Index trend and stocks in action on April 30, 2020
Finally, the bulls crossed the barrier of 9,400 mark on Wednesday. After starting the day on a positive note, Nifty continued with the momentum throughout the day and it almost touched 9,600 mark on intraday basis and eventually, settled at 9,553 with gains of 172 points or 1.84 per cent. Nifty has recorded its highest closing since March 16, 2020.
India Volatility Index, INDIAVIX, continued to cool-off as it declined by another four per cent and slipped below 34. On Wednesday, a broader participation was seen as 76 per cent of Nifty 50 stocks ended in green but the financials & banking stocks continued to outperform.
The price action formed a reasonable bull candle after the sideways range movement of the last few sessions. Further, Nifty’s high-low range was about 207 points, which clearly reflects the range expansion after a phase of contraction. Though Nifty has moved out of the range and crossed 9,400 mark on the closing basis but it is still trading within the rising wedge pattern.
Going ahead, Wednesday’s session high level of 9,599 is likely to act as an immediate resistance followed by 9,700 mark while on the downside, a support is seen around 9,400 mark and is likely to act as a strong support as per the rules of change in polarity.
As long as Nifty trades above 9,400 mark, be with the positive bias but buying on dips would be an appropriate strategy. Volatility is likely to kick on the eve of April month F&O expiry.
Suven Life Sciences: Suven Pharma clarified that damage worth Rs 17 crore have been fully-insured against the fire, which took place at the company’s research and development lab in Jeedimetla (Telangana).
Bharti Airtel: As a part of its ongoing business requirements, the company has renewed and enhanced its ongoing relationship with Nokia to boost its network capacity and customer experience.
Polycab: The board of directors of the company is scheduled to consider and approve the proposal of investment/acquisition of shares on May 2.
AU Small Finance Bank: The commercial bank is set to consider raising funds via share issue on May 2.