Index trend and stocks in action March 01, 2016

The Indian market began the day on a cautious note ahead of the Union Budget 2016. After trading in narrow range for first couple hours of trading session, the index saw a sudden bout of selling which took index to new 52 week low of 6826. However, things settled in the afternoon session and market saw a swift recovery. At last market finished beneath 7000 mark. Now going forward important support for the index will be in the range of 6800-6850. On two occasions the index has managed to defend levels of 6820-6870. As long as nifty index trades above these levels, it’s likely that short term bottom is in place. On the upside levels of 7100 will act as a stiff resistance for the index. We observe a formation of positive divergence in the RSI and this is positive.

Lupin: Drug major Lupin has informed its wholly-owned Japanese subsidiary, Kyowa, that it plans to set up a manufacturing plant at Tottori, Japan as part of expansion plans in the country.

IOC, BPCL and HPCL: Petrol prices were slashed by Rs 3.02 per litre, but Diesel rates were hiked by Rs 1.47 a litre-the second increase this month in line with global trends.

Axis Bank: India’s third largest private lender Axis Bank has bought 4.99 per cent stake in Max life insurance for Rs 95.75 crore. The bank now owns 5.99 per cent stake in Max life insurance. Axis Bank bought 3.99 per cent stake from Max Financial Services and 1 per cent stake from Mitsui Sumitomo Insurance Company.

BEML: BEML has informed that it has bagged the prestigious order valued at Rs 900 crore for the supply of Metro Coaches to Kolkata East-West Metro Line.

Syndicate Bank: Syndicate Bank has informed that the Board of Directors of the company has considered and sanctioned the issue of 4,13,12,457 equity shares of the face value of Rs 10 each forcast at Rs 52.51 aggregating to Rs 216.94 crore on a preferential basis to LIC of India.