stocks at that time, manish. think about that, the answer is there...
Mr Ramesh Damani (Wed May 31 19100 6:3 IST)
amit - look at indonesia and thailand. If you depreciate your currency too much FIIs will leave. It is good only in the short run because your stocks become cheaper to FIIs.
diplomatindia (Wed May 31 19100 6:2 IST)
Can you tell me the right price to sell the following stocks: Infosys, Satyam, Reliance Capital
Mr Ramesh Damani (Wed May 31 19100 6:3 IST)
diplomatindia - you need a fortuneteller/astrologer.
shriprakash (Wed May 31 19100 6:2 IST)
Indo Gulf, Grasim & Indian Rayon have substantial investment in Birla AT&T shares. Birla AT&T, AT&T and Tata Com. are merging. What will be the affect of merger in above three Birla companies shares ?
Mr Ramesh Damani (Wed May 31 19100 6:4 IST)
shriprakash - I have not studied it. What's your view ?
diplomatindia (Wed May 31 19100 6:1 IST)
Hello, sir. I have just booked Apollo Tyres @ 111 today do you think the company shares have a good prospect?
Mr Ramesh Damani (Wed May 31 19100 6:5 IST)
diplomat - I dont like the tyre industry. Look at the valuation of Goodyear. It might be a good trading bet though.
diplomatindia (Wed May 31 19100 6:4 IST)
Do you think the markets would reach 6000 levels again
Mr Ramesh Damani (Wed May 31 19100 6:6 IST)
diplomatindia - unlikely in the short term
Rinku (Wed May 31 19100 6:5 IST)
please tell me your opinion about Rolta India
Mr Ramesh Damani (Wed May 31 19100 6:7 IST)
rinku - i am not inclined to buy Rolta.
shriprakash (Wed May 31 19100 6:6 IST)
How much do you expect the share price of SSI in present rally?
Mr Ramesh Damani (Wed May 31 19100 6:7 IST)
shriprakash - it should rise with the index. If the company can deliver growth, it's a good long term bet.
Rinku (Wed May 31 19100 6:8 IST)
how far do you think the ICE stocks will go from here in terms of % in about 6-8 months?
Mr Ramesh Damani (Wed May 31 19100 6:10 IST)
rinku - they will perform but buy the quality cos. A lot of bad stocks squander around as ICE.
diplomatindia (Wed May 31 19100 6:9 IST)
Do you think that removing circuit filters is a good thing for our stocks? Would the markets accept it positively
Mr Ramesh Damani (Wed May 31 19100 6:11 IST)
diplomatindia- we need to remove circuit filters for A group. Keep them for B group.
deepa (Wed May 31 19100 6:11 IST)
hello mr damani can u tell me if indogulf corpn will touch 65. i have 4000+ at rs 65. also your comments on agrevo india
Mr Ramesh Damani (Wed May 31 19100 6:12 IST)
deepa - Agrevo looks good particularly if we have a good monsoon. Indo Gulf is a long term hold.
Umesh (Wed May 31 19100 6:13 IST)
Hi Ramesh is this the right time to buy?
Mr Ramesh Damani (Wed May 31 19100 6:14 IST)
Umesh - sure but buy 50% technology.
Rinku (Wed May 31 19100 6:12 IST)
Sir you've been recomending Bharat Electronics since months but the counter has not shown any interesting gains since.Please comment
Mr Ramesh Damani (Wed May 31 19100 6:13 IST)
Rinku it hit 80 today and slid back to 73-74. It's a great company. Market needs to find it.
deepa (Wed May 31 19100 6:13 IST)
pl suggest the potential of bhel, gail, consolidated coffee and amara raja batteries
Mr Ramesh Damani (Wed May 31 19100 6:15 IST)
deepa-bhel, gail - good value buy. Bhel - good if disinvested. amara raja batteries - keep. conscoffee - not sure.
Umesh (Wed May 31 19100 6:15 IST)
like infosys and satyam? or any specific script that you suggest?
Mr Ramesh Damani (Wed May 31 19100 6:16 IST)
umesh - the big three in tech are Infy, Visual, SSI. In this rally, buy A group shares.
deepa (Wed May 31 19100 6:16 IST)
pl tell me if there is potential for agrevo to touch 600 as before as i have bought at these rates due to some recommendation
Mr Ramesh Damani (Wed May 31 19100 6:17 IST)
deepa - i think you will see those prices. It's a good company.
Umesh (Wed May 31 19100 6:16 IST)
Ramesh has the market bottomed out?
Mr Ramesh Damani (Wed May 31 19100 6:17 IST)
Umesh - we are in an intermediate uptrend. The bottom of 3850 should hold for some time.
diplomatindia (Wed May 31 19100 6:17 IST)
If the Nasdaq dips today do you think it will hit our markets as well.
Mr Ramesh Damani (Wed May 31 19100 6:18 IST)
diplomatindia- NASDAQ could have some profit taking. But an 8% up move after a 40% fall will lead to higher levels.
Umesh (Wed May 31 19100 6:18 IST)
Do you think Indian Rayon a good buy at current level? I see lot of consolodation has taken place at around Rs 50/- Any chance of appreciation there?
Mr Ramesh Damani (Wed May 31 19100 6:19 IST)
Umesh - I am not a great fan of Indian Rayon. Why do you like it?
deepa (Wed May 31 19100 6:19 IST)
also pl tell me if u r available every wed and upto what time
Mr Ramesh Damani (Wed May 31 19100 6:22 IST)
deepa - into the indefinite future i think. Every wed at 6.30 I think they should give me a hoarding on Haji Ali though. If you agree e-mail them!!!!!
deepa (Wed May 31 19100 6:20 IST)
do u feel the market will cross 5500+ by this yr end and will be same as end of 1999 and beginning of 2000
Mr Ramesh Damani (Wed May 31 19100 6:22 IST)
deepa - a month at a time. It should touch 4800. We will see then.
Mr Ramesh Damani (Wed May 31 19100 6:24 IST)
thanks for joining in. See you next Wed. Have a prosperous week ahead. Thanks
Money
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