Index Trends And Stocks In Action April 23, 2015

Indian equity market ended its losing streak as market saw sharp recovery led by heavyweights like HUL, Axis Bank, L&T and TCS. On daily chart nifty formed a bullish candlestick with long lower shadow and short upper shadow this indicate that sellers initially dominated, but then buyers counterattacked and forced prices higher by the end of the day. Going forward nifty is likely to face strong supply in zone of 8525-8530. In case, the nifty sustains above the 8525 mark expect fresh buying momentum in the market which will take market to levels of 8630-8700. On the downside 8345 and 8250 will act as a strong support zone for the index.

Shares of Titagarh Wagons and Indag Rubber will turn ex-stock split on the bourses on Thursday. Both Titagarh Wagons and Indag Rubber will reduce their face value from Rs 10 to Rs 2. That means, shares of Titagarh Wagons will start trading in the range of Rs 115-120, while that of BSE-listed Indag Rubber will be in Rs 190-200 range from Thursday. However, those who are buying the shares from Thursday will not be entitled to receive the split shares.

Biocon is planning to get its subsidiary Syngene listed with the stock exchanges in July. Biocon, which owns an 86% stake in the R&D subsidiary, plans to raise Rs 1,000 crore through the public issue. The company plans to sell 22 million equity shares, including reservation of up to 20 lakh shares for Biocon shareholders, through an offer for sale. The stake dilution will be 11% of the post issue diluted equity capital of Syngene.

The board of directors of Sasken Communication Technologies will meet on Thursday to consider a buyback proposal. Market participants will be keen to know about the size and price. Currently, about 27,600 small investors hold a 23.67% per cent stake in Sasken and 55 high net worth individuals own 8.82%. FIIs hold 2.91% stake in the company and domestic funds control 10.57%. Already shares have been reacting positively on buyback plan.