share guru

NIFTY STRONG SUPPORT 4070-4020 RESISTENCE 4211-4277
NIFTY FUT SUP 4050-4000 RESISTENCE 4150-4220
SENSEX SUPPORT 13500-13000 RESISTENCE 14000-14500
INTRADAY CALLS ON 9th JULY,2009 (THURSDAY)
BUY MARUTI ABOVE 1110 SL 1095 TRGT 1125-1135
BUY HERO HONDA ABOVE 1476 SL 1460 TRGT 1492-1500
BUY TATA POWER ABOVE 1111 SL 1097 TRGT 1126-1135
BUY WIPRO ABOVE 382 SL 375 TRGT 390-395
BUY BPCL ABOVE 475 SL 466 TRGT 485-490
SELL ABAN BELOW 698 SL 708 TRGT 688-680
SELL SUZLON BELOW 86 SL 90 TRGT 82-78
SELL CANARA BANK BELOW 235 SL 242 TRGT 228-224
SELL IVRCL INFRA BELOW 321 SL 329 TRGT 311-305
SELL DLF BELOW 280 SL 287 TRGT 272-266
ALL TIPS BY OUR TECHNICAL ANALYIST WE DONT HAVE ANY POSITION IN THESE SCRIPTS

Applying 13-34-55 Strategy to Nifty daily charts we are able to find that nifty is trading at ultimate supports ie at 55 EMA(4077).

BUY BHAGYANAGAR INDIA LIMITED AT 27 /- IN BSE AND NSE TARGET1 - 35/- TARGET2 - 45/- WITHIN SHORT TIME. JUST BUY AT 26/- SELL AT 40/- WITHIN 1 MONTH TIME. COMPANY BUYBACK AT 40/-

NIFTY STRONG SUPPORT 4130-4050 RESISTENCE 4200-4290
NIFTY FUT SUP 4150-4111 RESISTENCE 4250-4305
SENSEX SUPPORT 14000-13500 RESISTENCE 14000-14500
INTRADAY CALLS ON 7th JULY,2009 (TUESDAY)
BUY RANBAXY ABOVE 273 SL 266 TRGT 280-285
BUY ITC ABOVE 204 SL 198 TRGT 210-215/222/234/248 HIND UNILEVER ABOVE 283.50 SL 276 TRGT 291-296
BUY CIPLA ABOVE 267 SL 261 TRGT 274-278
BUY CHENNAI PETRO ABOVE 184 SL 178 TRGT 190-195
BUY GAIL ABOVE 321 SL 313 TRGT 332-338
SELL EDUCOMP BELOW 3805 SL 3835 TRGT 3770-3750
SELL JP ASSOCIATES BELOW 189 SL 195 TRGT 183-178
SELL REL CAPITAL BELOW 822 SL 834 TRGT 808-800
SELL DLF BELOW 304 SL 311 TRGT 295-290
SELL PNB BELOW 630 SL 640 TRGT 620-612
SELL STERLITE BELOW 574 SL 583 TRGT 563-555
ALL TIPS BY OUR TECHNICAL ANALYIST WE DONT HAVE ANY POSITION IN THESE SCRIPTS
OUR EXCLUSIVE TIPS 99.9%

THESE ALL SCRIPTS CAN SPURT LIKE ROCKET ANY TIME WITH HEAVY VOLUMES N CAN GIVE GOOD PROFITS IN NEAR TERM ALSO IF POSITIVE ANNOUNCEMENT IN MONDAY’S BUDGET….ANY POSITIVE ANNOUNCEMENT REGARDING RESPECTIVE SECTOR MAY GIVE BIG BOOST TO COMPANIES PERFORMANCES, EARNINGS,BOTTOM LINE IN COMING DAYS…

