Sri Lanka Stock Picks

Sri Lanka stock picks site has been developed to give first hand information with regard to share trading opportunities available for investors who do not like go through lengthy research reports, calculations,etc but to have a clear idea about stocks that have future up side potential.Our service is just not for day traders but for the investors who wish to see their money growing in the long run.Our main objective is to provide information relating to trading under one roof.

Thursday, July 1, 2010

Blue Diamonds & Seylan Merchant Bank shines: Foreigners were net buyers today @ Colombo Stock Exchange

DAILY MARKET REVIEW

01/07/2010 (S.L.S.Picks) – Colombo Stock Exchange was down for the second consecutive day today due to share price decline in many Blue chip counters as retail investors continue to take profits from high valued shares. Now most of Blue chip counters & future growth stocks are trading at attractive price levels when compared their prices to two or three weeks back .For example Cargills (Ceylon) peaked Rs 149.00 two weeks back & now trading at Rs 125 levels. Housing Development Bank was trading at Rs 315.00 levels are now trading at Rs 266.00 levels. There for we can expect the return of bargain hunters, foreign investors, High net worth individuals & Institutional investors to the market in coming weeks.

However we saw that foreigners were net buyers today in the market by Rs 567m.n they purchased shares to the tune of Rs 884m.n & sold shares worth of Rs389m.n

All share price index was down by marginal 1.75 points to close at 4610.71 & more liquid Milanka index was down by 29.14 points to close at 5249.21

Investors chased behind low valued stocks as well as speculative stocks such Blue Diamond (Both Voting & Non Voting) Seylan Merchant Bank, (Both Voting & Nonvoting) Colombo Land, Tess Agro etc.

Turnover for the day was healthy Rs 3.1b.n

IT sector index rose by 10% & was the leading sector among all sectors, followed by Stores & Supplies sector. The leading negative performing sector was the Investment Trust sector.

There were 85 gainers as against 68 negative performing counters.

CLOSER LOOK

Blue Diamonds & Seylan Merchant Bank traded in large quantities today. Both these shares were in the top gainers list, Top trades list, & top volumes list today.

There were several crossings took place in Distilleries Company @ Rs 125.00 & 130.00 levels & Dipped Products Company @ Rs 125.00 levels.

Kandy Hotel Company shares saw unusual demand today. It closed at Rs 174.50 up by Rs 32.50 for the day.

Overseas Reality Company shares have further potential to go up due to higher demand for business premises in the town after the end of 30 year old civil war & the completion of the 1st phase of the Havelock city project. Overseas Reality Ceylon through these two investments strategically positioned as the single largest real estate investment, development, trading & Management Company in Sri lanka.