Index Trends And Stocks In Action For June 10, 2014

Indian Equity market surged to record highs on Monday as blue chips stocks such as Coal India and Larsen and Toubro continued to rally on hopes of wide-ranging reforms by the new government. The Nse index nifty closed with gains of 71 points at 7654. Now going forward 7700 is an important level to watch out for on upside for nifty. On downside 7580 will act as an important support level for index. Once this level of 7580 is breached next important level is around level of 7510. RSI which is a momentum oscillator is showing negative divergence.

Indian Oil Corporation (BSE Code: 530965) is keen on joining gas utility GAIL India (BSE Code: 532155) for implementation of the Turkmenistan-Afghanistan- Pakistan-India natural gas pipeline. IOC wants to be equal partner with GAIL in the USD 9 billion project with equal rights to sell gas imported from the pipeline. Billed as 'Peace Pipeline' for the troubled South-Asia region, the US-backed 1,680-km TAPI project is likely to be completed by 2017-18. The four nations have nominated a company each for implementation of the project with GAIL being the Indian representative. The stocks may remain in action in today’s trade.

Telecom major Bharti Airtel (BSE Code: 532454) has submitted its final application for new telecom permits, known as Unified Licences, in Delhi and Kolkata service areas. Airtel submitted application last month for UL in Delhi and Kolkata. Licences of Airtel in Delhi and Kolkata are expiring in November this year. A Unified Licence (UL) would be required to continue operations in each service area.  The stock may remain in focus in today’s trade.

Maruti Suzuki India's (BSE Code: 532500) recent update on the Gujarat plant, proposed to be implemented by its Japanese parent Suzuki Motor Corp, is "razzle dazzle" and the transaction adds to the complexity of the operating structure, according to proxy advisory firm IiAS. The proxy advisory firm's latest comments come within days of Maruti saying that it expects to save about Rs 10,500 crore in the first 15 years by not investing in the Gujarat facility. The stock is likely to trade with a positive bias in today’s trade.

Schneider Electric (BSE Code: 534139) is looking at Prime Minister Narendra Modi's plan to develop 100 new smart cities as a potential market for its products. Smart energy solutions include smart grid automation and flexible distribution, smart metering management and gas distribution management. The Prime Minister yesterday talked about plans to build 100 smart cities in the country to generate employment while noting that urbanisation should be treated as an opportunity rather than a problem. The stock may witness some buying interest in today’s trade.