Index Trends & Stocks In Action For 24th June 2013

The Indian markets ended a volatile session on a positive note on Friday as investors preferred to buy technology stocks amidst optimism that the weak rupee would improve profitability going ahead. The Nifty gained 11 points at 5667. On analyzing the daily chart for the Nifty, it appears that the Index has formed a bullish candlestick on Friday along with high volumes and the RSI is in an oversold position. One more important thing about the Nifty is that it has held on to its support of the rising trend line from its yearly low of 5032. This bring us to the conclusion that the Nifty is likely to see a minor pull back from here on. We expect it to see a pull back to levels of 5700-5730 and over here it is likely to face a stiff resistance. On other hand strong support for the Nifty stands at 5610, if we breach this we may touch levels of 5500 in the short term.

Shares of Mahindra Composite may show positive trades on the back of the open offer announced by the acquirer, Participaciones Internacionales Autometal Dos, S.L. The acquirer has announced a price of Rs 74.70 per share whereas the current share price stands at Rs 41.75. The stock is expected to do well as the offer price is at a 79% premium to the current market price.

Mold-Tek Technologies, an engineering company based in Hyderabad has said that it has received its first trial order contract from an Ireland-based Company. At this time it is not clear which company has given this order but the stock reacted on Friday with gains of more than 5%. It should be noticed that the announcement came after market hours. There is a probability of the stock showing further gains today as well.

The country's largest sugar firm Bajaj Hindusthan will seek shareholders' nod for sale of its investment in two group firms related to its power venture, Bajaj Energy and a subsidiary in Singapore. Bajaj Hindusthan has a 26 per cent stake in Bajaj Energy, while Bajaj Hindusthan (Singapore) Pte is a wholly-owned subsidiary set up to acquire coal mines in Indonesia. This development will keep the stock in the limelight for today.

Bharti Airtel will cut its 4G data charges by 31% today in an aggressive bid to boost mass appetite for fourth-generation wireless broadband services and also make life more difficult for future challengers. The stock is likely to see some good action today following this announcement.