Index Trends And Stocks In Action For February 20, 2014

Indian Equity markets clocked their highest close since January 24th, 2014 although volumes were dismal in comparison to average volume as Indian's currency, debt and money markets were closed on account of public holiday. Information technology stocks where in limelight followed by healthcare and Consumer durables. The Nifty settled at 6152 at the end of the day gaining 26 points. In our last write up we mentioned that the buying momentum is likely to continue as nifty has entered into short term uptrend and this was in line with expectation.

Now going forward the nifty has entered into a strong upward momentum, however it needs to trade above the most vital support of 6100 and 6080 to continue this bullish pace.  Now major hurdle for nifty is in the zone of 6190 to 6220 once nifty manages to cross this hurdle and stays above this zone it's likely to touch levels of 6270-6300 in short term.  While that being bullish projection, we also need to look at lower support levels 6110-6080 in the event of any profit booking or some major sell off these levels will act as strong support for nifty.

Bharti Airtel (BSE Code: 532454), India's biggest mobile service company, has become the first in the country to cross 200 million subscribers. The company has crossed the 200 million mobile subscriber mark in India, further consolidating its leadership position in the world's second-largest mobile market. The stock may remain in focus in today's trade.

Country's largest two-wheeler maker Hero MotoCorp (BSE Code: 500182) has decided to cut prices up to 5% to pass on the benefit of excise duty cut announced by Union Finance Minister P Chidambaram in his interim Budget. The stock may remain in limelight in today's trade.

Motorcycle maker Bajaj Auto (BSE Code: 532977) is building on its partnerships with Japan's Kawasaki Heavy Industries Ltd and Austria's KTM AG as it looks to increase exports of its bikes to fuel growth. Bajaj is already India's top exporter of motorcycles and three-wheelers, being well established in some neighbouring and African markets, and has this year weathered weak domestic demand thanks to higher export revenue. The stock may witness some buying interest in today's trade.