Index Trends And Stocks In Action For June 06, 2014

Indian Equity market in first couple of hours of trading session was somewhat sluggish, but stocks rallied sharply thereafter on the Indian bourses lifting the BSE Sensex past the magical mark of 25,000. In our last write up we mentioned once Nifty index sustains above level of 7440-7450 its likely to touch 7500 mark and Nifty almost touched this mark in today’s trading session.

Now that Nifty has crossed its short term hurdle of 7440-7450 along with bullish engulfing candlestick, the momentum is likely to continue in tomorrow’s trading session. Now going forward we need to monitor the Nifty levels 7504 on upside and 7430 on the downside. Once we get past resistance of 7504, Nifty is likely to touch its next resistance area of 7565. On downside if we slip below 7430, bear’s will take charge and it’s likely we touch 7340-7370.

Kochi-based Federal Bank (BSE Code: 500469) has received approvals from the Reserve Bank to open a representative office in Dubai, its second office in the Emirate. The representative office will function as a source of information to NRIs interested in foreign investments in the country, apart from serving the diaspora. The stock may remain in focus in today’s trade.

The country's largest carmaker Maruti Suzuki India (BSE Code: 532500) will kick off a roadshow this month to explain to global and domestic investors its move to let parent Suzuki Motor Corp own a proposed plant in Gujarat. The company's management led by Chairman R C Bhargava, along with Managing Director and CEO Kenichi Ayukawa and Chief Financial Officer Ajay Seth are expected to meet institutional investors from the US, UK, Asia and India. The stock may remain in limelight in today’s trade.

Mahindra & Mahindra (M&M) (BSE Code: 500520) launched a special edition of its sports utility vehicle XUV500, priced at Rs 13.68 lakh (ex-showroom Mumbai). The special edition--XUV500 Sportz, which has been built upon the top end model of XUV500, comes with various external and internal features including rear-view camera and leather-fabric seats. The stock may remain in action in today’s trade.

Reliance Industries (BSE Code: 500325) said its open offers to acquire a controlling stake in media group Network18 and its subsidiaries will begin on July 21. RIL proposes to acquire control over the media group through Independent Media Trust (IMT). The open offers will close on August 4, RIL said in a regulatory filing. The stock may remain in action in today’s trade.