Wednesday, January 20, 2016

Power Bull Call History - Q3 2015 - Oct, Nov and Dec.

Date: Jan 17 2016
Life is 10% what happens to you and 90% how you react to it - Charles R. Swindoll
Performance of market on 3rd quarter is mute except little noise in the upside and downside. But 2016 will be hard to us due to many global events like crude oil and Chinese uncertainty can bring catastrophic effect to the Indian market plus global as well. We haven’t seen any measure taken from OPEC to contain the oil price and the recent inventory details from Germany and US has confirmed the supply of crude oil is increased. Pressure on corporate to run the business is high where as realization is very less or none. Indian government had taken appropriate measures to cut the CESS for oil companies to see realization. This helps energy stocks to fall further though crude oil price is in steep correction. We believe the market continue to perform weak and reversal on market will be kick started by end 1st quarter 2016. Though the sign of “Market Crash” is high but it can be easily contained by taking appropriate measures on oil supply and demand. We anticipate this will definitely happen in near future due to huge pressure on from body corporate to countries and that will fall on OPEC finally to take action at any cost. This will happen in a course of 3 months time frame from now to reach conclusion. Bank sectors are getting weak due to NPA and weaken rupee. Many repo rate cut from RBI decrease the return on interest to bank from customers.

Current Quarter – Q4 – Jan, Feb and Mar:
We anticipate the upcoming quarter to be hard due to economic turbulence.  We are seeing new lower levels in NIFTY provided if oil price correction is not fixed. As new initiatives will be kicked on we can see progress on IT, Media and infra (after budget). FMCG will continue to perform in the same manner will 10 to 15% growth.  Energy stocks are good to accumulate now in the long horizon of 2 years plan.
Q3 Quarter Overview (3rd qtr 2015):
·         Q3 2015 was roller coaster performance from market and closed flat at the end of December 2015 but confirmed "2016" will be hard for us.
·         AMFI Recognized "Power Bull" as an Independent Mutual Fund Advisory
·         Opening “Retail Office” in Medavakkam, Chennai by end of Jan 2016.
·         Expecting Big crash on market provided oil price is not fixed from OPEC or supply reduced to contain price decline.
·         FII investments are continuously melting due to weaken rupee and uncertainty in market
·         Bank sector loosing strength due to increase in NPA and weaken rupee
·         Power Bull reduced call quantity due to uncertainty in the market and more volatile in the points gain
·         Banks and Pharma sectors are hammered due to weaken and cyclical issue
·         Remaining sectors also corrected most in the time sequence and totally avoided high beta stocks

·         Totally given 32 calls in cash market Q3 which one of the lowest in Power Bull history due to uncertainty

Wednesday, January 6, 2016

2016 Begins with Blood Bath.

Just  a week gone in 2016 and the Nifty tanks  4% with the sign of strong bearish.  We anticipate the correction will be recovered based on the reversal of Crude oil price and budget forecast.
Crude oil price is the major concern to for the huge correction in the global sentiments which creates cascading effect to our market as well.  Last day crude oil break the major support of 35$ per barrel and now searching for the best support nearby.
In this best opportunity we recommend to pick fundamentally good stocks which is fairly valued by market with “Margin of Safety” price. Following “SECTORS” are lucrative to us - Media,  IT , FMCG and Pharma. Bank sector will be more attractive when rupee gets strong. Avoid stock which are technically in trend but valued high like GM Breweries, Arrow Coated plus others for time being. You can accumulate once storm is over.

  NIFTY New Support at 7550 points

Monday, January 4, 2016

Top 5 Watch Out Stocks for 2016

Market tanks in bigger way due to China concern. In long run the market outlooks positive to us. Upcoming earning and crude oil movement on price raise can give good hope for 2016.
Power Bull identified TOP 5 Stocks to watch out on 2016. The stocks are selected based on many parameters and subject to change based on Macro sentiments.
We expect NIFTY will test 8700 points by mid of this year.
Disclaimer: Investing on TOP 5 involves high risk and required continuous analysis. We recommend TOP 5 as watch out and price movements are subject to market risk.
Best Wishes
SEBI Recognized - Research Analyst