PIDILITE (CMP : 157)

RECOMMENDATION - BUY AT CMP

TARGET - 188 , TIME -2 MONTHS

=>The stock had been trading in a sideways trading range after topping out in Oct 2010. This time based correction has ensured that enough steam has been built for propelling it to much higher levels.

=>A breakout of this range occurred a few days back. Since then the stock has witnessed a sedate pullback with declining volumes. - Classical Textbook Stuff !!

=> The false breakdown in February (No follow through sell off after breaking of a significant support) is another reason for the likely strength for the stock - Since most of the weak hands have been flushed out.

=> The figure above shows a higher top and higher bottom formation and the resultant trendline. Since the support from this trendline is very close by, the margin of safety on the long trade increases immensely.

NOTE THE COLOUR CODING ON THE STOCK - AUTOMATED TRADING SYSTEM - where blue means buy and red means sell - The colour on the bars is blue supporting our bullish case for the stock.

The system works for all stocks and gives decent signals - Moreover its adds objectivity to the decision making process. If you need the automated reading on any of your stocks, plz feel free to drop in a comment and we would tell the system reading on the stock .

The positive view stands intact as long as the stock trades above 146 on a closing basis. Below this level, the  upward sloping trendline would be breached and hence the perceived bullishness may not fructify.

Disclaimer : The recommendations mentioned herein are for educational purpose only. One should not take buy/sell decisions based on the above analysis which is prone to errors. The author does not undertake any liability whatsoever arising out of profits/losses accruing from using the above analysis.

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TIMKEN (CMP:207)

RECOMMENDATION - BUY AT CMP

TARGET - 258 , TIME -2 MONTHS

=>The stock experienced a sideways correction from Oct 2010 to March 2011. Post this lackluster move, the stock has shown signs of positive activity by breaking out to new highs with good volumes.
=>Post the breakout, the stock has been languishing and trying to digest the swift upmove in mid April. Tapering of volumes during this resting stage is a distinct positive and hints at the impending upside surge very soon.

The positive view stands intact as long as the stock trades above 180 on a closing basis. Below this level, the perceived bullishness may not fructify.

Disclaimer : The recommendations mentioned herein are for educational purpose only. One should not take buy/sell decisions based on the above analysis which is prone to errors. The author does not undertake any liability whatsoever arising out of profits/losses accruing from using the above analysis.

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CAMLIN (CMP: 70.50)

RECOMMENDATION - BUY AT CMP

TARGET - 94 , TIME -2 MONTHS

=>The stock showed relative resilience during the market falls

=>The high hit in January 11 constituted the B wave. Subsequent fall (c wave) did not have the vigor to form a new low as compared to wave a - demonstrating innate strength

=>Smart increase of volumes once the B wave high around 65 was taken out.

The positive view stands intact as long as the stock trades above 62 on a closing basis. Below this level, the perceived bullishness may not fructify.

Disclaimer : The recommendations mentioned herein are for educational purpose only. One should not take buy/sell decisions based on the above analysis which is prone to errors. The author does not undertake any liability whatsoever arising out of profits/losses accruing from using the above analysis.

FORTIS (CMP: 157)

RECOMMENDATION - BUY AT CMP

TARGET - 173 , TIME -T +14 DAYS

=> A breakout from a 'triangle' pattern

=>Resilience during the recent market fall.

=>Ability to bottom out before the market - demonstrating strength

The positive view stands intact as long as the stock trades above 149on a closing basis. Below this level, the perceived breakout of the triangle will not stand valid and hence the bullish view will not hold water.

Disclaimer : The recommendations mentioned herein are for educational purpose only. One should not take buy/sell decisions based on the above analysis which is prone to errors. The author does not undertake any liability whatsoever arising out of profits/losses accruing from using the above analysis.