1) UNITECH(507878)(83.65) : COMPANY IS HAVING LEADING NAME IN REALITY,INFRA SECTOR…IT IS AN INFRASTRUCTURE COMPANY…IN THE BUSINESS OF CONSTRUCTION OF HOUSING,MALL,BRIDGES,DAMS ETC…CONSTRUCTED GOOD NUMBER OF HOUSINGS,MALLS….DOING VERY GOOD NOW A DAYS… JUST CAME OUT WITH HUGE QIP ISSUE AND GET VERY GOOD RESPONSE FROM LEADING FII’S… FII’S HAD INVESTED IN UNITECH VERY HEAVILY….FACE VALUE RS. 2, BELONGS TO “A” GROUP & 52 WEEK H/L 191.50/21.80.OUR TARGET XX,XXX

2) GVK POWER(532708)(43.35): THIS COMPANY BELONGS TO GVK GROUP A VERY WELL KNOWN GROUP IN THE SECTOR OF POWER GENERATION & INFRA PROJECTS…ENGAGED IN VARIOUS PROJECTS OF INFRASTRUCTURE LIKE AIRPORTS….MAY GET BENEFIT FROM NEW POWER PROJECTS AND POLICIES….FACE VALUE RS.1,BELONGS TO “A” GROUP & 52 WEEK H/L 50.50/10.30.OUR TARGET XX,XX

3) MRPL(500109)(83.35): A VERY WELL KNOW COMPANY FROM OIL & GAS SECTOR…HAVING REFINING BUSINESS & DOING VERY WELL… A STRONG FUNDAMENTALS, HEAVY DIVIDEND PAYING COMPANY….MAY GET BENEFIT FROM NEW OIL & GAS POLICY…FACE VALUE RS. 10, BELONGS TO “A” GROUP & 52 WEEK H/L 102.20/30.OUR TARGET XX,XXX

4) KS OIL(526209)(58.15): COMPANY IS A VERY WELL KNOWN IN AGRICULTURE SECTOR…..ENGAGED IN SOLVENT EXTRACTATION & HAVING LEADING NAME IN THIS SECTOR…HAVING SUPERB N STRONG BALANCE SHEET WITH GOOD FUNDAMENTALS….MAY GET BENEFIT FROM GOOD ANNOUNCEMENT OF RURAL THURST N AGRI SECTOR BY BUDGET.. FACE VALUE RS. 1,BELONGS TO “S” GROUP,52 WEEK H/L 75.10/30.OUR TARGET XX,XX

5) KFA(532747)(51.80): A LEADING COMPANY FROM AIRLINES SECTOR…A VIJAY MALLYA’S GROUP COMPANY…KINGFISHER AIRLINES….SHORTLY KNOWN AS KFA….GOVT.MAY GIVE SOME BOOST IN THIS BUDGET…FACE VALUE RS. 10, BELONGS TO “B” GROUP,52 WEEK H/L 96.20/22. OUR TARGET XX,XX

6) HOTEL LEELAVENTURE(500193)(32.15): A VERY GOOD COMPANY IN THE SECTOR OF HOTELS & RESORTS…HAVING STRONG PRESENCE ALL METROS WITH GOOD REPUTATIONS…ALSE HAD THE VAST EXPERIENCE IN THIS FIELD….LIKELY TO IMPROVE ITS BOTTOMLINE THIS COMING YEAR… MAY GET GOOD BENEFIT FROM THIS BUDGET… FACE VALUE RS. 2, BELONGS TO “B” GROUP.52 WEEK H/L 43.15/16.TARGET XX,XX

7) GDL(532622)(97.15): AN LOGISTICS BUSINESS COMPANY…GROWING INDIA’S INFRASTRUCTURE N PORT,SHIPPING ACTIVITY CAN BOOST EARNINGS,BOTTOMLINE OF THIS COMPANY….NO FREIGHT INCREASED IN RAIL BUDGET WILL ALSO BE A GREAT BENEFIT TO THIS COMPANY…. FACE VALUE RS. 10,BELONGS TO “B” GROUP.52 WEEK H/L 115/42.25. OUR TARGET XXX,XXX

8) R POWER(532939)(176.60): ADAG’S POWER GENERATION COMPANY… A DARK HORSE COMPANY IN LONG TERM….COMPANY MAY GET BENEFIT FROM GOVERNMENT’S NEW POWER POLICY N BUDGET…. ALSO CAN GET BENEFIT FROM NUCLEAR POWER PROJECTS IF ANNOUNCED…. FACE VALUE RS. 10,BELONGS TO “A”GROUP,52 WEEK H/L 210/82.TA XXX,XXX

