Index Trends And Stocks In Action For July 25, 2014
Indian Equity market continued its winning streak for seventh day in a row with Nifty closing above the 7800 mark for the first time. Nifty in today’s trading session managed to close above the double top pattern, this is positive for the index. But if we look at momentum oscillators they are showing negative divergence, this suggests only price is moving upwards but momentum oscillators are flattening or moving downwards. Now going forward important support for Nifty index stands at 7800 and next important support is around 7760. On upside first resistance is around level of 7848 and next resistance is around 7880.
Telecom major Bharti Airtel (BSE Code: 532454) third generation or '3G' licence in Niger, extending its 3G footprint to 17 African countries. Bharti, also India's No 1 mobile carrier, now has operations in 17 African countries, but has rolled out 3G services commercially in only 15 markets. Armed with its latest 3G permit in Niger, on the heels of a similar licence in Chad, it proposes to roll out 3G services commercially in both countries shortly. The stock may trade with a positive bias in today’s trade.
Twenty new coal mine projects by state-run Coal India (BSE Code: 533278), planned with annual capacity of 52 million tonnes, have been delayed by difficulties acquiring land and environmental clearances, underlining the uphill task the ministry faces in reforming the sector. The new government of Prime Minister Narendra Modi is hastening environmental clearances - which slowed to a trickle under the previous administration - to help fire up power plants and fulfill Modi's campaign promise to light up every home. The stock may remain in focus in today’s trade.
Wipro’s (BSE Code: 507685) top line declined 3.9% sequentially Rs 11,245.5 crore and its bottom line shrunk 5.5% sequentially to Rs 2,103.2 Crores in Q1FY15. Dip in the company’s top line was mainly led by appreciation of INR versus USD in Q1FY15 and a subdued performance by IT Products business. The strengthening currency led to a declining top line in INR terms IT Services revenues despite 1.2% expansion on QoQ basis in the business’ dollar revenues, during the quarter. In addition, IT Products segment reported 30.9% sequential decline in top line to Rs 766 Crores, which steepened the dip in revenues. All the industry segments, except GMT, posted sequential erosion in top line during the quarter. The stock may trade with a negative bias in today’s trade.