Renuka Sugar - should get Sweet !!!!

The Nifty retested the 5038 level which , if you have noted, was the 50% retracement level. Overall structure still remains clouded but expect more intraday moves.

In fact , those of you who have attended my 'Intraday workshops' would have got both - the initial down move AND the subsequent upmove!. . . .

One sector which has been in news is the Sugar sector. With decontrol of sugar prices round the corner, one should expect stock prices of the sugar counters to rebound.

Though fundamanetally there is expectation of a larger Sugar crop in coming year, the stock prices are ready for a rebound. Even international Sugar prices are set to rebound after a relentless fall.



Renuka Sugars' price structure suggests buying at Rs 61/- with a stoploss placed at Rs 57 for a positional target at Rs 68 and then Rs 75/-.

The overall markets are still fragile and hence keep frequent profit booking and tight stoploss in long positions for at least the index stocks.

Happy Trading !

CA Rajiv D Khatlawala
www.investogyan.com