Will this be the fastest 1000 for the Sensex ?

On March 30, 1992, the Sensex covered the fastest 1000 points, which was a 16 day ride from 3000 to 4000. The rally was majorly bolstered by Late Harshad Mehta's machinations and liberal export-import policies.
Today is 12th day since Sensex hit 15000 levels। So the question remains - will we cover the remaining 150-200 points in next 3 days to create HISTORY with the fastest 1000 point run up for the Sensex?

For acheiving every 1000 mark, number of days taken:

Period	Days
1K-2K	278
2K-3K	38
3K-4K	16
4K-5K	1979
5K-6K	86
6K-7K	1348
7K-8K	56
8K-9K	55
9K-10K	49
10K-11K	30
11K-12K	20
12K-13K	136
13K-14K	27
14K-15K	144
15K-16K	?

Reaching 4000 to 5000 and 6000 to 7000 were the longest period। During 4K-5K range Sensex had slipped to 1980 and in 6K-7K range it had slipped to 2594.

Read More : Moneycontrol.Com

Dow Jones hit 14,000 for the first time

It's a party on Wall Street। The Dow briefly conquered the 14,000 mark before pulling back, after several blue chip companies reported better-than-expected quarterly earnings, reports

Dow Jones hit 14,000 for the first time ever. Dow has closed at all time highs 52 times since October 1, 2006.

It took 61 trading sessions to move from 13,000 to 14,000. It is now up 12% for 2007.

Stocks To Watch Today

Arvind Mills:

This stock has been really battered from the highs of a couple of years back, of Rs 140 all the way to Rs 42 levels. The stock is so weak on the charts. It is beaten down and maybe the worst is over for the stock. There are rumours about some land sale to Reliance.

But if you take Rs 42 as your stop loss, which is the recent low, and just hold on to the stock or at least buy it with a target to hold for three to six months, maybe you will have a better chance of making some money. But on the trading point, there will come a lot of levels. The immediate trading target would be around Rs 55 for the stock.

Bank of India:

Bank of India is in a new breakout. It has made a new high today. Rs 235 was the previous stop and now it has taken that out, and Rs 266 is the next target.

Bharti Airtel:

Buy above Rs. 884, Stop Loss 868, Target Rs. 925- 938.

Union Bank:

Union Bank made a major breakout yesterday. It has touched the first major level of Rs 145. But you can buy the fall from Rs 139 to about Rs 135 range for an eventual target of Rs 183.

Dena Bank:

Dena Bank is in a fresh breakout. It made another new high today. There is a medium- term target of around Rs 60 on that.

Suzlon Energy:

It is strong on the monthly, so you can still buy on a fall. Wait for some of the news to settle down before getting in. But it is still an opportunity on the falls.

IFCI:

It is plateauing out a little bit because they have hit major targets. Rs 63-67 is the major target on IFCI. That does not mean it cannot go and make a new high.

Eventually, the stock will fare very well. But maybe in the short run, it needs to retrace a little bit, take a breather and reconsolidate. It is very difficult to find fresh traders for IFCI at Rs 62-63.

Reliance Capital:

Although Reliance Capital was very strong on the longer term charts, Rs 1,180 was a very strong major resistance for that stock.

Theoretically investors in DLF gain more than Vishal

DLF and Vishal Retail both made their issues successful and received required amount for their future plans and other purposes. Vishal Retail had got huge response from all category of investors whether it was retail, HNIs or QIBs. The issue was subscribed 81 times while DLF received mild response and was subscribed 3.4 times.

Vishal Retail listed at Rs 452 and touched a high of Rs 784.40, with a gain of 191% over its issue price of Rs 270 per share and DLF listed at Rs 582 and touched a high of Rs 583.95 on the NSE.

DLF closed at Rs 569.80, up 8.53% over its offer price on July 5 and Vishal Retail at Rs 758, up 180.74% on July 4.

Both promoters became wealthier with their respective issues but what about retail investors or those who had invested in these issues for listing gains? But between Vishal and DLF, lets see which issue has been more profitable for the retail investor.

As a theoretical example. If a person has invested Rs 1,00,000 in the Vishal Retail, he would have effectively applied for 370.37 shares. But because of oversubscription of 50.40 times in retail segment, the person would get only 7.34 shares in allotment. The profit for the Day 1 was around Rs 488 per share (Difference between close price and issue price), so in total the investor makes a profit of Rs 3581.92 (Rs 488 * 7.34 shares).

In case of DLF, if a person invested Rs 1,00,000 he would have applied for 190.47 shares he would get full allotment i.e. 190.47 shares as the retail’s portion was subscribed by 0.9752 times only. The profit from this is Rs 44.8 per share, so total profit comes to Rs 8533.056 (Rs 44.8 * 190.47 shares) on an investment of Rs 1,00,000.

Company	Investment (Rs)	Application of shares	Allotment of shares	Gain per share (Rs)	Total profit (Rs)
DLF	1,00,000	190.47	190.47	44.80	8,533.06
Vishal Retail	1,00,000	370.37	7.34	488	3,581.92

After this comparison, a retail investor, who had invested Rs 1 lakh, earned more money in DLF than Vishal Retail. It means a person received more than 100% profit in DLF as compared to profit made in Vishal Retail on the listing day.

Note: This is just a theoretical example। It is assumed that the number of shares applied or alloted are in fractions and not the minimum quantity as fixed by the company. So actually, there might be some difference in quantity of shares alloted to individuals. This is just to bring out the fact that though it may appear that a retail investor in Vishal Retail would have made a windfall has actually performed worse than an investor who applied for DLF.

Source : Moneycontrol