Index Trends And Stocks In Action For January 28, 2014

Indian Equity markets tumbles more than 2 per cent on Monday as investors and traders indulged in heavy selling across the board throughout the trading session, on back of weak global cues. Rupee breached the 63-mark first time since 22nd November, 2013 added more pressure on market. Shares from Rate Sensitive banking, Realty and automobiles sectors declined sharply. The Nifty index closed at 6135 near day’s low recording a loss of 130 points. In our last write up we mentioned Friday’s collapse has changed the outlook for the market and we mentioned selling pressure will intensify once Nifty break level of 6200, so this was in line with our expectation. Nifty has breached and close below important short-term moving average i.e 21-day and 50-day EMA, this suggest that trend for short term has reversed and turned into favor of bear’s. Going ahead a lot depends on global market and RBI monetary policy.  Going forward important support for Nifty is around levels of 6100-6070. If Nifty breaches this support level than gateway for levels of 5950-5970 would be open in short-term. On upside 6175-6210 will act as a barrier on upside. 

Oil and Natural Gas Corporation (BSE Code: 500312) has signed an agreement with Japanese conglomerate Mitsui & Co for cooperation in oil and gas exploration, the third pact between the two firms since 2012.  The memorandum of understanding (MoU), provides for cooperation in exploration and production for conventional and unconventional petroleum and natural gas opportunities in India and in third countries. The stock may remain in limelight in today’s trade.

NTPC (BSE Code: 532555) has tied up foreign currency loans for USD 430 million for its Kudgi and Auraiya projects. The two separate loans have been granted by Japan Bank for International Co-operation (JBIC), the Japanese Government policy-based financial institution. The public sector power producer signed a term loan of USD 350 million with the JBIC to finance the supplies and services from Japan as well as India for the first stage of 2,400 MW Kudgi Super Thermal Power Project Stage-I (3x800 MW) located in Karnataka. The stock may remain in focus in today’s trade.

Adani Port and Special Economic Zone (BSE Code: 532921) has informed that the Supreme Court has granted stay on the Gujarat High Court order for shutdown of 12 manufacturing units in the SEZ. According to the company, the Apex Court has further ordered that the 12 SEZ units, which are currently operating can continue to operate. The court has also directed Union Ministry for Environment and Forest (MoEF) to process APSEZ’s application for environmental clearance within 30 days, as directed by the Gujarat High Court. The stock may trade with a positive bias in today’s trade.

Orient Green Power Company (BSE Code: 533263) has announced that its operating capacities now exceed 500 Mw. Following the recent commissioning of 3 Biomass units in Narsinghpur (MP), Kishanganj (Rajasthan) and Marikal (AP) units through its subsidiaries, the on ground operational capacity of the Company now exceeds 500 Mw, further cementing its position as one of the leading player in the renewable energy space. As of date, the Company’s operating capacity stands at 502 Mw comprising 416 Mw of Wind assets and 86 Mw of Biomass assets. The stock may generate investors interest in today’s trade.