Index Trends And Stocks In Action For April 29, 2014

Indian Equity market opened soft on back of mixed global cues but as the day progressed profit booking was seen in Automobiles, Capital Goods and Fast moving consumer goods (FMCG) stocks. On flip side Healthcare and banking stocks supported market. The Nifty index closed with loss of 21 points at 6761.In our last write up we mentioned that we are expecting some correction in index and this was in line with our expectation.

We also gave intraday support level of 6730 and said that if this level is hold we expect a bounce.  The Nifty index looks weak, however if the Nifty were to move down below the level of 6730 and stay there then expect it to test levels of 6670-6680 which is next significant support zone.  On upside barrier for Nifty would be 6828 and if Nifty manages to sustain above this level its likely to touch next barrier of 6860-6870.

Three multinational drug makers - The Medicines Company, Hospira and Kowa Company Ltd, in separate cases - have dragged Indian firm Aurobindo Pharma (BSE Code: 524804) to court on allegations of patent infringement. According to the petition copies, Hospira has alleged that Aurobindo's Abbreviated New Drug Application (ANDA) to make generic version of dexmedetomidine hydrochloride injection would infringe its patented drug Precedex. The stock may remain volatile in today’s session.

Jindal Steel and Power (BSE Code: 532286) has commissioned a 2 million tonne per annum (MTPA)integrated steel plant in Oman with an investment of around USD 800 million. Jindal Shadeed Iron & Steel, a wholly owned subsidiary of JSPL, also has a 1.8MTPA DRI plant in Oman, which has been operational for the last two years. The steel facility, using state-of-art technology from Danielli Italy, is Oman's first and largest steel melting shop and also the third largest unit of Middle East and Gulf Region. Jindal Shadeed has invested over USD 800 million in this integrated facility. The stock may remain in limelight in today’s session.

Idea Cellular (BSE Code: 532822) almost doubled its consolidated net profit for the quarter ended March 2013, on the back of increased realised call rates and increase in consumption, while the data growth story continued to be strong. The Aditya Bilra Group company said consolidated net profit rose to Rs 589.8 crore from Rs 308.2 crore. Revenue for the just ended quarter grew 16% on year to Rs 7043.8 crore. The stock may witness buying activity in today’s session.

Competitive pricing with robust marketing efforts have helped CERA Sanitaryware (BSE Code: 532443) posted strong result in its fourth quarter ended March 31. The company’s total income grew 38.1 percent to Rs 218 crore against Rs 158 crore and profit after tax increased 38.8 percent to Rs 19.3 crore against Rs 13.9 crore on a year-on-year basis. CERA has also reported a standalone sales turnover of Rs 218.19 for the quarter. The stock may remain in limelight in today’s session.