Stock To Trade 06 05 2011

• Bank of Baroda 845.1 TA Turtle breakdown in bank of baroda 30 min chart, sell with stop loss above 860.
• HUL 3 balck crow candlestick pattern in HUL daily chart and TA Insync 55,5 is also moving down. Sell with stop loss above 272.

Stock To Watch 03 05 2011

• GT OFFSHORE 268.30 TA Insync is moving down in GTOFFSHORE. Sell with stop loss above 273.
• BHEL 2020.10 NR7 pattern in BHEL. Sell with stop loss above 2040.

Stock To trade 02 05 2011

• BEML 699.80 TA Insync 55,5 is moving down in BEML daily chart. Sell with stop loss above 720.
• Financial Tech 862.15 NR7 pattern in Financial Technology. Buy above 870, Sell below 855.

Trading Call 28 04 2011

• ASHOKLEY (55.50) : Buy the stock with a stop loss of 52 for a target of 61/65.

Stock To Trade 28 04 2011

• ITC 193.95 NR7 pattern in ITC. Buy above 194, Sell below 191.
• ABB 855.00 Breakout in ABB from trading range. buy with stop loss below 840.

Stock Trading CAll 27 04 2011

• POLARIS (207) : Buy the stock with a stop loss of 204-201for a target of 215 – 230.
• MOSER BAER ( 47.65):- Buy the stock with stop loss of 45 for a target of 51 – 56 – 60

Stock To trade 27 04 2011

• Crompton Greaves 280.70 NR7 pattern Crompton Greaves from 3 days. Buy above 282.50, Sell below 278.

Stock to Trade 26 04 2011

• Hindalco 220.80 Hindalco making a bullish H&S pattern. Breakout at 223. Target at 250
• Maruti 1307 Maruti is making a bullish H&S pattern. Breakout at 1325. Target 1536.

INVESTMENT PICK 26 04 2011

AJANTA PHARMA
Present Price – Rs.236.90, Projected Price – Rs.275

Ajanta Pharmaceuticals Limited (APL) is a Mumbai based midsized pharmaceutical company. Its core therapeutic segments are: Nutraceutical, Cardiovascular, and Anti-microbial, Antitubercular, Ophthalmology, Diabetes, Dermatology, Gynecology and Ortho- Rheumatologic range. APL's manufacturing plants are replete with state-of-the-art equipment that follows all the cGMP laid down by WHO.
Ajanta has set up worldclass manufacturing facilities in India, Mauritius and Turkmenistan that are equipped with state-of-the-art infrastructure.APL manufactures and markets a number of OTC and ethical products, with a market spanning 50 countries across the world. Ajanta has identified the importance of R&D for long term sustainability quite early. Hence the company has made continuous investments in R&D. The main focus area for the company is New Drug Delivery System (NDDS) and new combinations. APL has a fullfledged R&D center in Mumbai – Advent with strength of 250+ scientists. 1380 product registrations in different markets and over 1029 more waiting in pipeline is an example of its strong capabilities in R&D field.
APL has been catering to various voluntary organizations and governmental institutions like the UNICEF, UNHCR, Government Health Departments, Defence Services and Hospitals. Its subsidiary in Mauritius produces dosage forms like tablets, capsules and Injections. Besides existing products, research and development is in full swing to evolve new molecular structures and formulations in many therapeutical segments. It has demarcated the global market into six zones, India, South-East Asia, Africa, West Asia, Europe and Central Asia. It now plans to enter the lucrative US markets. Ajanta’s current business model is tilted towards exports which contributes 60% of the total revenues. Once these new therapeutic segments start contributing and expanding reach in domestic market we believe that the company’s exports-domestic mix would be moderated at 50:50.
APL is a strong player in Africa, Asia and LatAm. After gaining expertise in semiregulated markets the company is now targeting world’s largest generic market (market size of ~$34 bn) – US for its next phase of growth. Ajanta Pharma has filed two ANDAs in FY10 from its USFDA approved facility at Paithan and expects approvals to come in 2HFY12. We believe that business from US would be a major push for Ajanta’s future growth however meaningful revenues from US would only come from FY13. Management expects to file five ANDAs annually from FY12 further driving momentum to the expansion plans of the company. The global life sciences manufacturing outsourcing opportunity is estimated at around US $20 billion and is expected to reach US $31 billion in 2010. India has emerged as a hub for global players due to the availability of world class facilities and quality products at competitive prices. In the R&D sector the
value of the outsourced business is expected to be about US$ 7 billion by 2011.

