panch-tattva talk…china makes most cars

Friends,

China has replaced USA as the top car maker of the world. As many as 6.1 million units of vehicles were sold in first six month of 2009. 15.2pc more automobiles were produced in first half.

Not to be left behind, India’s deepest port ‘Gangavaram’ in Vishakhapatnam has become operational and it has capacity to handle bulk cargo vessels of 200000 dwt which have been skipping India thus far.

SEBI has ruled out intrusion in market to check volatility, it should however study the matter in terms of what causes the volatility which is no intervention.

Let’s have a look at the sectoral indices and pay attention as to what’s in store for them:

BSE-Auto is up 28pc over the year, I think this sector should be less preferred for investment and only one or two most promising ones may be kept.

BSE-Bankex is up 19pc over the year and here I would say increasing the weightage would not be bad idea but who raise it should be alert and book profits quickly on the raised part of investment.

BSE-FMCG is up 18pc and may be regularly added to portfolio as this has more potential.

BSE-IT sector is down 24pc and you should have a diversified portfolio in this sector because the performer will more than cover the loss ,if any, in others.

BSE-Realty is down 42pc and here is an oppportunity of making speculative gains without too much of risk, so go ahead and pick the leading stocks.

BSE-Metal is down 22pc and this one sector should be completely divested as the the risk reward ratio does not seem to be favourable.

The times today call for active participation in market rather than just sit with fingures crossed. This is a junkture to reshuffle portfolios and book quick gains partly because the manipulators are active and why should you not many money at their cost and buy cheaper at their cost. The only trcik here is to know where the manipulation is on the upside and where it is on the down side. You may rest assured that the panch-tattva based result analysis does it for you and hence keep an eye on the relevent posts and do accordingly but with speed.

I may remind you to participate in ‘nifty contest’ for 14th July (refer to post late last week).

HariOm,
krsnaKhandelwal