Nifty commenced the week on a pessimistic note as it fell again below its 200 DSMA. Proximity towards gap area of 8151 raises expectation of likely consolidation within the range of 8,150-8,280 for a while.
On a daily scale Index had managed to close above its 200 day SMA (8188) indicating pullback to remain intact. The breach above the gap augurs well for up move to remain firm. Follow-up buying above 8280 could see momentum accelerating.
Power Grid Corporation of India beat the market estimate by a 33 per cent rise in net profit for the June quarter. I S JHA, chairman and managing director, talks to Sanjay Jog & Hamsini Karthik about what is ahead.
The stock has made multiple bottom near to Rs 1290-1300 zones and crossed its immediate hurdle of Rs1370 levels. It has also surpassed its 50 DMA and holding the gains above a falling supply trend line on weekly chart.
Power Grid has consistently delivered 18-20 per cent quarterly year-on-year revenue growth for 12 quarters and, more often than not, outperformed the Street’s expectations. This trend was partially broken in the FY16 fourth quarter (Q4) results.
Stop-shorts at 7,800. Stop-long positions at 7,660. Big moves could go till 7,850, 7,600. A long 7,700p (11), long 7,800c (19) would breakeven at 7,670, 7,830 and it could make serious gains if there is one big session in the next three.
Here are a few trading ideas from Chandan Taparia of Anand Rathi:POWER GRID: BUYStop Loss: Rs 143.50Target: Rs 153.50The stock has given a consolidation price volume breakout and gave the highest daily close in last eleven months.
More than ever before, transmission is at the heart of the governments power push. Despite a private-sector focus, state-owned Power Grid Corporation of India (PGCIL) is poised to play a crucial role in transfer of electricity over long distances.