Nirmal Bang, one of the leading equity research-cum-broking house, has recommended a buy on Reliance Industries Ltd (RIL).

The report further stated that the stock has just closed below its 5?day moving average of 2000 and technically this stock has been under severe selling pressure after the high court verdict. Technically the trend is weak and the stock has already corrected 25% from the high of 2500 and going forward it could enter into the oversold region.
 
Nirmal Bang Research has advised its investors to hold the stock to achieve a target price above Rs 2000.

Besides, the report has also suggested a support level between Rs 1840?1750 for the scrip.

Today (July 7), the shares of the company opened at Rs 1910.05 on the Bombay Stock Exchange (BSE). Current EPS & P/E ratio stood at 97.08 and 19.12 respectively. The share price has seen a 52-week high of Rs 2490 and a low of Rs 930 on BSE.

The SC will hear Mukesh Ambani-run RIL`s and Anil Ambani-led RNRL`s appeals on the gas argument between today (July 7).

A bench led by chief justice K G Balakrishnan chased after the appeals of the two companies for hearing.

Last week RIL moved the apex court challenging the Bombay High Court order, which ordered it to supply 28 mmscmd of gas to RNRL at $2.34 per mmbtu.

Reliance Industries (RIL), on July 03, announced that one of the crude distillation (CD) units at Jamnagar DTA refinery will be commencing a planned shutdown from July 03, 2009 for the next 2-3 weeks for fulfilling regular maintenance work.

Eliminating offer for talks, RIL on June 30 told RNRL that it would not sign any contract on the gas supply issue without authorization of the government.

It is discovered that RIL, which is believed to be preparing to move the SC this month, in a communiqué to RNRL mentioned that it had been advised that there was lack of clarity in the judgment on the aspect of the administration’s position in the matter.

Reliance Industries (RIL), on June 27, said that it is likely to sign a gas sales and purchase agreement (GSPA) with nationalized power major NTPC to supply gas at the government-mandated price of $4.2 per million metric British thermal unit (mmBtu).

The company will supply 2.67 million metric standard cubic metres on a daily basis (mmscmd) of gas from its Krishna-Godavari (K-G) basin for NTPC`s plants at Anta, Dadri and Faridabad in Uttar Pradesh.