Index Trends And Stocks In Action For May 19, 2014

Indian Equity market ended at new closing highs on Friday, but shed much of the intra-day gains as investor indulges in profit taking. The Nifty settled at 7203 registering gains of 79 points after making a new peak of 7563. High beta sector like Realty, Capital Goods, Banks and Oil & Gas were the best performers, while defensive sectors like IT, FMCG and Pharma ended in red.   Going forward nifty has important support for is around 7150 on down side and next important support is around 7060. If nifty breach’s this important support level of 7060 we may slide down to levels of 6950. On upside 7280 will act as stiff resistance and next resistance 7350.

JK Tyre Industries (BSE Code: 530007) said the company would double its capacity at its greenfield plant at Chennai by the end of this year. The expansion was being carried at an investment of Rs 1,500 crore, Darshan, who was in the steel city to take part in the inauguration of one-stop Steel Wheel showroom 'Chawla Tyres (P) Ltd' here. Currently, the company is producing 16,000 radial tyres per day of car and trucks and the figure would be 32,000 per day following the commissioning of the expansion project, which was expected by November-December. The stock may witness some buying interest in today’s trade.

Private carrier Jet Airways (BSE Code: 532617) is re-working a comprehensive profitability plan sought by its foreign partner Etihad Airways, which completed a 24% stake purchase in the Naresh Goyal-led carrier recently. The development comes on the heels of the market regulator Sebi exempting the UAE carrier from making an open offer to the public shareholders of Jet. The stock may remain in limelight in today’s trade.

Essar Ports (BSE Code: 500630) will be investing Rs 3,000 crore into expansion over the next three years as it has received environmental clearance and legal go-ahead from the government in four port projects, which were stuck for several years.  The projects will increase cargo handling capacity by 77 million tonnes per annum to 181 mt. The stock may remain in action in today’s trade.