Index Trends And Stocks In Action For March 21, 2014

Indian Equity market started on negative note due to disappointment from the meeting of the US Federal Reserve. As a result the bears were active in the Bankex space and also a few frontline stocks from the Auto, Capital Goods and Metals space witnessed selling pressure. As a result Nifty closed below the technical level of 6500 losing 40 points during the day.

In today’s trading session the bears may see some more strength to extend the profit booking trade. Below the level of 6480 the vital supports at the lower levels are 6455/6420. If these respective vital supports are broken then the doors will open for 6350 level which will give more pain for the bulls. On the other hand 6500 will be the important hurdle on the upper side.

The government is planning to sell its stake in Axis Bank (BSE Code: 532215) today, economic affairs secretary Arvind Mayaram has informed. He further added that the government will be looking to sell its stake through block trades on exchanges. The government held 20.72% stake in Axis Bank as on December 31, 2013, through a trust fund called Specified Undertaking of the Unit Trust of India. The Indian government is aiming to raise Rs 3000-4000 crore via the stake sale. The stock may remain in focus in today’s trade.

With a dispatch of 15,000 units of its new bike "Discover 125" within a fortnight of its launch, Bajaj Motorcycles is pinning hopes on its new product to boost sales in the mass market segment. As per the management of Bajaj Auto (BSE Code: 532977) that the "Discover 125" will steer growth and bring the company volumes. The company was targeting big growth in the market for bikes in the range of Rs 47,000 to Rs 50,000 in the current year, adding, this segment accounted for nearly 60 per cent of the motor cycles sold in India. The stock may remain in limelight in today’s trade.

Dewan Housing Finance Corporation (BSE Code: 511072) is eyeing Maharashtra’s semi urban and rural market for housing finance lending business. It has over 11,000 customers in and around Pune with a portfolio size of Rs 1,000 crore. The expansion plans may induce some interest among investors in today’s trade.

The Rs 43,000-crore business conglomerate ITC (BSE Code: 500875) is setting up a luxury resort and spa at Mahabalipuram, a heritage tourism spot near Chennai. The resort, ITC Vilasa, is expected to be launched in the middle of this year. It would come up 25 km from south of Chennai, overlooking the Bay of Bengal. The stock may remain in limelight in today’s trade.