Index Trends And Stocks In Action For January 10, 2014

Indian Equity markets witness a choppy and sluggish session and managed to close with marginal loss of 6 points at 6168. Traders and investors remained caution ahead of third quarter earning which are about to start from tomorrow and other major events lined up. Nifty for the fourth or fifth time have managed to hold on to levels of 6140-6150 and it has formed a double bottom pattern around this level. Now it has been 6-7 trading session that market has remained in narrow range, generally after 6-7 days of consolidation the next day is a big move and tomorrow is big day as India's second largest IT company will announce its quarterly result and market participants will take cues from this for building position in the market. Possibly there are two scenario from if we break levels of 6120-6140 tomorrow on bad number of Infosys we will form some support around 5970-6000 in short term and if Infosys present above expectation number we may see rise of 60-70 points and than if we manage to close above 6240 than we may see rally up to 6330-6350 in short term. For intraday important support would be 6120-6070 and on upside important resistance around 6245-6280.

Cadila Healthcare (BSE Code: 532321) has received the final approval from the USFDA to market Sirolimus tablets (0.5 mg) with 180-days of marketing exclusivity. As per IMS data in 2013, the sales of Sirolimus 0.5 mg was estimated at USD 11.7 million and the total market for Sirolimus was approximately USD 203.8 million. The Group also received approval for Duloxetine delayed release capsules in strengths of 20, 30 and 60 mg. The sales for Duloxetine was estimated at USD 5.5 billion in 2013. While Sirolimus tablets are immunosuppressant drugs used to prevent rejection in organ transplantation, Duloxetine delayed release capsules fall in the anti-depressants segment. The Zydus Group now has 86 approvals and has so far filed 216 ANDAs since the commencement of filing process in FY 2003-04. The stock is likely to trade with a positive bias in today's trade.

A group of ministers headed by Finance Minister P Chidambaram deferred the decision on disinvestment in Indian Oil Corporation (BSE Code: 530965) following strong opposition to the stake sale by the Oil Ministry. The stock may witness volatility in today's trade owing to this development.

GVK Power and Infrastructure (BSE Code: 532708) is strategising for the next phase of growth in the airport vertical including expansion of Bangalore airport and setting up of GVK Skycity in Mumbai. Refraining to get into the tough times they passed through in executing the project, he said that they are looking at now consolidating their airport vertical encompassing the Mumbai international airport, Bangalore international airport and its projects in Indonesia. The stock may trade with a positive bias in today's trade.

The commissioning of a new facility in Odisha, the launch of new brands in the economy segments of the copier paper market as well as plans to expand its dealer network has prompted JK Paper (BSE Code: 532162) to eye 37% share of the branded copier paper market in India. The company which currently has 28% of this 5.5 lakh tonnes per annum market has a target of raising its share in the next six months. The stock is likely to witness some buying interest in today's trade.