Index Trends & Stocks In Action For 26th August 2013

Last week, the markets ended on a positive note with the Sensex and the Nifty gaining over 1 per cent on the back of a recovery in the Rupee. The Nifty rose 63 points to close at 5471 and going ahead it faces a strong resistance around levels of 5520-5525; if the index sustains at this level, we could see some momentum buying coming in and this will help the bulls and in turn the Nifty to hit 5570-5600 levels. On the downside the Nifty has a strong support at around 5450 and 5400 levels.

ITC will consider a merger of the non-engineering business of its subsidiary Wimco with itself. The company along with Russell Credit, a wholly owned unit, holds 98.21 per cent of Wimco's share capital. Apart from the agri-products and matches businesses, Wimco has interests in manufacturing packaging machinery. The stock of ITC will remain in action following churn that is happening within the group as can be read from this information.

According to reports, Tata Group firm Indian Hotels will open 19 new properties under 'The Gateway Hotels and Resorts' brand in four years as part of its expansion plans. The hospitality company, which currently has around 2200 rooms under the Gateway portfolio, will add another 2000 rooms to its present strength. The stock of Indian Hotels will be on the market radar following this development.

Ranbaxy Laboratories is reportedly considering a geographical consolidation of its business portfolio. The company is likely to ‘withdraw from some local markets in the near future and consolidate in some others.’ The market will surely watch this move closely, keeping the stock in action as it unfolds more clearly in the near future.

JSPL is strengthening its resource security. The company has own five iron ore mining contracts in African countries which include one each in Namibia, Gabon, Sierra Leone, Mauritania and one in South Africa. The stock is likely to remain well in action today following the developments on the mining front in India as well as these wins in other countries for it.