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Sensex, Nifty maintain uptrend; telecom, banks, FMCG lead

11:30am Buzzing: HDFC gained over 2 percent after Keki Mistry told that with regards to HDFC Life the timing or amount of IPO is not decided yet and Standard Life will want to increase stake in HDFC Life but the quantum is not decided. Separately, they see scope of further 25 to 50 bps rate cuts but don't expect any movement on April 7.

Idea Cellular saw a bounceback today. BoAML has upgraded Idea to buy from neutral. According to them, Idea was the most vulnerable in the upcoming auction with around 70 percent of revenue at risk but with the regulatory overhang behind, BoAML expects the focus to return to operations. They prefer Idea to Bharti Airtel.

11:00am Market Check:

The market has maintained its strong momentum with the Nifty trading at 8400 supported by telecom, banking & financials, IT and FMCG stocks. The broader markets continued to outperform benchmarks with the BSE Midcap and Smallcap indices rising 1.3 percent and 2.3 percent, respectively.

The Sensex surged 281.01 points or 1.02 percent to 27739.65 and the Nifty rallied 75.40 points or 0.90 percent to 8416.80. About 1703 shares have advanced, 540 shares declined, and 120 shares are unchanged on the BSE.

Asian markets traded mostly higher. Shanghai markets hit a new high as a modestly positive lead from Wall Street offset the impact of sliding oil prices. Crude continued to decline with the Brent trading near USD 56 per barrel.

Oil and gas companies remained in focus on account of the likelihood of gas prices being cut to USD 5.02 per mmbtu effective April 2015. Analysts say the lower gas prices will impact the likes of ONGC where a 10 percent fall in gas prices is likely to impact earnings by 9 percent. Reliance Industries is expected to see a small impact as analysts say gas is now a small component of its business.

Staying with the story city distribution gas stands to benefit as the segment will get 100 percent allocation of cheap domestic gas which will enhance margins. According to Edelweiss, Indraprastha Gas will be the largest beneficiary while GSPL will benefit via stakes in city gas companies. More information please visit this site www.shristocktips.com

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Nifty could slip towards 9,900; 3 stocks which could give up to 11% return

A close beyond 10,400 levels with healthy volumes can pause the current bearishness triggering a short covering to levels of 10,640-10,730.

The Nifty index Futures continued to slide lower for the second month in a row making it 10 percent decline from the record highs. Further, it has broken down from a broadening wedge pattern along with a close below the 200-DMA, affirming weakness dominant in the markets at the moment.

A sustained trade below 10,050 can accelerate the fall to levels of 9,930-9,700. However, a close beyond 10,400 levels with healthy volumes can pause the current bearishness triggering a short covering to levels of 10,640-10,730.

Moreover, the relative strength index or the RSI has turned down from the neutral levels of 50 on two occasions in recent pullbacks suggesting further weakness in the coming trading sessions.

Here is the list of stocks which can give up to 11 percent return:

Arvind Ltd: SELL| Target Rs345| Stop Loss Rs410| Return 11%

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The Indian markets on Friday morning were trading flat with the Nifty shedding 51 points or 0.49 percent  while the Sensex was down 178 points.

The Nifty PSU banking index was up 0.6 percent led by stocks like Syndicate Bank which jumped 5 percent followed by Allahabad Bank which gained over 3 percent. IDBI Bank and OBC were the other gainers. PNB gained 2.38 percent.

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The share price has declined from a peak of Rs 480 to Rs 373 (22 percent) in last two months.

Bharti Infratel shares declined 1.5 percent to close at Rs 368 on Tuesday after HDFC Securities has reiterated its Sell rating on the stock with revised target price at Rs 310 (from Rs 387 per share) despite sharp fall in last two months. INDIAN STOCK TIPS

The share price has declined from a peak of Rs 480 to Rs 373 (22 percent) in last two months.

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