Confidence Petroleum –Did you lack confidence in yourself, in CP or in HBJ Caps?

My Dear Friends,

Today, I wish to give a simple example wherein lack of confidence in yourself can deter you from making your money work for you. HBJ Caps may give you some of the best stock recommendations which none give and yet you may not take a call on a scrip only because you lack conviction- only because you lack confidence in yourself. Don’t let this happen to you. When we say “Buy” we mean it and we bet you’ll make money if you have the patience of a Buddha. The problem in stock markets is that people want fast money and many lack confidence and patience because of which they let golden opportunities drift pass them as they watch in awe and disgust when stocks that we recommend rise and rise and rise!

Please recall that we had recommended Confidence Petroleum way back in May 2009.  
Those who religiously followed our recommendation by buying the stock the SIP way may have got it at an average investment price of Rs.8 to Rs.8.50. We had even delighted the masses by making the recommendation public but I wonder how many ignored our recommendation and purchased stocks without thinking whether what they are purchasing has the inherent strength to be multibaggers and wealth creators in the years to come.

Friends, if you don’t have the time, energy and inclination to study stocks then do your self a favour by relying on professional advise – when I say professional, I mean the best guys on the street, professionals who can look beyond the horizon and forsee what none can see. Which is like asking, how many PMS & Equity Research firms recommended Confidence Petroleum when it was hovering at around Rs.7-8 for a long time indeed.

Lets see how the Confidence Petroleum stock moved in the last two and a half months :

June 2010
The High – Low range was Rs.8.42 [ on 8/6 ] and Rs. 7.48 [ on 8/6 ] and for most of June the stock was trading at less than Rs.8/share.

July 2010
The High – Low range was Rs.8.75 [ on 7/7 ] and Rs. 7.50 [ on 2/7 ] and for most of July the stock was trading between Rs.7.50 & Rs.8.75/ share.

Aug 2010
· Stock was available below Rs.9/share upto 6 August. It touched Rs.9 on 9 August.
· Stock was available below Rs.13 upto 18 August, thus ejecting strong signals of a slow but swift upward trend.

Today, on 20 August, 2010 the stock is trading in a range of Rs. 13.02 – Rs.14.25. The last traded price was Rs.14.03

Indeed, Confidence Petroleum has entered the bullish territory and shall hopefully continue staying put in this territory for a prolonged period of time. Recent price and volume related data supports this view:

Today, on 20 August, 2010 the stock is trading in a range of Rs. 13.02 – Rs.14.25. The last traded price was Rs.14.03

Indeed, Confidence Petroleum has entered the bullish territory and shall hopefully continue staying put in this territory for a prolonged period of time. Recent price and volume related data supports this view:

For six days between 2 August 2010 to 9 August2010, the average Traded Value and Traded Quantity was Rs.0.15 crores and 195195 and the average price was Rs.7.94. Suddenly, from 10 August 2010, volumes started zooming as shown under :

Date	Traded Value Rs.crs	Traded  Quantity	Closing Price Rs.
10 August 2010	3.13	3218036	9.97
11 August 2010	2.21	2085309	10.28
12 August 2010	3.14	2799504	11.67
13 August 2010	2.23	1890440	11.23
16 August 2010	2.34	2229290	10.61
17 August 2010	0.60	558043	10.89
18 August 2010	5.09	4284305	11.97
19 August 2010	3.36	2597405	13.16

Hence, it will be clear from the above that except for one freak trading session on 17 August, volumes have been pretty robust with corresponding slow and swift upward movement in the stock price. And my gut feeling is that this trend will continue for quite some time but may reverse if the markets start drifting downwards. And that’s when you can start accumulating more of this gem.

So, those who purchased the stock at say an average price of around Rs.8 would have already seen their profits rise by 78 per cent !

And those who preferred to shy away from Confidence should muster the courage to take a call on this fascinating scrip before its too late. You may accumulate Confidence Petroleum on every dip and stay put for 2 to 3 years in order to reap stunning returns.

Be Confident & Embrace Confidence. Remember, the worst problem is depression and not recession. But don’t be depressed since it’s still not too late to take a call on Confidence Petroleum which is destined to be a multibagger wealth creating stock in the months/years to come.

Besides our Research Report you may also perhaps wish to browse through the following link during your leisure time:

http://economictimes.indiatimes.com/Features/Investors-Guide/Confidence-Petroleum-to-emerge-important-player-in-LPG-CNG/articleshow/4544798.cms

Believe in HBJ Caps but more importantly BELIVE IN YOURSELF

  

Kishor S. Khot, [Kishor@hbjcapital.com], Equity Strategist, HBJ Capital Services Pvt Ltd