Index trend and stocks in action July 08, 2019

The volatility in prices picked up on the budget day on expected lines and Nifty ended the session with a loss of about a per cent at 11,811. The session had all the ingredients of a typical budget day as, after the initial range-bound moves, high volatility was observed as the budget announcements progressed. In the second half of the trading session, Nifty slipped steeply and ended the session near the day’s low. The price action formed a sizeable bearish candle and the index slipped below its short term moving average, i.e. 20-DMA. Going ahead, it would be interesting to see whether or not bulls manage to hold on to the budget session low of (11,798). If they manage to hold above this level, the pullback options would remain open towards the levels of 11,880-11,940. However, failure to hold the support level of 11,798 would result in a prolonged correction towards the next important support level of 11,726, which is 50-DMA. The RSI on the daily time frame is trading in a neutral area as it is quoting near 50. The daily MACD has stayed bullish while trading above its signal line, but it is about to cross below its signal line.

India Grid Trust: Indian Grid Trust has announced closure of the acquisition of two power transmission assets from Sterlite Power for an enterprise value of Rs 5025 crore.

PNB Housing: The ratings assigned by CARE to the long term instruments/bank facilities including non-convertible debentures and fixed deposit of the company have been removed from credit watch and revised to CARE AA+; Stable.

PNB: The bank has said it had reported a borrowing fraud of Rs 3805.15 crore in Bhushan Power & Steel account to the Reserve Bank of India (RBI). The fraud was being reported to the RBI on the basis of the findings of the forensic audit.

Indian Hume Pipe: The company has received notices of termination of the agreements from Andhra Pradesh Drinking Water Supply Corporation, Government of Andhra Pradesh, in respect of the work of construction of drinking water supply projects in Guntur and Vizianagaram districts.

JSW Energy: CARE Ratings Limited has reaffirmed the long term rating of the company at 'CARE AA-; Stable’ and short term rating at ‘CARE A1+’.

Zuari Agro Chemicals: The urea/ammonia plants of the company have been shut down due to tube leak of the PG- reboiler in the CO2 removal section of the ammonia plant.

Yes Bank: The bank has said it has acquired about 20 per cent of the post issue paid-up share capital of an unlisted company, namely, Vadraj Cement.

Quick Heal Technologies: The company has been granted a patent for its ground-breaking anti-ransomware technology by the United States Patent and Trademark Office (USPTO). Post the patent approval, Quick Heal Technologies has become the first Indian company to indigenously develop and be awarded a patent for Anti-Ransomware technology.

Tata Power: Poolavadi Windfarm Limited, a 100 per cent subsidiary of the Tata Power Renewable Energy Limited (a wholly-owned subsidiary of the company), has signed definitive agreements for sale of 50 MW solar power under captive structure. The power will be supplied through open access under a long-term power purchase agreement.

JSW Steel: The company’s wholly-owned subsidiary, JSW Steel Coated Products Limited had submitted a resolution plan for Asian Colour Coated Ispat Limited, a company undergoing insolvency resolution process under the Insolvency and Bankruptcy Code, 2016 ('Code'). 

Maruti Suzuki: The company’s passenger vehicles (PV) production went down 16.34 per cent in June 2019 at 109,641 units as compared to 131,068 units manufactured in the same month last year.