United Spirits has support around Rs 650: SP Tulsian

United Spirits has support around Rs 650, says SP Tulsian, sptulsian.com.

Tulsian told CNBC-TV18, “Mangalore Chemical there was all kind of talks that earlier MRPL (Mangalore Refinery and Petrochemicals) has shown the interest, and then the name of Reliance Industries came in. Today we have seen the denial of Coromandel International. But one thing is certain that Mangalore Chemical has been put on the block by the promoters because this is not fitting into their strategic business, fertilizer business and in fact it’s a very prime asset the company has bee holding in the form of the surplus land, in the form of profit making Fertilizer Company.”
He further added, “It’s into urea making as well as complex both. So definitely this can fetch very good valuations whenever the promoters will exit. Now it’s a matter of time whether that happens in next month or 15 days, but it is certain that in next two to three months a stake sale is likely to happen.”
“United Spirits, we are seeing the profit booking happening in the stock. It has moved to as high as Rs 770-775. Since then it has corrected by about Rs 100. So maybe downside from hereon is very limited. It can be presumed that it should be seen as a support at Rs 650 where the renewed buying interest will come in.”
“In Kingfisher, there has been no news for last three-four days except some negative news like support staff going on strike or the notices having issued by the Income Tax Department to the director that was keeping the share subdued, but there also not much of a downside is seen. So if somebody really wants to play on the UB Group stocks probably these are the level where longs can be created, but not from a trading point of view, more as a positional trade or as a short-term investor with a horizon of about a month or so.”