According to a McKinsey report, India will emerge as the 10th largest pharmaceutical market by 2015 overtaking Brazil, Mexico, South Korea and Turkey. From a market size of around US$ 7 billion, the Indian pharmaceutical market is projected to grow to about US$ 20 billion by 2015. In fact, the incremental growth of US$ 13 billon is likely to be the 3rd largest among all markets after US and China. According to Crisil Report, exports, which are expected to drive growth of Indian pharmaceutical market, are set to nearly treble over next 5 years. We expect Ajanta to report over Rs.565 cr for FY12 as topline and the estimated EPS could be in the region of Rs.54 plus. The current price discounts this by just 4.38 times leaving ample scope for appreciation. Investment is advised in this scrip for a period of six months plus. Long term investment with a 12 months plus perspective can expect even higher returns.

DERIVATIVE PICK 26 04 2011

• SINTEX ( CASH – Rs.176.65) : Buying is advised above Rs.180 for a target of Rs.184 and Rs.186. Higher target of Rs.190-192 is also possible. Stop Loss of Rs.174 should be kept. The time frame of the trade would be around 7-8 trading sessions.

• SESA GOA (CASH – Rs.323.75) : The stock has been moving up in a slow and steady manner. The 14 day RSI is consistently hovering above the crucial 60 level clearly indicating the strong bull grip in the counter. Buying is advised above Rs.325 for a target of Rs.329 and Rs.334. Higher target of Rs.340-342 is also possible. Stop Loss of Rs.316.95 should be kept. The time frame of the trade would be around.7-8 trading sessions.

Stock To Trade 19 04 2011

• EKC 83.30 EKC is moving in a narrow range and TA Insync 55,5 is overbought. Short below 82 with stop loss above 83.50.
• Castrol 478.50 NR7 bar pattern in Castrol India. Buy above 488 with stop loss below 478.

STOCK TO TRADE 18 04 2011

• Cipla 322.10 Cipla moving in a trading range and TA Insync 55,5 is overbought. Sell below 317 with stop loss above 328.
• STER 171.45 NR7 pattern in STER buy above 173, Sell below 170.

Stock To trade 15 04 2011

• TECH MAH 738.00 NR7 pattern in TECHM. Buy above 740, Sell below 728.
• BHEL 2237.90 TA Turtle breakout in BHEL 30 mins chart. Buy with stop loss below 2210.

Stock To Trade 13 04 2011

• BRFL 279.25 NR7 bar pattern in BRFL. Buy above 280, Sell below 277.
• Punj Lloyd 72.00 Overbought TA Insync in Punj Lloyd. Sell with stop loss above 75.

STOCK TO TRADE 11 04 2011

• APIL 607.85 Alstom Projects building a trading range. stop loss at 585, Target at 689.
• Bombay Dyeing 398.75 Bombay Dyeing building a triangle . stop loss at 370, Target at 452.
• Canara Bank 632.60 Canara Bank made a double bottom. Stop loss at 615, Target at 720.
• Core Projects 337.75 Core projects making a trading range. stop loss at 311, Target at 365.
• Bharat Forge 358.20 Bharat forge is trading in a narrow range and TA Insync (55,5) is overbought. Sell below 355 with stop loss above 360.
• Kotak Bank 442.55 NR7 bar pattern in Kotak Bank. Buy above 449, Sell below 439

Stock To Trade 08 04 2011

• HDFC BANK ( 2354.00 ) NR7 pattern in HDFC Bank. Buy with stop loss below 2340.
• PIRHEALTH ( 441.90 ) TA Turtle breakout in PIRHEALTH 30 mins chart. Buy with stop loss below 435.

