Index Trends And Stocks In Action For April 21, 2014
Indian Equity market ended its losing streak on Thursday and managed to offset initial day’s losses. Realty and Auto were top gainer in the sectoral indices followed by Oil&Gas, Metal, Banking and IT. In our last write up we mentioned Nifty is trading near its important support zone and if Nifty holds on 6640 level than it will continue its upward march and what we saw was in line with our expectation.
On daily chart Nifty has formed a bullish candlestick and managed to close almost at the day’s top. So this hints that the bulls have managed to regain its force and momentum indicators suggesting this upward journey will continue as there is no signs of exhaustion. Going forward Nifty will face resistance around levels of 6815 and next resistance is around 6832. On downside 6730 is important support and next important support is around 6690.
Reliance Capital (BSE Code: 500111) is learnt to have emerged as the highest nonbinding bidder for the 24% stake being divested by promoter Financial Technologies India (BSE Code: 526881) (FTIL) in India's largest commodity bourse MCX (BSE Code: 534091). FTIL holds 26 per cent in MCX. Both the stock may remain in focus in today’s trade.
Expansion plans of state-owned Hindustan Copper's (BSE Code: 513599) have been delayed further as the company is yet to secure the National Board for Wildlife's approval for expanding its flagship Malanjkhand mine in Madhya Pradesh. Expansion of the Malanjkhand mine, which is the single largest copper deposit of India with nearly 70% of the country's reserves, has already been delayed by about two years due to want of various regulatory approvals. The stock may remain volatile in today’s trade.
Reliance Industries (BSE Code: 5003215) has divested its 30% stake in an oil and gas block in Peru to Australia's Woodside Petroleum and Pluspetrol of Argentina to trim its overseas properties. The company, in a presentation to investors after the fourth-quarter earnings announcement, said its current international portfolio "comprises of three blocks - two in Yemen and one in Peru." In addition, RIL last month won two offshore exploration blocks (M17 and M18) in Myanmar. The stock may remain in focus in today’s trade.
Country's second largest IT firm Infosys (BSE Code: 500209) has crossed the USD 2 billion revenue mark in Europe for the first time, driven by strong demand for consulting and system integration (CSI) services. Bangalore-based firm, which reported revenues of USD 8.24 billion for the year ended March 31, 2014, saw the European region accounting for 24.4% of the topline. The stock may witness some buying interest in today’s trade.