Lupin 23rd Nov 2015
Lupin Minor Trend is oversold. As per our analysis of the Share Price Lupin Major Trend Still remains up / bullish. Yes we know Lupin Share Price has corrected good 18 percent from the recent top made on 6th Oct 2015 and share price has corrected rather sharply sending panic signals in the investor community especially the investors who have been holding Lupin for past few years as despite the massive volatility in Indian Stock Markets Pharmaceuticals Sector as a whole was resilient and we have been saying this for a while now that whenever historically we see such lofty valuations it is always better to begin reducing exposure to the stock or to the sector as a whole. They key to make money in Stock Markets is to buy cheap and surely book profits when they reach high valuations and that is true especially in a Stock Market where the broader index is sideways and is going to remain sideways over the next 12 months. Our Nifty Prediction / Stock Market prediction is Nifty will be in a range of 9150-6800 and hence churning within the portfolio will have to be done and at the same time on higher side we will have to reduce exposure and move from longs to shorts and on lower side from shorts to longs.
As per financial astrology Mars rules pharma and we could see a shorter term pullback in Lupin. There are some significant time cycle resistance coming up for Lupin in this week and we will see what the share price is doing. Next four trading days are extremely crucial for Lupin and a few other pharma companies. Lupin Share Price and Price Charts are decimated and showing some very alarming signals. We will update more in detail after observing the price behavior this week.
For longer term investors / PAS we have advised to stay away from this sector and get into or switch to NMDC. There is huge valuation safety in NMDC and with the current percentage dividend yield make it a fixed deposit with a growth scheme. For 100 rs invested return today is almost 9 percent. Over the next 24 months we see NMDC crossing 250 mark and longer term we could see more aggressive targets being achieved. For my friends from institutional side if there has to be compulsive exposure within Pharma switch to Aurobindo. Charts look significantly better than rest of the pharma space.
Good Trading To You!