DHFL struggles to recover losses; raises funds

The stock of Dewan Housing Finance Corporation (DHFL), a housing finance company, broke out of its resistance at 259 levels and the 50/100 days EMA levels of 253-256. Sadly, the stock felled steadily by 30 per cent for past three weeks since November 1, 2016. It has a long way to go to recover the losses and rise above 330 levels.

After this on positive note, DHFL has surged at 3.6 per cent to close at 264.50 levels recording its 6th consecutive positive closing. The company announced today that it will raise the funds by way of issuance of preferable shares; the decision will taken in a board meeting slated on January 16 to seek approval of its directors. the terms will be decided by the board of directors.

DHFL reduced its home lending rates by 50 bps to 8.6 per cent from the 9.1% earlier and since then was constantly in the news. DHFL took the decision as its major competitors and public sector banks cut their interest rates.