Index trend and stocks in action on May 07, 2020

Nifty opened the session with modest gains, however, it turned out to be merely a formality as the index slipped lower in initial trades but on the downside, it took support near 20-day moving average and bounced back to close with a gain of 0.71 per cent at 9,271 level.

The price action of the day formed a small body long shadow candle which appears like a high wave candle. Going ahead, the level of Wednesday’s session low of 9,116.50 is likely to act as an immediate support level. On the upside, the range of 9,350-9,450 is likely to act as a stiff resistance.

For Thursday, it’s important for Nifty to stay above 20-DMA and if it sustains below this level, the bears are likely to dominate the show. However, volatility will be the hallmark of the day on the eve of weekly expiry, hence, traders are advised to trade with a strict stop-loss and follow proper risk management.

Dr Reddy’s Laboratories: Dr Reddy's Laboratories received approval for their NDA, ELYXY (celecoxib oral solution) 25 mg/ml, in US.

HDFC: HDFC will issue secured, redeemable, non-convertible debentures on private placement basis with an issue size of Rs 2,500 crore along with, an option to retain over-subscription of up to Rs 2,500 crore.

Maruti Suzuki: Maruti Suzuki to restart production of vehicles at its Manesar plant (Haryana) from May 12, 2020.

Aster DM Healthcare: Aster Clinical Lab LLP, the diagnostics arm of Aster DM Healthcare, which is the largest integrated healthcare network in GCC and emerging healthcare player in India, has started providing RT-PCR confirmatory test service for COVID-19 in Bengaluru (Karnataka).