9) LAKSHMI ENERGY N FOODS(519570)(80.40): VERY WELL KNOWN FOOD PROCESSING COMPANY WITH LEADING NAME IN THE RURAL N AGRI SECTOR…NOW IN POWER GENERATION PROJECTS….THIS COMPANY IS HAVING VERY STRONG FUNDAMENTALS & SOUND TRACK RECORDS.. FACE VALUE RS.2,BELONGS TO “B”GROUP,52 WEEK H/L 305/61.55. OUR TARGET XX,XX

10) S KUMAR NATION(514304)(46.20): REPUTED COMPANY IN TEXTILE SECTOR. GOVERNMENT IS LIKELY TO GET BENEFITS AND THURST TO THIS SECTOR AS IT CAN GIVE EMPLOYMENT TO MANY AND RIGHT NOW FACING PROBLEMS REGARDING EXPORTS..COMPANY IS COMING WITH RS. 1000 CRORE QIP. CAN GET GOOD RESPONSE FROM FII’S. FACE VALUE RS. 10, BELONGS TO “B” GROUP, 52 WEEK H/L 79.60/13.15.OUR TARGET XX,XX

11) ANU LAB(532981)(27.30): COMPANY IS INTO MFG OF BULK DRUGS INTERMEDIATES SINCE LAST 13 YEARS & HAVING LEADERSHIP IN MOST OF ITS PRODUCTS.SETTING UP NEW FDA PLANT & GEARING FOR RS. 250 CRORE EXPANSION PLAN…BOOST TO PHARMA SECTOR MAY GET BENEFITED TO THIS COMPANY ALSO. FACE VALUE RS. 1, BELONGS TO “B” GROUP, 52 WEEK H/L 450/25.80.OUR TARGET XX,XX

13) EXIDE IND(500086)(68.60): AN AUTOMOBILE SECTOR COMPANY ENGAGED IN AUTO ANCILLARY.BATTERIES MANUFACTURER…HAVING GOOD BRAND NAME IN THIS SECTOR AND LEADING IN THIS SECTOR..MAY GET BENEFIT IF GET SOME BOOM N BOOST TO AUTOMOBILE SECTOR….FACE VALUE RS. 1, BELONGS TO “A”GROUP, 52 WEEK H/L 80.20/34.55.OUR TARGET XX,XX

KEEP WATCH ON DREDGING CORP(TARGET 580,670), HIND COPPER( TARGET 340,450) FOR POSSIBILITIES OF DISINVESTMENT.ALSO IFCI MAY HAVE SOME SURPRISE ANNOUNCEMENT IN THIS BUDGET/WEEK ALSO.

AS TOLD YESTERDAY TODAY IN SECOND SESSION MARKET TANKED IN END IT RECOVERED BY SHORT COVERING
OUR CLIENTS EXITED ALL LONG POSITION IN TIME
HOLDING CERTIAN STOCKS FOR TOMMROW
MADE HUGE PROFITS IN EDUCATION STOCKS

WE THINK THAT TOMMROW MARK ET IN SECOND SESSION MAY TANK AHEAD OF BUDGET SO BE CAUTIONS DONT HOLD ANY BIG POSITIONS
IF U WANT TO HOLD THEN HEEDGE YOUR LONG POSITIONS WITH NIFTY PUT OPTIONS
SAFER SIDE STRADALE PLAY
BUY 4800 CA & 3800 PA

SEE WITH YOUR NAKED EYESSSSSSSSSSSSSSSS
MAD RUN OF EDUCATIONAL STOCKS OUR CLIENTS MADE HUGE MONEY MINTED IN TONNS
EDUCOMP FROM 3042 TO 4400
EVERONN FROM 385 TO 458
CORPROJECT 109 T0 150
NIIT FROM 56 T0 68
12 PERSONS MADE CHARITY OF 1000-2500RS VOLANTARLY THANKS TO ANUP,AKASH,
UMESH,PRABHU,IMTIYAZ,DANNY,NADAGOUNDAR,
MADHUSUDHAN,SRINIVASNAIR,ALEX,SAILESH
&OTHERS
AND ALSO OUR PREMIUM MEMBER CALL AREVAT&D HUGE PROFIT 60RS UP
OUR CLIENTS MADE PROFIT OF 60000/HEAD
PAID EXTRA 1000/

