Reliance’s Bonus Share Proposal, Paytm’s Positive Brokerage Updates, and KEC’s New Orders

Written by - Fisdom Research

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August 29, 2024 3 minutes

Indian markets overview:

Nifty and Sensex closed at record highs on August 29, despite initial concerns from Nvidia’s slower-than-expected guidance.
Both indices hit fresh record highs during the session, marking their eleventh consecutive day of gains.
The broader market lost momentum, with midcap and smallcap indices falling by 0.3% and 0.6%, respectively, after earlier outperforming the main indices.
This decline follows a strong year-to-date rally where the broader market gained nearly 28%, surpassing Nifty’s performance.

The benchmark index closed at 25,152, up 0.40%, forming a large bullish candle on the daily chart.
The index hit a new all-time high of 25,193 and is trading near its top rising trend line.
RSI (14) has broken out of the falling trend line, and the index is above key DEMA, indicating continued strong momentum.
MACD shows a positive crossing, remaining above polarity.
Short-term outlook is negative to sideways with support at 25,000 and 24,900, and resistance at 25,400.

The banking index closed flat at 51,153, forming a DOJI candlestick near its falling trend line.
The daily chart shows a higher low structure, with the index trading in a narrow range throughout the day.
The index continues its short-term uptrend, closing above crucial DEMA and the 10, 20, and 50-day moving averages.
RSI (14) remains above 55, supported by the weekly chart’s rising trend line, and MACD shows a positive crossover.
Resistance levels are at 51,400 and 51,650, with support at 50,950 and 50,650.

Reliance Industries gained nearly 2% after announcing that its board will consider a 1:1 bonus share issue on September 5. The announcement, made ahead of the 47th annual general meeting on August 29, is aimed at rewarding shareholders for the conglomerate’s strong financial performance and business expansion.

Paytm rose over 3% following positive brokerage updates, driven by the government’s approval for investment in Paytm Payment Services Limited (PPSL) and anticipation of an upcoming RBI decision. The company is set to resubmit its payment aggregator license application to the RBI.

KEC International shares climbed 4% after the company announced securing new Transmission and Distribution (T&D) orders worth Rs 1,171 crore in the Middle East, including a 400 kV transmission line in the UAE and a 380 kV line in Saudi Arabia.

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