Index trend and stocks in action October 21, 2016

Indian benchmark indices started off the session on a positive note and later shifted into intraday sideways consolidation with positive bias. The sideways consolidation continued for the entire session and at the end Nifty ended the session just shy of 8700 mark. On the daily chart Nifty has formed a potential ‘Doji’ candlestick pattern, which is indicating a state of confusion among traders. Nifty managed to fill the opening downside gap which was created as on October 13, 2016. However, it failed to sustain above 8700 mark. Now going forward the level of 8735 will act as a stiff resistance. On the downside, the zone of 8660-8670 will act as an immediate support, and a decisive move below this zone will open gates for correction upto 8600-8620 levels. 

Wipro: Wipro signed a definitive agreement to acquire Appirio, a U.S based cloud services company for $500 million in a cash transaction.

Biocon: Biocon has reported a net profit of Rs.147 crore for the quarter ended September 2016 compared to a loss of Rs.10.6 crore in the corresponding quarter last year. Total income for the quarter was up nearly 20% to Rs.954 crore. There was strong growth across small molecules, biological and research services. The company’s facilities have also completed satisfactorily all necessary regulatory audits by the USFDA.

Reliance Industries: Reliance Industries has reported an 18.5 per cent rise in standalone profit in the quarter ended September 30 as its petrochemicals business boomed and its giant Jamnagar refinery has processed more oil, earning $10.1 for each barrel of crude it converted into fuels.

Ashok Leyland: Hinduja flagship firm Ashok Leyland said it has bagged order worth USD 170 million from Tanzania to supply vehicles, gensets, spares and equipment for development of workshops, training modules and allied equipment’s to be fitted on ambulances.