Index trend and stocks in action December 31, 2019

Nifty carried on the positive baton from the prior trading session and, soon, it was seen inching close to the all-time high of 12,294 level. However, bears rushed in as soon as the index neared the level and dragged it down. At one point of time, it was trading lower by 72 points from day’s high; however, the recovery in the last leg of trade helped recoup the entire loss and end the session almost flat.

The price action of the day formed a small body bear candle with a long lower shadow. Nifty continues to form higher highs and higher lows, which indicates a clear strength by the bulls. Although the index is making higher highs, major indicators are still unable to make new swing highs. As mentioned in the earlier write up, a fresh momentum on the buy-side will be seen on closing above the 12,300 mark and the level of 12,180-12,200 is likely to act as the immediate support level. We continue to reiterate that 12,180-12,200 level is an immediate support and 12,300 is a stiff resistance for the coming session.

Overall, the outlook for the day remains more or less on similar lines as per the previous trading session, where the level of 12,300 is likely to act as a resistance level and 12,200 an immediate support level.

Dr Reddy’s Laboratories: Dr. Reddy's Laboratories announces the launch of Sodium Nitroprusside Injection, 50 mg/2 mL (25 mg/mL) Single-dose Vial in the U.S. Market.

Chalet Hotels: Chalet Hotels signed a pact with Marriott Hotels India to build 5 hotels.

Piramal Enterprises: Piramal Enterprises approved allotment of NCDs worth Rs 1,600 crore on private placement basis.

Kirloskar Electric: The company’s wholly-owned subsidiaries announced the sale of properties.

PTC India Financial Services: PTC India Financial services has received sanction of fresh long term loan of Rs 500 crore for a period of ten years at interest rate of 8.50 per cent per annum for onward lending to infrastructure projects and other operational requirements.