+ve Sector, Scripts :
IT, OMAXAUTO, TorontpowerSHORT Tatasteel-416 below 410 for a target 380 stop loss 420
SHORT Abirlanuvo-913 below 905 for a target 875 stop loss 915
SHORT Adlabs-399 below 390 for a target 378 stop loss 396
BUY TCS-742 above 750 for a target 767 stop loss 742
BUY BEML-926 above 935 for a target 955 stop loss 928
BUY Tatapower-1082 above 1090 for a target 1115 stop loss 1085
NIFTY FUTURES LEVELS
RESISTANCE
4470
4544
4616
4688
4760
SUPPORT
4424
4400
4328
4256
WATCH polaris,bilt,VOLTAS,TORENTPWR,TCS
 Corporate News Headline | |
| • | Areva T&D India has bagged four contracts worth Rs. 3.5 bn from power transmission utility Power Grid Corporation of India for developing four substations in the country. (BS) |
| • | Wire & Wireless is planning to raise Rs. 1.92 bn on a private placement basis from institutional investors. (BS) |
| • | Power Trading Corp is planning to acquire coal properties overseas and has identified mines in Australia and Indonesia for the purpose. (BS) |
| Economic and Political Headline | |
| • | With economic condition turning better compared to that three months ago, the Planning Commission said economy should record at least 6.7% growth rate this fiscal, the same as was witnessed in 2008-09. (BS) |
| • | The Bank of England is proposing an extension to its Asset Purchase Facility to buy secured commercial paper as part of its plan to restore liquidity to credit markets. (Bloomberg) |
| • | Japan's corporate bankruptcies dropped 6.7% in May, for the first time in 12 months and merchant sentiment climbed to a one-year high, signs that the economy is starting to recover from its deepest postwar recession. (Bloomberg) |
Strong & Weak futures
This is list of 10 strong futures:
JP Hydro, Aban, Bajaj Hind, MRPL, S Kumar Syn, Rajesh Expo, Welguj, Omaxe, Sobha & IVRCL Infra.
And this is list of 10 Weak :
ITC,Sterlin Bio, Cipla, Sesa Goa, Dabur, Bharti Airtel, Relinace, Glaxo, Sunpharma, Lupin & GTL.
Nifty is in Up Trend .
NIFTY FUTURES (F & O):
Hurdle at 4470 level. Above this level, expect short covering up to 4542-4544 zone and thereafter it can zoom up to 4614-4616 zone by non-stop.
Support at 4424 level. Below this level, selling may continue up to 4400-4402 zone by non-stop.
Below 4328-4330 zone, expect panic up to 4256-4258 zone by non-stop.
On Positive Side, short rallies up to 4686-4688 zone can be used to sell. Stop Loss at 4758-4760 zone.
Short-Term Investors:
Bullish Trend. 3 closes above 4270 level, it can zoom up to 4830 level by non-stop.
BSE SENSEX:
Higher opening expected. Recovery should start.
Short-Term Investors:
Short-Term trend is Bearish and target at around 13704 level on down side.
Maintain a Stop Loss at 14931 level for your short positions too.
POSITIONAL
Buy TCS (NSE Cash)
Higher opening expected. Uptrend may continue.
If trades above 724 level, then uptrend may continue up to 761 level. Cross above 783 level, expect fire works too.
If breaks 724 level, then traders can expect profit booking up to 702 level.
Buy TORRENT POWER (NSE Cash)
Higher opening expected. Uptrend may continue.
If trades above 154 level, then uptrend may continue up to 162 level. Cross above 167 level, expect fire works too.
If breaks 154 level, then traders can expect profit booking up to 150 level.
Buy VOLTAS LTD (NSE Cash)
Higher opening expected. Uptrend may continue.
If trades above 123 level, then uptrend may continue up to 129 level. Cross above 133 level, expect fire works too.
If breaks 123 level, then traders can expect profit booking up to 119 level.
Buy BALLARPUR INDUSTRIES FUTURES (NSE)
Higher opening expected. Recovery should start.
If trades above 23 level, then recovery may start up to 25 level. Cross above 25 level, expect fire works too.
If breaks 23 level, then traders can expect further selling.
Buy POLARIS FUTURES (NSE)
Higher opening expected. Uptrend may continue.
If trades above 101 level, then uptrend may continue up to 106 level. Cross above 109 level, expect fire works too.
If breaks 101 level, then traders can expect profit booking up to 98 level.
