Index Trends And Stocks In Action September 15, 2014

The Indian market witness yet another day of consolidation as investors and traders remained cautious ahead of the IIP data for the month of July and CPI inflation data for August. However it did manage to end its three day losing streak led by gains from pharma and auto stocks.  Nifty on daily chart formed a bullish harami candlestick pattern. A bullish harami occurs when there is a bearish red candle on day 1st followed by a smaller bullish candlestick on 2nd day. Going forward as long as nifty stays above 8035 bulls will have an upper hand. Monday will be a crucial day since a decisive close below level of 8035 raises the possibility of a correction of 100 odd points.  On the upside 8130 will act as a stiff resistance if nifty manages to cross this hurdle we could see an up move up to levels of 8180.

Lupin (BSE Code: 500257) has entered into an agreement with US-based Salix Pharmaceuticals to market gastrointestinal drugs in Canada. Canada is the eighth largest market in the world, with a size of $22.2 billion. Lupin has forayed into the branded drugs segment, which constitutes about 76% of the total market. The gastrointestinal disorder market is close to $1.5 billion. The stock may trade with a positive bias in today’s trade.

Tata Steel (BSE Code: 500470) said on Saturday that it expects to start operations at the first phase of its 55,000 tonne per annum ferrochrome plant in Odisha by March 2015. The company has recently filed documents seeking environment clearance for establishing another ferrochrome plant at the site. The stock may remain in focus in today’s trade.

Pfizer Inc (BSE Code: 500680) and India’s Ranbaxy Laboratories (Bse Code: 500359) on Friday won dismissal of a US antitrust lawsuit accusing them of conspiring to delay sales of generic versions of the best-selling cholesterol drug Lipitor. Both the stocks may remain in focus in today’s trade.

State-run ONGC (BSE Code: 500312) foray into coal bed methane (CBM) exploration could get a bit longer. Brisbane-listed Dart Energy has surrendered its stake in the former's CBM bocks. The stock may remain in focus in today’s trade.