The Hindu Business Line : Query Corner

Agro Dutch Industries (Rs 24.7): This stock is in a long-term downtrend. It has not been able to recover from the slide it witnessed since October 2005. The stock is currently reversing after hitting its 200-day moving average positioned at Rs 29. A small spike was witnessed on Friday, which can take the price to Rs 27 or Rs 29. Exit in this rally if you are a short-term investor. Long-term investors can hold this stock with a stop at Rs 22. A breakout past Rs 30 is required to take the price towards Rs 36 and then Rs 41.

State Trading Corporation (Rs 158.6): This stock is moving in a broad range between Rs 70 and Rs 200 since 2001. Short-term resistance for this stock exists at Rs 160. This level needs to be breached for the stock to rally to its previous highs of Rs 212. The narrow range bound moves seen since September is encouraging. An upward breakout is possible. So hold the stock with a stop at Rs 135.

What is prospect of Bharat Forge bought Rs 371? Omprakash Malu

Bharat Forge (Rs 376.9): The movement of Bharat Forge since late July can be fit in to an upward moving channel that has the upper boundary at Rs 425. That is the target for this stock over the medium-term. Hold with a stop at Rs 345. If Rs 345 is breached, the stock can head lower towards Rs 320.

Can I buy Suzlon and Geometric Software at current levels? Savita Jain, Thamaraiselvan

Suzlon (Rs 1474.6): Please refer to the Techtrail column of July 23, where we had analysed Suzlon, when the price was at Rs 954, as follows: The momentum is picking up in both the daily as well as the weekly chart of Suzlon since it formed a higher bottom at Rs 910. Long-term investors can hold with a stop-loss at Rs 750. Buying in dips is also recommended with the same stop-loss. Price can move to Rs 1,400 or Rs 1,500 in one year's time.

The price has already achieved the long-term target set out by us. If the momentum continues, the scrip can head upwards towards Rs 1,942 and then Rs 2,167. Fresh buying can be made at this point with a stop at Rs 1,370.

Geometric Software (Rs 115.4): A study of the volumes of Geometric Software reveals that maximum interest was displayed by the investors in this stock in 2002 and 2003. The trading interest is picking up slightly since October this year.

The stock has been moving in a range between Rs 80 and Rs 130 since September 2005. It has made three attempts to get past the high of Rs 130 since then. Entry at this level is not recommended, as the price is positioned near the upper end of the range. Wait for a close above Rs 140 before going long with a target of Rs 172 and a stop at Rs 225.

I have been holding shares of Polyplex Corporation for the last one year. Kindly advise me whether I should hold this share or sell it. D. S. Rao

Polyplex Corporation (Rs 114.6): This stock had lost 70 per cent from the high of Rs 279 made in September 2005.

The recovery seen since June lacks conviction. Long-term support for the stock exists at Rs 100. Exit the stock if Rs 100 is breached. Price would have difficulty rising above Rs 170 in the next three months.

I have purchased shares of Jyoti Structures. What are the short- and long-term targets for the share? Vinod

Jyoti Structures (Rs 128.8): This stock has made a stunning recovery from the July lows of Rs 59.

Chart patterns suggest consolidation taking place at higher levels. Once the resistance at Rs 130 is breached, we can see a rally to Rs 175 or Rs 185. Hold the stock with a stop at Rs 108. Fresh longs can also be initiated here with the same stop.

What are the prospects of Everest Kanto and Gokaldas Exports? Can I buy at current levels? Ramachandran. V, Subur Basha Shaikh

Everest Kanto (Rs 503.5): This stock has been one of the stronger performers in the post-June rally in the mid-cap stocks.

The price scaled a new all-time high of Rs 518 in late September and since then there has been a consolidation in a narrow band between Rs 460 and Rs 520.

Positions can be taken in this band with a stop at Rs 450.

The price has the potential to move upwards to Rs 608 and then to Rs 703 over the next one year.

Gokaldas Exports (Rs 629.7): This stock is moving in a band between Rs 600 and Rs 700 since September. Since this move comes after a sharp upward move from Rs 452, it can be construed as a consolidation move with an impending upward thrust to Rs 800 or Rs 850 over the long term.

For the short term, the price will face resistance from the zone between Rs 660 and Rs 700. Fresh positions can be initiated is dips with a stop at Rs 580.

Readers can send in their queries, on not more than two companies, to

techtrail@thehindu.co.in

Queries can also be sent by post to: Tech Trail, 859/860 Kasturi Buildings, Anna Salai, Chennai 600002.

We would endeavour to answer as many queries as possible. However, constraints of space will limit the responses featured under this column.

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