Reliance Industries

Mother of all Bears waiting

Posted by : calculus

RIL EPS for this year is expected to be arnd 80-90. During dull market periods RIL is valued at 10-13 times. During a bear phase it could be lower. So I would tend to agree with you price target below 900 for long term buy. However I do feel that oil prices will not be low for long, they will settle above $60-65.

FYI Exxon is only investing in deep water oilfields if the cost of production is below $55, indicating their price target of 60-70 in the future.

With these low oil prices a lot of traders have started to store oil on large ships, hoping to sell it when the prices turn. This in turn is providing a fillip to the beaten down oil tanker market. Oil & gas sector will be the first to rebound when the market looks up, which could be as early as May/June 09. Oil demand in India & China continues to grow as a healthy clip. It wont be long before some savvy investors start to include that into their calculations.

Mother of all Bears waiting

Posted by : ravieria

Friends,
I believe in the long term India growth story, but at the same time my rational thought is that there is a sharp pull down in waiting. The news from west is not good at this point of time. Many companies are issuing pink slips. US, Europe in recession. China & Asia de-growth. Indian IT companies are seeing the revenue streams drying already. I would take a cautious approach for next 8 - 12 months. A long recession is underway.
Regarding Reliance, the stock is correctly valued - with it`s chemicals and down stream businesses benefiting from crude price drop. But Exploration & other biz. such as Retail ventures taking a big hit. Expect a fall below 900 to buy it for long term.

Thanks,
Ravieria

Reliance may not see four digit mark again

Posted by : kadiyali

Dear bhusbhac, hope your After Hours order at 1170 for RIL has been executed today. We will wait for one more opportunity to enter again.

Buy Reliance Industries, target of Rs 1880: Angel

Posted by : MMB Messenger

Angel Broking has maintained its buy rating on Reliance Industries with a target price of Rs 1880. The government has asked Reliance Industries (RIL) to supply natural gas from the company`s eastern offshore D6 fields to the beleaguered Dabhol power plant, a segment that gets top preference for gas allocation along with fertiliser units.

Reliance may not see four digit mark again

Posted by : polavarapuad

kadiyali sir, thanks for your reply, but my question was not specifically for reliance but over all market, can we go long for monday and at what level, thanks, Anju.

Reliance may not see four digit mark again

Posted by : kadiyali

polavarapuad, today is not a day for buying RIL. If you want to buy for long term, wait for clear 2 months. If for short term, wait for an opportune day, it will come shortly. Will let you know soon.

Reliance may not see four digit mark again

Posted by : polavarapuad

Kadiyali sir, have been following your messages, since you track the market closely, please tell when to re-enter positions today or no need to buy today? thanks, Anju.

Reliance may not see four digit mark again

Posted by : kadiyali

Dear bhusbhac, hope your After Hours order at 1170 for RIL has been executed today. We will wait for one more opportunity to enter again.

Reliance may not see four digit mark again

Posted by : bhusbhac

Dear kadiyali - Fine will do it. I will put a sell order at 1170 on OPEN in After Hours position and revise the same downwards if necessary. I felt that should RIL sell off majorly during the day I will buy back since it saves brokerage of around .7% which is almost 10 points. So technically if I get 1150 it is okay. I have taken your advise but refined it a little to try out a day trade and extend it a little although there is some element of risk.

I intend to strictly adhere to a call which is taken but this time since there is an impending stimulus package I have made this alteration. Also I did purchase 2 public sector banks also much the same way and they have appreciated by the same percentage in the last two days! I have not booked any profit as yet but I will review and take a part action tomorrow.

Reliance may not see four digit mark again

Posted by : bhusbhac

Dear kadiyali - Fine will do it. I will put a sell order at 1170 on OPEN in After Hours position and revise the same downwards if necessary. I felt that should RIL sell off majorly during the day I will buy back since it saves brokerage of around .7% which is almost 10 points. So technically if I get 1150 it is okay. I have taken your advise but refined it a little to try out a day trade and extend it a little although there is some element of risk.

I intend to strictly adhere to a call which is taken but this time since there is an impending stimulus package I have made this alteration. Also I did purchase 2 public sector banks also much the same way and they have appreciated by the same percentage in the last two days! I have not booked any profit as yet but I will review and take a part action tomorrow.

At what price will reliance close in this dec expiry

Posted by : basruru

Short reliance immediately,Good gain expectd.