Index trend and stocks in action October 19, 2016

Nifty was on the verge of breakdown of the key support levels on Monday, however, on Tuesday we have witnessed a gap up opening on back of positive sentiments prevailing in the Asian peers. After a gap up opening Nifty continued to move on the upside for the entire session and there was absence of any reasonable intraday dips.  Nifty ended the session with robust gains of 1.85 per cent. On the daily chart Nifty formed a Bullish Marubozu, this candle indicates that buyers controlled the price from the opening bell to the close of the day. Now going forward Nifty will attempt to fill the opening downside gap which was formed as on October 13, 2016. Now going forward the zone of 8600-8630 will act as a strong support for Nifty. On the upside, the zone of 8730-8750 will act as a resistance zone.

Cairn: The Delhi High Court dismissed Cairn India’s pleas to export crude oil from its Barmer oil field situated in Rajasthan.

Mastek: Mastek doubled its profits to Rs.7.70 crore for the quarter ended September 2016. Revenue for the quarter was down by 3.2% at Rs.125 crore. The spurt in net profit was largely driven by operating efficiencies which resulted in a much improved EBIT. The company saw EBIT up by 90% while it’s operating margins expanded by 300 bps. The company also benefited from an improvement in utilisation rates.

Apollo tyres: Apollo tyres received shareholder approval to raise funds via issue of NCDs worth Rs 750 crore via private placement.

Tata Motors: Tata Motors to raise Rs 500 crore through NCDs via private placement.

Alok Industries: Alok Industries proposes resolution to declare itself as a potentially sick unit as losses mount to Rs 3,722.8 crore, which has eroded 50 per cent of the peak net worth of Rs 5,415.82 crore.

Mahindra CIE: Mahindra CIE receives shareholder approval to provide guarantee regarding loans and securities of subsidiaries worth Rs 5,000 crore.