Index trend and stocks in action April 05, 2019

Nifty opened on a positive note and traded in a confined range in the first half of the trading session. However, volatility emerged after RBI’s monetary policy review of a rate cut of 25 bps was already discounted. Finally, Nifty ended the session a tad below its psychological mark of 11,600. The price action formed a bear candle with minor lower shadow. The benchmark index is closing below its prior bar low for the last two days, which is a signal that the upward momentum is fading. The negative divergence in RSI is clearly visible now. If the RSI on the daily chart falls below the 63 level (now at 65.12), it will be a confirmation of the divergence as well as bearishness. The momentum indicator MACD line is also turning down and the histogram is clearly showing a cool off in the momentum. The negative divergence in stochastic oscillator was also confirmed by the cross-under at an extreme high. In the coming session, if Nifty closes below the 11,560 mark, the bearishness will strengthen further in the coming days, while on the upside, failure to get past the level of 11,760 will confirm the double top pattern.

Alembic Pharmaceuticals: The company has received Establishment Inspection Report (EIR) from the US Food & Drug Administration (USFDA) for the inspection carried out by them at its formulation facility at Panelav during the period from October 22, 2018 to October 25, 2018.

Britannia Industries: The company has issued commercial papers for an aggregate amount of Rs 500 crore dated 4th April, 2019, with tenure up to 260 days.

Mold-Tek Packaging: The company’s wholly-owned subsidiary company Mold Tek Packaging FZE, RAK UAE, started in August 2016 to cater the requirements of lube, paint, and food industries in the Middle East countries, has not bagged anticipated orders. The management of the company has decided to reduce operating capacity and has started further withdrawal of equipment from RAK.

Godrej Properties: The company has increased its equity stake in Wonder Space Properties Private Limited from 25.1% to 96.03% by acquiring equity shares from Shubh Properties Cooperatief U.A.

Hindustan Copper: The physical performance of Hindustan Copper Limited (HCL) has been robust in FY2018-19.

Amara Raja Batteries: The Galla family will acquire 2% equity shares of the company from Johnson Controls. JC and Galla family currently hold 26% shares. Upon purchase of the 2% shares, the Galla family will increase its holding in the company to 28%.

Mahindra and Mahindra: Swaraj Tractors, a part of Mahindra Group, has announced that it had crossed a production milestone of 15 lakh tractors since its inception over four decades ago.

Titan: The company's initiatives have helped the company grow its sales during the year FY19 by around 21%. Jewellery Q4 performance was on expected lines and the division grew by just over 22% in FY19. Watches division had a good year with a revenue growth of around 16%. Eyewear continues to progress well on its vision of serving 10 mn customers in a year by FY 23, with increase in customers from 2.5 mn to 3.5 mn in FY19 and has ended the year with a revenue growth of around 23% in FY19.

Cipla: The company has received the Establishment Inspection Report (EIR) from the United States Food and Drug Administration (USFDA) for the Goa manufacturing facility indicating closure of the inspection in January 2019.

Bal Pharma: The formulations manufacturing unit of the company located at Rudrapur, Uttarakhand, has received certification for GMP compliance for manufacturing of formulations, as per European Union regulations.

Zensar Technologies: The company has announced its expansion into the Latin American market with the launch of its operations in Mexico City, Mexico. The operations will focus on supporting the company’s customers in North America and the local region.

HMT: HMT Limited, the CPSE, and its subsidiaries, have recorded an increase in turnover over the previous year, as per the provisional and unaudited figures and achieved the targets of production and sales set for the year 2018- 19.

VIP Industries: A fire accident occurred at the company's warehouse situated in Uttar Pradesh. The fire was brought under control by the fire brigade. There was no loss of human life.

Rallis India: The company has received letter dated April 4, 2019 from GPCB revoking the earlier closure order.