Themes for 2007

Happy New Year to all readers.
New year has started and here is my point of view for this year.

I have not researched into specfic stocks but these are broad sectors to look out for in 2007.

1. Infrastructure includes roads, ports, air ports, apartments, malls.

2. Power : Transmission and Distribution and power generation

3. Entertainment : Multiplexes

4. IT: Growing outsourcing

5. Pharma: Growing outsourcing.

Some of picks are
Rolta, 3i, Revathi Equipment, Era Constuction, Sunil Hi Tech, PBA, RPG Transmission, Nectar LifeScience, Amar Remedies, Adlabs, PVR, Reliance Energy and IPOs.

I need people who can help in doing stock research. Let me know at bads.stockmarketblog@gmail.com if you are willing to.

PennyWise Pound Foolish

Lot of us have tendency to put buy or sell limit orders at a price which is very close to current market price(CMP) but not at CMP. For example if a stock is trading at 92.50, we are more inclined to buy at 90 (few paisa lesser) and vice versa while selling. Some how it gives us a feeling that we have saved some money by buying at lower rate. By following this we may save some money but ultimately chances are that one bad decision will give much more negative affect than all small transactions put together.

This happened to me this June 06.
Rolta was selling at 203 and I put an order for selling 75 shares at 203.50.
Next day I realized that it did not sell and Rolta closed at 185. And after that slide continued and after few days Rolta settled at 135. Imagine just to get extra 75 paisa I lost approx. 5K. So moral of the story is when you want to buy or sell just do it. Do not fret over few pennies here and there.

Passing Thought.

Height of Optimism:
Metro will be operational in Bangalore in next few years