Wednesday, 2 September 2015

FII and Option Data

FII and Option Data

Net sell in Cash segment Rs. 675 crores (DIIs bought Rs. 681 crores) and net sell in Index Future Rs. 697 crores. FIIs mostly added shorts and liquidated longs yesterday. They also bought Index Option Rs. 817 crores, out of which 20K CE long and 93K PE long are there. Since Aug series they are buying Index Options, instead of selling, especially Put Options, to grab the short term volatility. However, due to higher VIX, the option premiums are very high and hence FIIs have started writing Puts also to some extent.

Option table shows highest Put base is at 7800PE, not much liquidation seen at 7800-8000PE even after 200 points fall so Nifty fall should be arrested anytime soon around 7700. Highest OI on Call side is still at 8500CE and addition observed at 8200-8500CE. 

Technically, Nifty after facing resistance at 50% Fibo level (of the recent fall) turned downwards and broke crucial support 7940-50. Falling channel support level is 7630-40, if Nifty sustains below 7600 we may see the pain to continue. On the recovery way, 8100-8200 will remain very strong resistance.

Morgan Stanley stock value pick

Morgan Stanley has issued a "full house" buy alert on international stock markets for the first time since early 2009, effectively calling the bottom of this summer’s equity slump.
http://www.telegraph.co.uk/finance/11837853/morgan-stanley-capitulation-MSCI-Europe-equities-China-bank-stocks-1998-bonds.html

Friday, 28 August 2015

GREAT NEWS FOR WATER BASE

Great news for water base. The amalgamation details of Pinnae Feeds with Waterbase have been announced. The amalgamation ratio is 4 shares of Waterbase to be given for 17 shares of Pinnae Feeds. The paid up capital of Pinnae Feeds being Rs. 10 crores will relut in the equity capital of Waterbase going up only marginally by about Rs. 2.4 crores. Post amalgamation the paid up capital will go up to slightly below Rs. 41 cr from the present Rs 38.6 cr. At the same time this will lead to the capacity of waterbase going up from 35,000 tons at present to 110,000 after the merger. Post merger Waterbase can grow by leaps and bounds!!!. Extremely good prospects ahead for Waterbase...Investors who buy/hold on to their shares will benefit handsomely

 Wow...the ratio is certainly in favor of the Waterbase shareholders. Now that the merger ratio has been decided, and is not going to result in any great equity dilution, Waterbase is all set to scale new heights in the days to come.

Thursday, 27 August 2015

NOTICE FOR WATER BASE LTD

With reference to the earlier letter dated August 26, 2015 regarding Outcome of Board Meeting held on August 26, 2015, Waterbase Ltd has now informed BSE that the communication had a typographical error which the Company would like to rectify. The Appointed Date for the scheme of amalgamation of Pinnae Feeds Limited with the Company was mentioned incorrectly as April 01, 2015 instead of August 01, 2015.You can easily get the financials of Pinnae Feeds on mca dot gov dot in Pay Rs 100/- and you can download every financial statement since incorporation, and any other statutory document.  

WATER BASE IS SO SOUND

Compared to fall in other mid and small caps. Waterbase has shown tremendous strength and not corrected much. So i would rather bet on Waterbase. it becomes a great buy on dip

FUTURE MULTIBAGGER WATER BASE

Compared to fall in other mid and small caps. Waterbase has shown tremendous strength and not corrected much. So i would rather bet on Waterbase. it becomes a great buy on dip  The present equity of wb is 38. 60 cr. Post merger this will go up by 2. 35 cr and the total equity capital is at 40 cr. This will not dilute the eps significantly. However, the turnover and bottom line expected to increase by 150 to 200 percent. Hold do not sell this scrip  We do not have access to the financials of Pinnae feeds. As per industry norm, the cost of setting up 1 lakh tonne feed plant is rs.50 cr. assuming that the company would have borrowed 40 cr and used 10 cr capital, the borrowings can be taken care by using the existing cash surplus in W.base balance sheet. The company was almost zero debt companyas on 31st march 2015 except a few crore for working capital. I think the financial analysts can do a better job on this.  YOU WILL GET HANDSOME MONEY

Wednesday, 26 August 2015

Subscribe to: Posts (Atom)