Markets breached nearest supports on weak quarterly earnings and weakened Rupee.
After a choppy session markets declined for the second consecutive session due to weakness in index heavy weights, weak Q4 earnings of companies and depreciating rupee too affected the market sentiments. Indices slipped approx 1% and Nifty settled below the important technical support in 8350 at 8339 down around 0.4%
HEADLINES FOR THE DAY:
- BHEL beats the street expectations as its net profit down 52% to Rs 888.4 cr. (YoY).
- Dish TV posted strong Q4 results, beating expectations, Net profit at Rs 35 cr.
- Adani Enterprises hit record highs as Co. Fixed 4 June as record date for purchase of scheme management and demerger.
- Corporation Bank cuts Base Rate to 10% from 10.25% with effect from 1 June,2015.
- Canara Bank hit fresh 52 week low after weakened Q4; NPA increased to 3.89% in March quarter 2015 from 2.49% in March quarter 2014.
KEY STOCKS FOR THE DAY:
- Chennai Petroleum Corporation (CPCL) hit 52 week high after reports that IOC may invest Rs.1000 cr in it.
- Office automation company Ricoh India net profit stood at Rs 41.5 cr.(3 times YoY).
- VA Tech Wabag slipped due to muted Q4 nos as net profit fell by 1.3%.
- OnMobile gained around 4% after Block deal (34.7 lakh shares traded in a single block).
- VRL Logistics tested all time highs post strong Q4 results; Standalone Net Profit at Rs. 16.34 Cr.
- Gujarat NRE Coke reported net loss of Rs 82.79 cr in Quarter ending march 2015.
- Lambodhara Textiles zoomed approx 200% in last one month. (From Rs 154 to Rs 449).
- Essar Oil reported a 46% drop in net profit for March Quarter 2015; Net profit of 546 cr vs 1008 cr (YOY).
- Suven Life Sciences dragged as its Q4profit dipped 47.71% to Rs 16.94 cr.
- IFCI net profit declined 29.8% as per rise in expenses and provisions.
- PNC Infratech listed with premium of over 2% against issue price of Rs 378/share.
- ONGC fell 2% after ONGC Videsh (an unlisted overseas arm of ONGC) reported that its net profit slumped 57%.
- ITC was in the red zone for second consecutive day after weak earnings so reported on Friday.
- Tata Motors lost 1.25% ahead of its Quarterly results released to be later in the day.
SOME STOCKS FOR NEXT TRADING SESSION:
- LICHSGFIN EQ closed around its important support on daily charts which is expected to break. Sell below 401 for targets of 397/393/388 with SL of 405.10.
- ZEEL EQ is consolidating around the immediate resistance levels, which is expected to give a positive breakout above it. Buy above 323.50 targets 326.75/330/334 SL 320.
- European markets washed off initial gains on fears over Spanish and Greek concerns with CAC, DAX and FTSE down around 0.5% each.
- US Markets were on lower side ahead of raft of data and Fed Reserve indications that interest rates could be increased this year.
- Nikkie traded up for the eight days amid low volumes; Composite gained 2% and Hang Seng up 0.9%.
NEWS TO WATCH OUT:
- Watch out for the Quarterly numbers of Aban Offshore, Bata India, GAIL, Godrej Industries, Jindalsteel, Reliance Infra, Tata Chemicals, Tata Communications, TTK Prestige on Wednesday i.e. on 27th May 2015.
What are Stock and Tips for investing in it?
Most of times every company needs to develop their financial states, whether to open up a sales office, build an industrial unit, or appoint a crop of employee these are the expenses for making an industry. In every situation, the company has two options: 1) Borrow the wealth, or 2) increase it from traders by selling them with a stake in the company. Once you own a share of stock of the company, then you have ownership of the particular in the company with a claim on each asset and each penny in profits. A single stock buyer may be assumed like owners, and as traders have shares accordingly they have equal rights.
However, it’s that ownership organization that gives a stock with its value. When stockowners didn’t obtain claim on profits, then stock documentation would be significance no more than the document they’re printed on. When a company’s profits increase, investors are prepared to compensate more for the stock.
Generally, stocks have been solid investments over time. That is, as the financial system has grown-up, so too have company income, and so have stock values. Since 1926, the normal big stock has provided profits close to 10% a year. If you want to save for retirement, that’s a better idea than the savings bonds.
As any stock traders are familiar with prolonged bear markets are able to destroy a portfolio. Bull markets ultimately follow these declines; however again, the term “eventually” provides small provisions in the middle of the downdraft.
Investing in stocks with expert Stock Tips may be assumed as a long term or short term investment. Most of times long term trade provides benefit as mutual funds. In long term investment, risk is less than the short term investment or Intraday trading. Here below some queries with answers related to stock, which help you to understand the stock.
1. Stocks aren’t just portion of the paper.
The basic meaning of share is part of a company’s assets. When you purchase a stock, you are receiving a stock of ownership in a particular company. Cooperatively, the resources of the company are owned by all the stockholders, and every share shows a claim on resources and remuneration.
2. How different types of stocks are available.
The most frequent ways to split the market are by company dimension that means market capitalization of that company, division, and category of growth patterns. Companies are divided on my criteria such as large-cap, energy, technology stocks, or growth and stock value etc.
3. Stock prices, track profits.
The nature of the market depends upon zeal, panic, report and information. Over the long period trading, it is generally company profits that calculate whether a stock’s value will go positive or negative during the time period. There are many trading techniques by which traders not only secure their investment, but also increase their profits such as Stop loss, Option trading with Option Tips.
4. Stocks are your finest source for receiving a huge return over and beyond the pace of price rises.
On last market inflation, there were many ups and downs in the market; the standard big stock has provided return close to 10-15% a year on well ahead of inflation and the real estate and other savings vehicles. As a product, stocks are the greatest way to accumulate money for long-period objective like retirement.
5. A single stock is not the market.
An excellent stock can go positive even if the market is going downward, while a stinker can go down even when the market is booming.
6. A great track record will not guarantee strong performance in the future.
A stock price depends on projection of future profits. A good track record divination well, but still the best companies may slip.
7. You can’t inform how costly a stock is by its price appearance.
As a stock’s price depends on profits, a $50 stock can be low-priced if the company’s profits prospects are high sufficient, on the other hand a $2 stock can be costly if potential of profits is weak.
8. Traders evaluate stock prices to other aspect.
Traders should have a sense to analyze stock, which stock is above- or undervalued, traders need to compare its price value to revenue, profits, cash stream, and other essential criteria. Evaluate a company’s progress prospect; a firm operating in lowest the growth company is evaluated in a different way than those who’s devoted is more robust.
9. A smart portfolio made for long-term growth.
As a common rule, it’s finest to hold shares of various different companies. That way, if one region of the financial system goes downward, then you have something tool to get back on.
10. It is a good technique to purchase and hold good stocks than to include in rapid-fire trading.
The charge of trading has gone down significantly; it is simple to get commissions about $10 for a trade, but many other expenses to trading, in which markups by brokers and advanced taxes for short-period trades. An expert trader sells their stock on appropriate time in a long term trading or index trading with superior index tips such as Nifty Tips. Active trading needs paying close awareness to stock-price fluctuations.