Index trend and stocks in action January 21, 2016

After a relief rally on Tuesday, the Indian indices witnessed a brutal sell-off; however, some recovery was seen in the last half an hour of trading session on Wednesday. On the daily chart the index was not able to sustain above Tweezer top and slipped below 7300 mark on an intraday basis. Now going forward the index has immediate support around 7270 and next support around 7200. On the upside, level of 7330 will act as stiff resistance and if it manages to sustain above levels of 7330, it’s likely to test levels of 7380 on the higher side. The daily 14-day RSI has managed to hold onto 30 levels, which is positive for the index.

Max India: Max group, which has approved demerger into three companies, said shares of Max India will start trading ex-demerger from 27th January, 2016. The existing company is in the process of being renamed as Max financial services.

MMTC: Stat-owned trading firm MMTC has informed that it has sold a 10 per cent stake in Indian Commodity Exchange (ICEX) for Rs 20 crore.

Nestle: Nestle has lost a lengthy-running court clash to trademark the four-finger shape of its Kitkat Chocolate bar in Britain. The Food gigantic firs tried to register the trademark in the year 2010, but the application was opposed by rival chocolate maker Cadbury UK.

Tata Steel: Tata Steel has informed that it has signed an in-principle agreement with the Quebec government to develop iron or deposits in the Canadian province, this development can help the steelmaker ease its raw material costs.

Mahindra Holidays: Holiday ownership company Mahindra Holidays & Resorts has increased its stake in Finland-based Saimaa Gardens Arena Oy to 100 per cent through its overseas subsidiary Holiday Club Resorts (HCR).

Interglobe Aviation: This airline stock is likely to be in focus as it will report its quarterly result today.