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SmartLink Ends at 100.4, at 20% circuit

After a dramatic dividend of Rs. 32 per share, SmartLink went to Rs. 100.40 on the BSE (100.6 on the NSE) at the 20% upper circuit.

The stock’s now at a 3 year high, breaking the Aug 2008 high of around 99.25. Volumes are decent – about 30 cr. on each exchange (60 cr. in total)

SmartLink chart

Technically now this stock is showing strength. On the weekly, the MACD is also showing a very positive trend, and the dailies look just as attractive. If you get in now the earliest real tech stop is 78 – that was the last area of consolidation, and it’s 22% down, so you have to be careful.

I thought the stock would go higher, but I forgot about circuits. Let’s see how it plays out tomorrow. Have piled on some more now.

  • Sachin Advai says:

    Hi Deepak
    Have you taken the Old D-link chart into account for this chart, should that be the case ?
    I think if we take that chart one gets a target of 200-210 i think(falling wedge), whats your take ?

  • Saurabh Aggarwal says:

    Sir , one small question , since Smartlink has circuit of 20% and its dividend declared is Rs.32 , so when it will be ex dividend on 1 june , will it fall by Rs.32 or will it be blocked by lower circuit of 20% since its price is around Rs.104 , which is approx. Rs.20.8.

  • aditya says:

    hello Deepak,
    V v interesting move and nice catch indeed. Can you please help me understand one thing?
    I have initiated a small position in smartlink for dividend realization today. ex div date is said to be 1st june.. THat means on company records I need to be a share holder on 1st june atleast for the entire day! Am I write here?

  • Saurabh Aggarwal says:

    Sir , thanks for reply , a funny thought , now 3 trading sessions remain till 1 June , if Smartlink can reach to Rs.160 till 1st June , it can hit lower circuit i.e. Rs.128 (160 – 128 ) without tweaking any law , and we may earn profit & dividend both , aassuming one bought at Rs.102.

  • aditya says:

    thank you Deepak
    So that means, if needed I can sell it on Ist june..,?

  • Raj says:

    ouch!!! the guys who brought this share after the dividend was announced are gonna be a unhappy lot…..share down from 102 to 58 now and the down tick shows no signs of slowing down…

  • prasad says:

    i have smartlink share @ Rs: 87.50 so now it fall down to Rs: 57. please advice me what can i do now when it ll reach up to Rs:100.