ANOTHER BUMPER CROP FOR ALL OF U BUY BATRONICS HOLD FOR SHORT TERM EARN & MINT MONEY HOLD AZMEERA FOR TGT OF 450 FOR MEDIUM TERM

AND TOLD ALL OF U BUY EDUCATION STOCKS
EDUCOMP MADE MORE THEN 400 RS UP
EVERONN MADE MORE THEN 30RS UP
CORE 15RS UP
ENJOY HUGE PROFITS & PAY SINCERELY CHARITY AMOUNT OF 1000RS

SEE OUR PAID CLIENTS MADE HUGE PROFITS IN AZMEERA RECOMENDED 4DAYS AGO @ 140 NOW TRADING @ 220 OLEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEE

ALL RECOMMENED STOCKS ROCKED TODAY INCLUDING NIFTY FUT & CALLOPTION FROM 4% TO 14%
ACCURACY 90%

PPPPPPPPPPPPPPPPPLLLLLLLLLLLLLLLLLLLLSSSSSSSSSSSSSSSSSS PAY CHARITY AMTTTTTTTTT OUT OF UR HUGGGGGGGGGGGGGEEEEEEEEEEEEEEE PROFITTTTTTTTTTTTTTTTTT

In Our Opinion, in Pre-budget week some stocks like Unitech, KS Oil, MRPL,Exide, S Kumar Nation, Dredging Corporation, Anu Labo, LG Bala may rise & may give better n good returns in a week time…..

We would like to draw attention for one company..& that is RUNGTA IRRIGATION…….BSE Code : 530449…….This company is engaged in drip irrigation's business & mfg. irrigation equipment,machinery, pipes…. Government is going to boost Rural & Agricultural Sector in coming central budget……
This stock can be a multibagger & DARK HORSE in coming time……Those who believes in high risk-return may have a keep n keen watch on this company for long term investment….

For Disinvestment candidate u can keep watch on Hind Copper(513599) & on Dredging Corporation(523618)….

