WINNING STROKES:THINK DIFFERENT:

The markets are expected to take cue from the Inflation figures at the end of the day. There are wide scale speculations that the inflation numbers will be flat. If this is the case then this could trigger a rally in the domestic bourses and more precisely in the construction counters.

Also, the fact which I mentioned in the Sunday Report regarding Reliance Industries Ltd, may not be implemented immediately by the government and hence there could be buying in the Reliance Group of companies in the next few days. I had written the follwoing lines in the latest Sunday Report, sent to the Paid members: "With the diesel demand showing an 18-per cent growth and oil companies depending on imports to bridge the gap, the Government is considering changes in tax norms to allow refineries in export-oriented units such as Reliance Industries Ltd (RIL) to feed the domestic market." But I think this could not be implemented immediately and this could trigger a rally in the RIL.

Therefore, with Crude Oil prices chugging along the high path for some days due to the Hurricane threat in the US, Reliance Industries Ltd could get the sentimental boost. It is to be understood that Reliance Industries Ltd' s GRM (Gross Refiningn Margins) increases with the rise in the crude prices. If the stock was cheap at Rs.3000, then it should be cheap even at the current price.

I have asked the Paid Members to buy into Reliance Industrial Infrastructure Ltd as the scrip has now been transferred into the F & O Segment (from 21st August, 2008). This could give some speculative gains in the counter apart from the intrinsic worth from the order backlog of the company.

Reliance Industrial Infrastructure Ltd as mentioned earlier is a large beneficiary of the orders from the Reliance Group of companies as both Anil Bhai and Mukesh Bhai have interest in it and hence it is more or less safe from the much talked "Rumoured Sibling Rivalry". Anil Bhai is having good interest in the counter in the form of Reliance Capital Ltd. Hence buy the stock at the CMP of Rs.906 for a good appreciation for the very short term and the medium term.

Yesterday, in the morning mail I advised all the Paid Members to book profits in Tech Mahindra Ltd and exit due to some negative developments in the counter. Today it fell its recommended price before recovering a little. Those who are still holding the counter are advised to sell the scrip and enter Ram Informatics Ltd as I getting good inputs from the analyst fraternity this could be a potential multi-bagger.