Index Trends And Stocks In Action October 010, 2014

The Indian market ended on a high note, gaining in strength as the session progressed after optimistic start. With the minutes of the U.S Federal Reserve’s monetary policy meeting held in September hinting that the Fed is in no great hurry to hike interest rate.  Nifty on daily chart has formed Bullish Marabuzo candlestick pattern. The Bullish marabuzo candle is one that reflects strong bullish intent. The fact that there is large body shows volatility and the fact that there are small or no tail represents the decisiveness of the candle. Now going forward bull’s needs to trade above the supply zone of 8035 to gain dominant position. On downside support for index is placed around levels of 7920 and 7880.

Zicom Electronic Security Systems (BSE Code: 531404) is planning to re-enter the government and institutional security market. The company had sold this unit of its to Schneider Electronic in 2010 for Rs 225 crore. The company may also look for acquisitions of assets in this segment as it targets to scale fast. The company said that it is too early to give a revenue target, Rao is aiming to get atleast sales execution of Rs  50-100 crore by FY16. The stock may remain in focus in today’s trade.

IDFC Alternatives, multi-asset class management arm of IDFC (BSE Code: 532659), has announced final closing for it's about Rs 5,500 crore (USD 900 million) India Infrastructure Fund II. This includes a commitment of USD 90 million from its parent IDFC and remaining USD 810 million from third party Limited Partners ("LPs"). The stock may remain in focus in today’s trade.

Alok Industries (BSE Code: 521070) has approached banks to restructure its debt and, at the same time it is taking several steps to increase exports. With higher dollar earnings, Alok Industries is also planning to swap its local loans with dollar loans, thereby cutting its interest cost by half and reducing its annual outgo by almost Rs 600 crore. The company has converted Rs 5,000 crore of its local loans into dollar debt and plans to convert another Rs 9,800 crore in the next three months. The stock may remain in focus in today’s trade.