Index trend and stocks in action May 06, 2019

The Nifty cooled off near about 70 points from the high point of the day and ended the day with a modest cut of 0.11 per cent at 11,712. The price action remained confined within the high-low range of the previous trading session. Over the past three trading sessions, we observed that Nifty has formed a series of indecisive candles. In the last five weeks, the index has undergone healthy consolidation in the broad range of 11,550-11,860. A decisive move in either direction would confirm a breakout and thereby provide a trending move. For day trading, the level of 11,650 is likely to act as a strong support and, on the flip-side, the level of 11,800 may act as a resistance level for the Nifty. With this narrow trading zone, the Bollinger Bands are contracted and any close below the 11,650 level will lead to 11,550 level once again.

BRNL: The company has entered into a share purchase agreement dated May 4, 2019 with Cube Highways and Infrastructure Pte Ltd for sale of its holding in Ghaziabad Aligarh Expressway Private Limited, an associate of the company.

Torrent Pharmaceuticals: The company has issued commercial paper (CP) for an amount of Rs 200 crore.

HIL: The company has commenced the final phase production of its CpVC, UpVC and SWR (soil, waste & rain) pipes and fittings at its plant located at Golan, Gujarat. This is in line with HIL's intention to expand the plumbing solutions business with an extended portfolio.

Yes Bank: The bank has been fined Rs 11.25 lakh by Reserve Bank of India for violating transfer norms.

Cadila Healthcare: The US FDA inspected the company’s formulations manufacturing facility located at Moraiya, Ahmedabad, from April 22, 2019 to May 3, 2019. The inspection concluded with 14 observations. There were no repeat observations or data integrity (DI) related observations.