Index trend and stocks in action August 30, 2019
The Nifty opened the session with a downside gap and, in the noon trade, it made a pull-back and marked intra-day high of 11,021. But it failed to sustain at the higher levels and breached its key support of 21-DMA and eventually closed down by 0.89 per cent at 10,948. The price action formed a bear candle with minor shadows on either side carrying a lower high-low, indicating extension of profit-booking. The three days of upmove and two days of downside move brings the market into a highly volatile zone. After the Finance Minister’s stimulus package announcement and removal of surcharge on the FPIs, Nifty bounced sharply from the 10637 level up to the level of 11142 in just three days. With Thursday’s fall, it retraced more than 38.2 per cent. Technically, Nifty is trading below all short and medium-term moving averages. It failed to form a higher high in the background of three days of euphoric rally. The RSI is clearly in the downward channel, indicating that further fall is imminent. As we mentioned earlier, there are several resistance points between 11,150-11,200 zone. At 11,140-11,150, there were many supports and resistances earlier. 11,181 is the swing high of the recent past and the 200-DMA is placed around 11,207. As long as these levels are violated, market will be in the grip of the bears. In case it closes below 10,900 on a weekly basis, there are higher chances of re-testing the prior lows.
Premier Explosives: The company has received the licence from Chief Controller of Explosives, Nagpur, for manufacture of solid propellant at the company's factory situated at Katepally, near Hyderabad. The new licence will enable the company to manufacture solid propellants of larger size at its greenfield project.
Wipro: Wipro announced the expansion of its strategic partnership with Google Cloud to accelerate cloud adoption and digital transformation for global enterprises. By collaborating with Google Cloud, Wipro will catalyse innovation for enterprises in industry verticals such as consumer goods, BFSI, semiconductor and healthcare through a 'business-first' strategy.
HDFC Bank: The bank has agreed to sell its entire stake of 10 per cent in the equity share capital of Goods & Services Tax Network consisting of 10 lakh equity shares of Rs 10 each, for a total consideration of Rs 1 crore to various state governments and Union territories.
PNC Infratech: The company has been declared the L1 (lowest) bidder for NHAI project of "construction of 31.7 km long four-lane bypass connecting NH-56 at km 17.400 and terminating near Behta village road under NHDP Phase-VII on EPC mode" namely "Lucknow Ring Road Package I" for a quoted price of Rs 1062.0 crore.
MAS Financial Services: The finance committee has decided to further invest the funds upto Rs 10 crore in MAS Rural Housing & Mortgage Finance Limited, a subsidiary of the company.
Adani Green: Adani Green has signed a securities purchase agreement for acquisition of 205 MW operating solar assets of Essel Green Energy Private Limited and Essel Infraprojects Limited.