Index trend and stocks in action January 27, 2017

On Wednesday, the Nifty index opened the session in positive territory and thereafter the bulls capitalised on the momentum, ending the expiry on a fruitful note. The Nifty index closed above important psychological mark of 8600, and is now trading above 61.8 per cent retracement of major downswing from high of 8968.70 to low of 7893.80. The opening downside gap of November 2, 2016, has been almost filled. Now going forward, the next key resistance on the upside is in the zone of 8680-8700. On the downside, important support for the Nifty is placed around 8558, and below this level next support is placed around the level of 8500. The Daily 14-period RSI is trading above level of 70 and has entered into overbought zone.

Dilip Buildcon: Infrastructure firm gets project worth Rs 911 crore from National Highway Authority of India.

Allahabad Bank: Board approves raising of Basel III compliant Tier 2 bonds worth Rs 1,000 crore.

GHCL: To consider mid-year dividend, buy-back has been scheduled on January 31.

Mphasis: To consider buy-back of shares on January 31.

Reliance Communication: Moody’s downgrades the rating outlook of Reliance Communication to ‘negative’ due to uncertainty over the timing and completion of the restructuring it has announced as well as the company’s high debt. Moody’s Investors Service said it has downgraded RCoM’s corporate family rating and senior secured bond rating to ‘B2’ from ‘B1’.

GAIL: Gail approved issuance of one bonus share for every three held and an interim dividend.