INTELLECTUAL TRADING

Since 25th July Nifty is trading in very short range between  8570 - 8700 , finally now short term trend is bearish. 1) Renko Charts showing bearish signal      As per Renko chart patterns - targets were placed @ 8542/8509/8537/8244     SL : 8595. 2) Super Trend is giving sell signal 3) MACD & Know The Sure Thing (KST) were in negative divergance.

When a company starts a business, it requires capital. This capital consists of equity (i.e. the owner's contribution) and debt. The capital is required to buy assets such as plants and machinery, office and factory space, and other important assets to start and run a business. These assets generate cash flows and earnings. Since there is no such thing as a free lunch, capital invested also has a cost involved. This includes the cost of equity and cost of debt, which is interest cost. This is weighted in proportion to their share in the total capital structure which is known as weighted average cost of capital or WACC. Now, if you have to gauge company's performance, it makes sense to compare its WACC with the quantum of cash flows or earnings generated by the investment. This is the return on capital employed (ROCE). Now, why it is important to look at ROCE? Imagine a company's WACC is 14%, but earns a return on its capital of only 10%. What does this mean? Compani

Market Cap:  91,437 Crores                     Current Price: 1439 Target Price: 1850                                   Upside potential: 26 % (9-12 months) Stock P/E: 27.14                                     Book Value: 482 Dividend yield: 0.8 %                              52 Week High/Low:  1457.95 / 482.92 Mahindra and Mahindra Limited is engaged in the manufacture of passenger cars, commercial vehicles, such as vans, lorries and over the road tractors for semi-trailers, and tractors. The Company's Automotive Segment consists of sale of automobiles and spare parts. Its Farm Equipment Segment consists of sale of tractors and spare parts. Its IT Services segment consists of business consulting and software implementation. Its Financial Services consists of services relating to financing, leasing and hire purchase of automobiles and tractors. Its Steel Trading and Processing segment consists of trading and processing of steel. Its Infrastructure segment consists of oper