I'm fairly sure that directories don't generate traffic. I used to list my websites on hundreds of directories, but no one really goes to them. When was the last time you went to a directory to find a website? Everyone just uses Google, and the only way you're going to get on there is with good content and organic links.
I will often go to directories to find sites and I also use google. It depends on what I am looking for and why I am searching for it.
you can go to http://www.directorycritic.com/ it will give u immense list of directory which are free