SPOT LEVELS
 | 4429.90 | ( -3.42 %) | -157.00 |  |
| 1 | 2 | 3 | ||
| Resistance | 4559.32 | 4688.73 | 4766.07 | |
| Support | 4352.57 | 4275.23 | 4145.82 | |
 | 14665.92 | ( -2.90 %) | -437.63 | | |
| 1 | 2 | 3 | |||
| Resistance | 15043.08 | 15420.25 | 15639.67 | ||
| Support | 14446.49 | 14227.07 | 13849.90 | ||
Global Cues & Rupee
The Dow Jones Industrial Average closed at 8,764.49. Up by 1.36 points.
The Broader S&P 500 closed at 939.14. Down by 0.95 points.
The Nasdaq Composite Index closed at 1,837.14. Down by 7.02 points.
The partially convertible rupee <INR=IN> ended at 47.555/565 per dollar on yesterday, lower than Friday's close of 47.105/115.
FII DATA
| FII trading activity on NSE and BSE in Capital Market Segment(In Rs. Crores) | ||||
| Category | Date | Buy Value | Sell Value | Net Value |
| FII | 08-Jun-2009 | 2424.2 | 2438.67 | -14.47 |
| DII trading activity on NSE and BSE in Capital Market Segment(In Rs. Crores) | ||||
| Category | Date | Buy Value | Sell Value | Net Value |
| DII | 08-Jun-2009 | 1019.38 | 1895.3 | -875.92 |
Jetking Infotrain-Basic Tech Education
Long before the Aptechs and NIITs hit the headlines, Jetking has been churning out trained professionals who find employment in the repair and maintenance industry. The technician who shows up at your door to fix the television, computer and other electronic equipment would most probably have got himself trained at one of the many Jetking institutes that dot the landscape across India's cities and towns.
This unpretentious institute makes no bones about the fact that its target comprises of the low and low-middle class youth with a school or under-graduate education out to find a job at the earliest.
Jetking's courses last for a year to 15 months and provide training in jobs like network management and hardware maintenance.
Apart from full-time day courses, Jetking also provides for part-time night courses that provide an opportunity for working students to upgrade their skills. Part of the course package includes training in basic conversational English and familiarization with basic etiquette.
Though originally confined to Mumbai, Jetking has spread its wings across the country and operates out of nearly 120 training centres in major cities and towns. Future plans include spreading out abroad by setting up operations in China and Nigeria.
This small-cap company with negligible debt has shown decent growth over the past several years. Its revenues have grown from Rs 11.49 crore in FY 2005 to Rs 39.88 crore in FY 2008. The company's operating profit margins have also increased sharply as it increased emphasis on franchisee-run operations. Its profit after tax has risen from Rs 2.27 crores in FY 2005 to Rs 9.85 crores in FY 2008. OPM has risen from 8.27 per cent in FY 2005 to 46.68 per cent in FY 2008. The company also enjoys a cash profit margin exceeding 35 per cent since it charges a commission on fees earned by the franchisee from every student.
Its profits have grown 63 per cent on a CAGR basis from FY05 to FY08. Earnings per share have grown from Rs 11.58 in FY05 to Rs 25.08 in FY08. The company has been regularly rewarding its shareholders with bonuses. It issued 1:1 bonus shares in 2004 and 2007 respectively and 1.2 shares in 2008.
The company also enjoys very favourable ratios. Its return on assets is 67 per cent while return on capital employed is a whopping 101 per cent. Its return on equity is 82 per cent.
Investment Rationale
Jetking Infotrain has opted to aggressively grow its business. In FY 2009 alone the company added 20 franchisees in different parts of the country. The company has plans to add 60 more franchisees in the coming years and expand its operations in the Northern and Eastern India in the near future.
At present, the company is consolidating operations in Tamil Nadu and Kerala. As part of efforts to grab a higher mindshare in the market, Jetking Infotrain began advertising in
the recently-concluded IPL cricket series.
The prospects for the company's business appear good in the coming years despite the ongoing recession. Unlike the bigger names in the industry that have branched into software training, Jetking has decided to stay focused on the hardware part of the business where it has competition only from the unorganized sector.
Over the years Jetking has partnered with the big names in the IT field to offer courses tailor-made for the industry. It tied up with Novell in 1997 as a Novell Education Academic Partner and with Microsoft in 2003 as a Microsoft Certified Partner. It followed up with tie-ups with industry leaders like Red Hat to offer courses in Linux and open-source software and WatchGuard Technologies that offers training threat management of hardware and installed software.
(Some forward looking statements on projections, estimates, expectations & outlook are included to enable a better comprehension of the Company prospects. Actual results may, however, differ materially from those stated on account of factors such as changes in government regulations, tax regimes, economic developments within India and the countries within which the Company conducts its business, exchange rate and interest rate movements, impact of competing products and their pricing, product demand and supply constraints.)
--
Arvind Parekh
+ 91 98432 32381
