Index trend and stocks in action November 26, 2019

Following strong global trends, the Nifty kicked off the week on a positive note and finally, the bulls conquered a three weeks long battle between the bulls and the bears. Almost after 116 trading sessions, the benchmark index has managed to close above the 12,050 mark. The last time it closed above this mark was in June. At present, it is a stone’s throw away from the all-time high level of 12,103.
 
After forming a series of indecisive and small body candles in the last three weeks, the Nifty formed a sizable bullish candle that has managed to overshadow several candles formed in the past. Moreover, we have seen a resolute breakout of 240 points range, in which it was trading in the last three weeks. 
 
The key takeaway from Monday’s session is that the bulls finally gained control and we believe that the bullish momentum is likely to continue in the near future. We might see Nifty touching its previous all-time high levels of 12,103 right at the opening bell. Sustaining above the level of 12,103 would lead to a further upside towards 12,250 and 12,300 levels in the short term. On the flip side, the level of 12,000 is likely to act as an immediate support level for the index. The ADX line is above 25 and it is considered to be trending. Also, the +DI is above the –DI, indicating a bullish trend.
 
All-in-all, after breaking out of a strong consolidation with a sizable bullish candle, we could effectively consider bears as extinct as we are only focusing on one direction until price tells us otherwise. We are looking at a target of 12,300 in the short term, on a close above 12,103 levels.

Ashok Leyland: Ashok Leyland signed a Memorandum of Understanding (MoU), with lClCl Bank to enter into a strategic financing partnership for two years. This MoU will enable both, Ashok Leyland and lClCl Bank, to offer customised financial solution to customers across India with a focus on semi-urban and rural geographies.

ZEEL: The company has appointed three new independent directors in lieu of two independent and one nominee director of Essel Group. Also, Subhash Chandra stepped aside as the chairman of the company.

Goodyear: The company has decided to close its manufacturing operations of its plant situated at Ballabgarh, Haryana, from November 25 to 30, 2019 (both days inclusive) to align production in line with the market's demand.

Reliance Communications: Reliance Communications received resolutions plans from VFSI Holdings Pte. Ltd., Bharti Airtel Ltd., and UV Asset Reconstruction Company Ltd., which were presented to committee of creditors of the corporate debtor (CoC) in the meeting held on November 25, 2019.

Aarti Industries: The company incorporated two wholly-owned subsidiaries, namely, Aarti Organics and Aarti Bharuch.