WEEK AHEAD
The way the market picked up steam Friday, it augurs well for the market. Foreign institutions have turned buyers once again. Also, domestic funds as well as LIC were active today, which gave a fillip to trade.
NIFTY RANGE
4100-4500
CRUCIAL
SUPPORT 4180 & RESISTANCE 4470
APPROACH
CARE & CAUTIOUS
STRATEGY
ANY UP-MOVE WILL BE USED TO COVER THE POSITION, OR
ANY CORRECTION WILL BE LOOKED AS A TIME TO BUY.
MARKET TREND
VOLATILE
MARKET OUTLOOK
MEDIUM TO LONG TERM PRESPECTIVE ARE PRETTY MUCH BULLISH
EXPECT
VOLATILITY MAY RISE AHEAD OF UNION BUDGET
SECTOR TO WATCH
IT, BANKING & INFRASTRUCTURE
FACTORS MONSOON & BUDGET
· TECHNICALLY:
The markets have shown remarkable degree of resilience at the 4200 levels. In the last few days also, despite all the selling, every time it went below 4200, it actually bounced back. So it’s this 200 point band that we believe it will trade in.
The charts are telling us to take a great deal of care and caution because there has been a sharp rise earlier in April-May, then a retreat then a rise through to 4700 and now the current retreat. The danger is that this has potential to create a head and shoulders pattern which gives us a short-term reversal and a retest of support at around 3900.
So what we are looking for is the potential for a right hand shoulders to develop and that could be a rally up-to 4400-4500 followed by a retreat and a fall below 4200 confirms that head and shoulder pattern development.
The Nifty has a benchmark support at of somewhere around 4200. It is bouncing back from that level so we assume that the uptrend is intact, until and unless that 4200 level is not broken down decisively which usually means on the close. Searching for individual stocks becomes much more difficult. We have seen small rallies but impression is that these rallies are primarily small upswings after that sharp correction. So the idea is go long. The Nifty has a trading range between 4100 and 4500. You should be aggressively on the long side only above 4400.
· STRANGLES AND STRADDLES:
Two of the most commonly used options trading strategies by these traders are strangles and straddles.
The participation of retail investors in such strategies is minuscule, as they seek trading strategies to bet on the market direction rather than implied volatilities (IVs). The expected volatility in an index or share price is a key aspect of pricing of options premium (when IVs rise, premiums rise, and the converse also holds true).
Buying straddles would not be wise at this juncture, as option premiums are expensive. Higher premiums offer very little scope for any sharp upsides. Buying strangles, which is again betting that, there will be a jump in IVs ahead of the Budget. But, in this strategy, a trader buys an out-of-the-money call and put option. If the index is at 4300, the trader can buy a call option at 4700 and a put option at 4000.
If the premium charged for the call and put option is Rs 50 each, then the trader will gain only if the index crosses 3900 on the downside and 4800 on the upside. But, advised to square up the strategies just before the Budget. Traders need to buy these strategies around five days before the Budget and square it off one hour before the Budget starts, as IVs will start dipping just after the event. As uncertainty recedes after the event, IVs dip. The main risk to these strategies is if IVs do not rise ahead of the Budget, traders lose out on the premiums.
· SECTORIAL:
From medium to long term view. bullish on IT stocks. For last several days, Nasdaq, which comprises many IT companies, saw a lot of accumulation indicating that worst may be over for the IT industry. Banking sectors is another space that looks positive. Banking stocks are now in a continuation of bullish pattern.
· UNION BUDGET:
The market could be volatile ahead of the presentation of the Union Budget 2009-2010 on 6 July 2009. Stock specific activity may rule the roost based on budget expectations. The Annual Economic Survey will be presented on 2 July 2009, a day ahead of the Rail Budget on 3 July 2009. Investors will track global cues for a direction
The next major trigger for the market is the Union Budget 2009-2010. Many equity analysts have been raising earnings forecasts of India Inc on hopes that the new government will provide thrust on the infrastructure sector and push economic reforms to boost growth. Citigroup expects the economy to grow by 6.8% in the year ending March 2010 (FY 2010) and 7.8% in the year ending March 2011 (FY 2011).
