Index Trends & Stocks In Action For 27th June 2013
DSIJ Intelligence / 27 Jun 2013
It looks like the market is forming a strong base at levels of around 5560-5579. Yesterday, the low of the previous day wasn’t broken and we almost have a triple bottom in place. On a technical basis, what does this mean for the Nifty? Find out which stocks will be in action today.
Indian equity markets ended lower this Wednesday after the rupee tumbled to an all time low of Rs 60 per USD raising fears of more outflows in the near term. In the last 11 trading sessions, FIIs have been net sellers of Rs 105.50 billion. The Nifty 50 yesterday dropped 20 points to end at 5588.
On analysing the daily chart of the Nifty, it looks like the market is forming a strong base at levels of around 5560-5579. One positive thing about yesterday’s trading was that the low of the previous day wasn’t broken and we almost have a triple bottom in place.
Going ahead, if the markets close above 5650-5640, we may see a rally up to levels of 5740 in the short term. On the other hand, if the Nifty breaks the level of 5550-5560, we may see bear’s in action and we may see a drop to levels of 5450-5500. We expect the markets to be volatile today on account of the future and options expiry. The trading range for the day will be 5560-5640.
As the deadline for the banking license is nearing there is an increase in the number of corporates applying for the banking license. The latest development is that Magma Fincorp will be applying for a banking license. If one goes by the trend then corporates applying for a banking license have seen a rise in the share prices and the same cannot be denied in the case of Magma Fincorp.
In another such major development, Reliance Capital has said that Japan's Sumitomo Mitsui Bank and Nippon Life would become its strategic partners in the proposed banking venture, and that each one of the will take about 4-5% stake. Reliance Capital is currently in the non-banking financial services business and would be the main promoter of the bank if it is granted the license. The stock has already shown positivity and one can expect the positive momentum to continue.
According to news reports, Coal India has signed a fuel supply pact with NTPC. The two Maharatnas were in fight over the low quality of the coal as well as huge receivables. Signing of the FSA would be seen positively by the markets and a marginal rise in the share price of NTPC can be expected.
Century Textiles has reported that it will ramp up its cement making capacity to 12.8 MT per annum by the end of FY14. The company currently has around 10 mtpa capacity at its four existing plant locations. The news may be seen positively today.
If you want to stay updated with the share market news today, keep a close watch on the indian stock market today with real time movements like sensex today live and overall stock market today trends. Investors tracking ipo allotment status, ipo news today, or the latest ipo india can also follow daily updates along with bse share price live data. Whether you are learning how to invest in stock market in india, preparing for a market crash today, or searching for the best stocks to buy in india, insights on top gainers today india, top losers today india, trending stocks india and long term stocks india help in making informed investment decisions.