Index trend and stocks in action June 06, 2016

The Indian market started the session on a firm note. However, the markets failed to capitalise on the early momentum and slipped to lower levels, after reports of growth in India’s Service Industry slowing sharply in month of May to a six month low, came in. On the daily time frame Nifty has continued with its positive sequence of higher top higher bottom. However, the 61.8 per cent retracement of down move from high of 9119.20 levels to low of 6825.80 levels is acting as a big hurdle. Now going forward the zone of 8245-8265 will act as a stiff resistance for Nifty. On the other hand, the zone of 8130-8150 will act as an immediate support for Nifty. The Daily 14 day RSI is quoting around 70 levels and has turned flat, indicating exhaustion of momentum of the bulls. 

Sun Pharma: A wholly owned US subsidiary of Indian drug maker Sun Pharma has agreed to divest two oral solid dosage manufacturing facilities to Frontida BioPharm.

Force Motors: Indian utility and commercial vehicles manufacturer Force Motors has announced its sales performance for the month of May 2016. During May 2016, the company produced 1,588 units of small and light commercial vehicles. It sold 1,383 units of SCVs and LCVs in domestic market and exported 224 units.

Biocon: Indian biotech frontrunner Biocon and its global partner for biosimilars, Mylan, have announced positive data from phase 3 clinical trials of a proposed copy of transtuzumab, a complex injection used widely to treat a type of breast cancer.

Indianbulls Real Estate: The Company has announced that Tapir Realty Developers, a 100 per cent subsidiary of the company, has entered into a joint development agreement with Oricon Properties.

Jubilant Life Sciences: Drug firm Jubilant Life Sciences has received final approval from the US health regulator for generic Levetiracetam injection, used for treatment of epilepsy, in the American market.

HDFC: HDFC Ergo general insurance company, promoted by HDFC has agreed to buy L&T General Insurance for a sum of Rs 551 crore, first buyout in the general insurance industry.

Excel Crop Care: Japanese conglomerate Sumitomo Corp., has acquired 44.98 per cent stake in Excel Crop Care for around Rs 623.44 crore and has also announced to launch a Rs 415.80 crore open offer to acquire further 30 per cent stake in the company.

Jaiprakhash Associates: The Jaypee group companies have defaulted loans and other payments worth Rs 4,460 crore. The group has on a consolidated basis failed to repay Rs 2,905.6 crore in principal amount to banks and another Rs 1,558.93 crore in interest payments