The Union Budget 2009-2010 attains significant importance in the wake of the global financial crisis. Despite the country being relatively unharmed compared to the West, the UPA government will have many tasks on its to-do list, which includes boosting growth and demand, continuing to maintain liquidity, balancing inflation and also containing the country's worrying fiscal situation.
· RAIL BUDGET:
Railway Minister Ms Mamata Banerjee will present the Rail Budget on 3 July 2009. As per media reports, another fare cut is unlikely because Lalu Prasad's Interim Railway Budget in February 2009 has already strained the Indian Railways' finances. Lalu Prasad had announced a 2% reduction in passenger fares. Similarly, any increase in freight rates looks unfeasible because of the current economic downturn. With the present economic conditions not providing much scope for either large-scale fare concessions or an across-the-board increase in freight rates, the highlight of the Railway Budget for 2009-10 is likely to be a big push to public-private partnership (PPP) initiatives to enhance the Indian Railways' capacity to earn higher revenues on a sustainable basis.
· REFORMS & DISINVESTMENT:
The Government has made its intention clear to push for reforms and pursue the disinvestment agenda, which was met with stiff opposition in the UPA's previous stint when the Left parties were members for a major part of the five-year tenure. The Congress party had in its manifesto released before polls promised to go ahead with disinvestment while retaining a majority holding in the state-run companies. Disinvestment programme was earlier put on backburner due to stiff opposition from the Left front.
· BILL TO AMEND THE INSURANCE ACT :
Also the passage of the Bill to amend the Insurance Act, 1938 is likely to be touched upon in the budget. Apart from raising the foreign investment ceiling to 49%, from 26% at present, the Bill had proposed to do away with the stipulation on Indian promoters having to mandatorily sell a part of their holdings after 10 years of operation.
· DREGULATE FUEL PRICING:
The Indian government may unveil a roadmap in its 6 July budget to deregulate fuel pricing and give leeway to state-run oil refiners to fix petrol and diesel prices within a band. If the reform proposals are approved prices of petrol could rise by Rs 5.1 a litre and diesel by Rs 2.6 a litre. After the ruling coalition was re-elected in May with a stronger mandate, Oil Minister Murli Deora had said the government was considering a proposal to free state controls on transport fuel prices.
· PPP:
With infrastructure bottlenecks plaguing the economy, expectations are rife that the upcoming Budget will provide a big stimulus to this core sector, particularly roads and ports. A big push to Public Private Partnership (PPP) projects in infrastructure may be also on the cards.
For the power sector, the Budget may contain significant increases in spending, including for generation, rural electrification, and for minimising transmission and distribution losses. Other measures which the Budget may announce on infrastructure would be to give greater flexibility to the Infrastructure investment and Financing Company (IIFCL), which has been set up as a refinancing facility for infrastructure projects, to deploy funds.
· FII ACTIVITY:
Meanwhile, foreign funds activity will be closely watched. After aggressively buying during the past three months or so foreign funds sold shares totaling Rs 3,168.40 crore in eight trading session from 15 June 2009 to 24 June 2009. FII inflow in June 2009 totaled Rs 2,964 crore (till 24 June 2009). FII inflow in calendar year 2009 totaled Rs 24,283.40 crore (till 24 June 2009).
· MONSOON:
Investors will also closely watch the progress of India's annual monsoon. Prithviraj Chavan, the Minister of Science and Technology, said in a press conference, on Wednesday, 24 June 2009, that India's monsoon, which runs from June to September, will be below normal this year. Monsoon rains will be 93% of long term average. Rain in the crucial sowing month of July will be 93% of long term average. The rains are likely to pick up in August in which month rains will be 101% of long term average, the minister said.
The June-September monsoon rains are a major influence on the economy, as two-thirds of Indians depend on agriculture and large areas of the vast south Asian country suffer from a lack of modern irrigation facilities. Poor monsoon rains could dent rural demand, hurt corporate profitability and undermine sentiment in financial markets.
IN-A-NUTSHEL:
Open interest has risen, volumes were high and Nifty futures were in premium. If Nifty manages to break above 4470 we’ll witness a pre-budget rally up-to 4800-5200. Cues from the US markets are also positive. Dow Jones and S&P 500 Indices suggest that up-move is likely to continue for sometime.