Stock To Trade

GLODYNE TECHNOSERVE
Present Price – Rs.456, Buy Only Above – Rs.463, Projected price – Rs.487/510

Glodyne Technoserve is one of the few domestic focused IT players with core competency in Application software services and Technology IMS (Infrastructure Management Services). The company derives about 80% of its revenue from technology infrastructure management services (IMS), and rest comes from application development & other services. The company operates in India (75% of rev.) & USA (25% of rev.) geographies. Glodyne expects strong growth prospects for its Tech IMS space for next few years, together with strong traction seen in subsidiaries ensures strong growth visibility for FY12E and FY13E. As per various studies, while in general offshoring services have grown rapidly in past one decade, the services pertaining to remote management and maintenance of core IT infrastructure has been rather slow to gain popularity. As of now, only about 7 percent of the addressable market is being estimated to have been captured. Studies by Mckinsey have suggested that shifts in customer attitudes and economics could trigger rapid growth for these services.

The company presently has over 200 clients spread across India and USA. Approximately 75% of the clients are located in India. Top 20 clients contributes about 37% to the company’s topline.. As per the management, over 90% of the company’s business comes from renewal contracts. In India, the company operates over 100 service support centers with 10 sales and marketing offices spread over all regions. The government departments and public sector enterprises comprise the largest client segment. On the technical front, the stock will witness a strong breakout once it is able to cross the level of Rs.463. Buying is advised above this level for a target of Rs.487 and Rs.510. The time frame of the trade would be around 15-20 trading sessions.

Stock To Trade 06 04 2011

• BRFL :- TA Turtle breakout in BRFL 30 mins chart. Buy with stop loss below 270.
• CIPLA :- NR7 pattern in Cipla. Buy above 322, Sell below 317.

STOCK TO WATCH 06 04 2011

RALLIS
Present Price – Rs.1420, Projected Price – Rs.1485( First Target), Rs.1550 (Second Target), Holding – 1 Month

Rallis India, a Tata Group company, is a leading manufacturer of generic agrochemicals, otherwise known as pesticides, in India. It also sells other farm inputs such as agricultural seeds and plant growth nutrients. Although definitive recent data on the Indian pesticides industry is unavailable, it is generally believed that in the domestic market for branded agrochemicals, Rallis occupies the second position in terms of sales, next only to Bayer CropScience. United Phosphorus (UPL) reports higher sales from the Indian market, but its sales include a substantial amount from pesticide technicals. Hence, in the branded formulations market, Rallis is believed to have higher sales.

Rallis redefined its DNA as a focused agrochemical player with complementary strengths in both manufacturing and distribution. Its business model rests on a strong USP of its ‘Farmer Connect’ and multiple relationships with global innovators. It has carefully turned around its manufacturing investments into a complementary global outsourcing model to provide predictable business growth.

Rallis’ forte is its century old association with the Indian farming community. Focused group discussions and regular interactions with farmers provides indepth market knowledge which it incorporates in its marketing and product avenues. Rallis has adopted a two pronged strategy to grow its domestic business – Product launches through Own (in-house research) and via Strategic alliances. Performance of new product launches are evaluated through its “Innovation turnover Index” tool - benchmarked at 25% of sales. Rallis is today one of India’s leading agrochemical companies having a comprehensive portfolio of pesticides and plant nutrients for Indian farmers. With more than 60 brands under its belt - Pesticides accounts for 95% of the total turnover, while seeds and plant nutrients represent the balance. It has not only the largest agrochemicals capacity in the country (10,000Mt of technical grade pesticides and 30,000tpa of formulations) but also a widespread distribution network covering ~80% of India’s districts with more than ~1500 distributors that reach over 30,000 retail counters. On the technical front, the stock is in a strong uptrend and the current decline gives a fresh buying opportunity.

Stock To trade 01 04 2011

• ITC :- TA Turtle upside breakout in ITC 30 mins chart. Buy with stop loss below 176.
• CAIRN INDIA :- NR7 pattern in Cairn daily chart. Buy above 353, Sell below 348.