Trading Recomandation 18-08-2009

• STOCKWATCH

• HOLDING PERIOD – ONE MONTH PLUS

• HINDUSTAN OIL EXPLORATION (Present Price – Rs.242.75)

Hindustan Oil Exploration Company Ltd (HOEC) is one of the private players in the upstream oil and gas sector engaged in Exploration, Development and Production of Crude Oil and Natural Gas in India both Onshore and Offshore Blocks. The Company has participating interest in seven oil/gas fields in India (in Cambay basin, Cauvery basin and Assam Arakan basin), which are in varying stages of E & P life cycle i.e. exploration, development and production. The stock is looking very strong on charts of all time frames be it daily, weekly or monthly. It was on upper circuit even on a day when the rest of the market cracked under huge selling pressure by FIIs. Technically, the stock has the potential to reach a level of Rs.275-280. In the long term, it can even reach a level of Rs.335-350. Buying is advised at current levels and at all declines.