TEAM ITICB TECHNICAL VIEW FOR RAILWAY BUDGET


Countdown to Railway Budget 2009-10
As per the latest media reports, the Railway Budget for 2009-10 will likely to be presented on July 3, by the Railway
Minister Ms. Mamata Bannerjee before the parliament. The budget session of the parliament will commence from
July 2, and the General Budget for 2009-10 will be presented to the Lok Sabha on July 6. After winning a thumping
majority in the recently concluded Lok Sabha Elections, this will be the first rail budget for the Manmohan Singh
government and quite naturally the expectations from the budget will be high. Whether the government can fulfill
the expectations will be determined by how deftly it can handle the balancing act it has to do by the way of a
populist budget (targeted at Aam Aadmi) and a reformist budget (focused mainly on revenue generation and
improving the health of the railways).
The Indian railways have one of the largest networks of trains in the world and since the first rail from Bombay to
Thane stated in 1853, Indian railways has come a long way. Every year the ministry of railways presents the railway
budget in the parliament. The Budget is presented two days before the general budget. It has to be passed by the
Lok Sabha before it is accepted. Though the railway budget is presented separately, figures of income and
expenditure is shown in the general budget. The rail budget deals with passenger fares and tariffs to be levied. It
also tells about the income generated from the previous year and the expectations from the coming year. It talks
about new stations, passenger amenities, tariffs on parcel and goods and many more. Of late, as the government is
facing stiff competition from the low cost airlines, so one of the main focus areas of the budget is how it can aim to
draw more number of passengers to increase its revenues.
Beneficiaries of Railway Budget
There are handful of stocks to watch out for, which derive a large part of their business from the railways. These
companies are gearing up to grab opportunities thrown up by the Indian Railways’ Plan entailing an outlay of Rs
2,30,000 crore during the 11th Five-Year Plan. These stocks are likely to be beneficiaries of the Railway Budget.
• BEML : To meet the growing demand of wagons and new-gen suburban rail (EMU) coaches, the railways have
already farmed out orders to various coach manufacturers, prominent among them is BEML. Thus the
company will likely to benefit from the additional demand for wagons and rail coaches.
• Titagarh Wagons : Indian Railways has decided to step up its share of procurements from private sector
players for new-gen suburban rail (EMU) coaches. As part of the move which comes under its public-private
partnership initiative, the Railway Board is shortly expected to invite fresh tenders for supplying 21 rakes
from a clutch of companies, among which Titagarh Wagons is one. Moreover, as per railway officials, in the
immediate future, the share of private players is only likely to go up, thus benefiting the company from the
additional demand for wagons and rail coaches. Titagarh Wagons, which supplied the first coaches within six
months of getting the final order and design, claims to be the first private sector player to supply EMU
coaches to Indian Railways. The company has set up a new facility at its existing factory at Hind Motor to
meet the Railways order.
• Stone India : Stone India is engaged in manufacturing equipment for railways like alternators, air brakes and brake regulators. The company would get business from replacement of old wagons
• Kalindee Rail Nirman : Kalindee Rail specialises in railway tracks, signaling and telecommunications. It has
order book of over Rs 450 crore, including about Rs 150 crore from the Delhi Metro Rail Corporation. The
huge investment earmarked by railways for freight corridor project will benefit this company. Kalindee Rail
is expected to get orders worth Rs 500 crores from the Indian Railways in next few years.
• Texmaco : It is widely expected that in the railway budget, government will add more capital assets and
revise the Liberalised Wagon Investment Scheme, which could generate more demand for wagons. This will
boost the prospects of wagon manufacturers like Texmaco. The company has decided to raise upto Rs 200
crore of fresh resources from the market to finance future growth plans, including the setting up of a
greenfield metro coach manufacturing facility. The company turned out to be the largest winner of rolling
stock orders from the Indian Railways in 2008-09. It bagged orders for 3,455 wagons courtesy belated release
of orders. The current order book of Texmaco stands at around Rs 1,300 crore.
After achieving the turnaround of the behemoth called Indian Railways in the hands of erstwhile rail minister Lalu
Prasad Yadav, of late the railways has been increasingly focusing on revenue generation and improving its
profitability. The railways have done this fine balancing act of increasing their revenues by way of reducing
passenger fares (to woo the Aam Aaadmi) and at the same time more than compensating from the increased freight
rates. Contrary to popular expectation, there was no revision in the freight rates for transporting cargo by the
railways in the recently announced Interim Railway Budget by the Railway minister Lalu Yadav. This has dealt a very
hard blow to the Indian industries which had been reeling under the impact of slowing trade and were hoping for a
rates revision.
This has impacted the steel and its allied industries. Steel, coal, iron ore and cement are some of the main
commodities that are transported through the railways and any change in their transportation cost could have
lowered cost of production. This was of immense importance to the already sagging sector. The railways had hiked
freight rates during the price boom last year, but had rolled it back to a certain extent in view of the downturn. The
Indian railways moves 68 percent of coal, 64 percent of iron ore, 50 percent of cement and 40 percent of steel and
more than 80 percent of traffic movement in the country is carried out through railway lines. However keeping in
mind the global economic slowdown, and since now the Congress government has renewed its focus on Bharat
Nirman by improving the industries and infrastructure for the country, one cannot rule out a possibility of
rationalizing the rate structure to help the core sectors (steel, cement, oil) of the economy to face the economic
downturn. Rationalisation of rate structure (if it comes in the rail budget) will benefit steel, cement and oil sectors.
Lower freight charges for petroleum products, iron, steel and cement and reduced surcharges on coal and other
commodities will woo traffic from the road. If there is a cut in the freight rates, the companies operating in key
commodity sectors like steel, cement and chemicals will be the passive beneficiaries of the move.
• Steel companies – SAIL, JSW Steel, Tata Steel : If the freight rates are reduced, then the biggest
beneficiary of the rationalisation of the freight structure will be the steel industry. For Steel Authority of
India Ltd. (SAIL), the country’s large steel producer, it could result in savings in its inward and outward
freight costs. Also, rationalisation of the freight of other inputs (if done), would lower the overall cost of
production and will boost the profitability of the steel companies like SAIL, JSW Steel and Tata Steel.
Moreover, the last interim railway budget has made no change in the classification of iron ore for domestic
movement. This has been another disappointment for non-integrated steel producers. Iron-ore comes under
classification 180, which was changed from 170 to 180 in October 2008, which in turn increased the rail
freight by about 6 percent for steel producers. Thus a much sought after classification for iron ore for
domestic movement will reduce costs for the non-integrated steel producers.

