Index Trends And Stock In Action For 3rd January 2013

Market on Wednesday opened gap up and continued to trend up. Nifty touched magical mark of 6000 after two years. Nifty closed at 5993 up by 0.71%. Nifty formed a bullish gap up candlestick and today volumes were on higher side. Going ahead Resistance for nifty stands at 6015 and 6050, if nifty sustains above 6050 we can see a new high on nifty in coming trading session. Support for nifty stands at 5965 and 5900.

Infrastructure major KEC International has bagged domestic and overseas projects Rs 1,511crore in transmission power system and cable businesses. In communication to stock exchanges, KFC stated that two orders from Power Grid Corporation of India for transmission line works in Chattisgarth were worth Rs 672 crore. Besides this it had also secured orders for Rs 43 crore to supply power and telecom cables within the country. The stock price of KEC International is likely to see upward movement for the day. 

ITD Cementation announced that the Joint Venture (JV) with its parent, Italian-Thai Development Public Company has received an order of Rs 546 crore from Delhi Metro Rail Corporation (DMRC). The joint venture has recently completed a Rs 189 crore contract for DMRC for the construction. The project is scheduled for completion in months. The JV benefits from the experience of the parent in the implementation of MRTS projects. We expect stock price of ITD cementation is likely to react positively.

EMCO has got an Rs 458 crore order from Power Grid Corporation for execution of a transmission from Champa to Kurukshetra.  The order also involves supply of galvanised steel towers which EMCO would produce at its Asoj facility in Gujrat. EMCO has also commissioned a 500 km transmission line project for Power Grid Corporation in the current fiscal. On back of this, EMCO will remain bullish for the day.

Pipe maker Jindal Saw said foreign fund house Morgan Stanley has raised its stake in the company to over 5% following additional 2.44% stake buying through open markets. Morgan Stanley had 8.167 million shares, or 2.95%, stake in Jindal Saw before the transaction held in the BSE and NSE on December 31, it said in a regulatory filing. Promoters had 46% stake in Jindal Saw, as on September- end. This will have a positive impact on stock price.