Index trend and stocks in action on February 13, 2020

For the second straight day, Nifty had a gap-up opening on the back of favourable global cues. However, unlike Tuesday, where Nifty gave up bulk of its gains and ended near to its open, Wednesday’s bulls were more confident and stretched higher in the initial part of the session. Thereafter, it remained in sideways trajectory for the majority of the day and ended the day above 12,200 mark with gains of 0.77 per cent.

The price action formed a bullish candle with higher-high and higher low and this candle negated the gravestone doji formed in the previous session. On Wednesday, Nifty reclaimed its 50-DMA and it also closed convincingly above 61.8 per cent retracement level of the down move from its all-time highs. Going ahead, Nifty is approaching towards its short-term target of 12,272. While on the downside, the earlier resistance zone of 12,160-12,175 is now likely to act as a support.

Overall, the bias has turned bullish on the index as it has surpassed its hurdle of 50-DMA, however, going ahead, a follow through move is required to instill more confidence in the recent breakout. As long as Nifty trades above 12,160-12,175 region, it would be a buy on the dips market.

General Insurance Corporation of India: The Corporation has obtained a license from Central Bank of the Russian Federation (Bank of Russia) for its subsidiary company-GIC Perestrakhovanie LLC (Moscow) for the commencement of reinsurance business.

PNC Infratech: The company bags a hybrid annuity highway project worth Rs 2,052 crore in Uttar Pradesh.

BHEL: The company has signed a MoU with Joint Stock Company (JSC) Rosoboronexport (Russia) during the fifth India Russia Military Industrial conference held in Lucknow.

Aurobindo Pharma: The company completed the acquisition of certain business assets of Profectus BioSciences.

Yes Bank: Given that the current capital raising process has the bank’s fullest attention; it would like to inform the exchanges that it will publish its unaudited financial results for the quarter and nine-month period ending December 31, 2019 on or before March 14, 2020.

Welspun Corp: The company closes step down non-operating company in UAE with effect from February 11, 2020.

Rico Auto: The company’s newly set-up plant situated at Alwar (Rajasthan) to manufacture and supply auto components to their esteemed customers, has started commercial production.