• Cement companies : If there is a reduction in freight costs in the upcoming railway budget, it will increase
the transportation of cement through the railways. At present, only 50 per cent of the total cement
produced in the country is transported by rail. Over the years, cement producers had shown a preference to
transport their produce to markets from the production unit by road or through ports. However, if the
railways offer more concession to the cement traffic the trend might get reversed. Moreover, in the rail
budget, priority may be given to port-rail connectivity projects, which will also facilitate the cement
transportation.
• Petroleum Sector : Almost all petroleum products – crude, petrol, diesel, liquefied petroleum gas (LPG),
naphtha, furnace oil and lubricating oils are transported through railways. Once the freight rates for these
products are lowered, it will have a positive impact on profitability of the refineries. Thus if the rail budget
proposes a reduction in freight, the oil companies might enter into long-term agreements and commit
guaranteed additional traffic for the railways.
• Construction companies – L&T : The rail budget is expected to come with initiatives to boost construction
related works, like bridges and flyovers. L&T which caters to this segment will be the beneficiary from these projects.

ANALYSIS BY TEAM ITICB TECHNICAL VIEW FOR RAILWAY BUDGET

SEE THE CHART OF TATATEA IT IS READY TO BLAST OUR CLIENTS ARE HOLDING POSITION IN IT
WITH CLOSING BASIS STOPLOSS OF 680

BANKING
Axis Bank
BoB
Indian Bank
PNB
Union Bank

CAPITAL GOODS

Crompton Greaves
Voltamp
Bharat Electronics
Larsen and Toubro
Blue Star
AIA Eng.
EKC
Nitin Fire

Infra

IVRCL
NCC
Simplex Infra
Unity Infraprojects
Sunil Hitech

INFORMATION TECHNOLOGY
Infosys
Mphasis
KPIT Infosystems

METALS & MINING
Sesa Goa
SAIL

EARN FROM TIPS AND PAY FOR CHARITY USEAGE AS YOU LIKE MINIMUM RS.1000/=


MY ACCOUNT NO 343010100018009
AXIS BANK
G.R.RAMESH HATHWAR

buy :

educational stocks : EDUCOMP, UP SIDE RS.250-300/- TILL BUDGET
EVERONN: UP SIDE RS.70/- TILL BUDGET
CORE PROJECT UPSIDE RS.15/- TO 45/= TILL BUDGET

NIFTY MAY TOUCH 4600 TO 4700 TILL BUDGET

BUY NIFTY CALL 4400 WITH STOP LOSS OF4200 SPOT NIFTY
HOLD TILL BUDGET(HIGH RISK CALL)


first earn & then pay
BUY @ opening bell LICHF TARGET 750+++
GICF TGT 20-30%
HOLD TILL BUDGET

follow the guidelines:

1. buy only beaten stocks

2.be in cash segment

3.never be on leverages

4.always follows our tips for super gains

we offer only posiotional and maxium waiting period in week term. nomally targets will be hit intraday.