Index trend and stocks in action December 18, 2019
Tuesday’s session would be engraved in the history books, as the Nifty recorded an all-time high, with bulls scoring a century and closing above the 12,150 mark. The benchmark index saw a positive start and cheerful global cues laid the red carpet for bulls. The thing to notice here is that bulls managed to hold on to gains till the end.
The price action of the day formed a sizable bullish candle, carrying a higher high and higher low. Moreover, the formation of a bullish candle on Tuesday reversed the Dark Cloud Cover pattern formed during the Monday session. Going ahead, it is important see a follow through day, as it will strengthen the current uptrend. In the coming session, if the index sustains above the level of 12,183, it would open gates for short-term target of 12,300. On the flip side, the support for the index is seen around 12,070 level.
The RSI on the daily timeframe chart has moved above the 60 mark but the RSI has not marked a fresh 14-period high with the Nifty.
Overall, the bulls are in the driver seat and moving above the prior bar high would mean that we, most likely, are heading towards our short-term target of 12,300. We would advise traders not to argue against what the market is telling you through price action. Just hop on and ride till the wheels fall off, then rotate into opposing direction when bears get resurrected again by breaking immediate support levels, decisively.
HFCL: The company has completed the acquisition of balance 50.10 per cent of the Equity shares in DragonWave HFCL India, thereby, making it a wholly-owned subsidiary.
NMDC: The company has received Allocation of 'Rohne' Coal Block. It has received the extension of mining leases of Deposit 14, Deposit14-NMZ, Deposit-10 and Deposit- 5, for a period of 20 years.
Bank of Baroda: Out of Rs 4,090 crore divergence in provision for NPA, the bank has already made provision for Rs 1,475 crore during the current financial year. Hence, the remaining impact is Rs 2,615 crore.
TCS: Petco Selects TCS Optumera to drive its intelligent Merchandising Strategy.
Goodyear India: The company has decided to close its manufacturing operations of the plant, situated at Ballabgarh, (District-Faridabad) Haryana, from December 21, 2019 to December 30, 2019 (both days inclusive) to align production in line with the market demand.