Index trend and stocks in action on May 05, 2020
Nifty registered one of its biggest one-day falls in the percentage term since March 24, 2020 and as a result, it wiped out its entire gain of the last week in a single trading session. Nifty plunged nearly six per cent and ended below 9,300 mark. Only four stocks out of Nifty 50, managed to close the session in green. Volatility index, India VIX surged over 28 per cent to 43.74.
The price action of the day formed a sizable bearish candle opening at day’s high and closed near to its day low. Also, on Thursday, Nifty moved above the wedge pattern, with a gap-up and on Monday, it opened gap-down and has witnessed breakdown of rising wedge. Technically, Nifty retraced 23.6 per cent in a single day of March 24 to April 30 upmove.
Going ahead, an immediate support for Nifty is placed around 9,240-9,250 level followed by 20-DMA, which is placed at 9,050. On the upside, an immediate resistance for Nifty is placed at 9,400 mark.
Lupin: Lupin announced positive top-line result from Phase 3 study of single-dose Solosec for trichomoniasis treatment.
ICICI Bank: The board of the bank at its meeting scheduled on May 9 will consider fundraising by way of issuance of debt securities.
Colgate-Palmolive: The company has been allowed to resume operations at reduced capacity at all of its manufacturing plants, in accordance with the respective local regulations applicable to them. Besides, few of its plants are facing challenges of inter-districts and inter-state movement of labour and unavailability of labour for loading and unloading.
Nath Bio-Genes (India): The company has received 92 per cent of the targeted seed production from the fields. The remaining eight per cent is expected to be received by May 15, 2020. This is critical as the Kharif sowing starts around mid-June.
Container Corporation of India: The company has decided to reorganise its number of terminals by surrendering/handing over certain terminals of the company, which are built on the land taken on lease from Railways.