Pharmaceutical stocks are seen gaining next week, bucking the trend in the broad market which is expected remain volatile following the expiry of the August derivatives series. As investors roll over their positions to the next month, most would prefer save havens like pharmaceutical stocks which are not seen as unstable as others. Sun Pharma continues to strike a balance between short-term opportunities and laying the foundation to drive sustainable growth in new orbits. Stocks of Glenmark Pharmaceuticals are seen gaining next week following the International Centre of Dispute Resolution's ruling in favour of the company on the arbitration claim it filed against Napo Pharmaceuticals.
Glenmark, among other things, was seeking a ruling for its exclusive rights to develop, commercialise and distribute diarrhoea treating drug Crofelemer in 140 countries. The development may prove to be a big boost for the company," brokerage Networth Capital said in a report. Next week the stock is seen facing a resistance at 420 rupees and finding support at 405 rupees. However, if the stock falls below the support level, a correction is seen in the 390-385-rupee level, a technical analyst with a domestic brokerage said. Shares of Ranbaxy Laboratories are seen giving up their gains by early next week on profit booking. The counters gained after the company received the US Food and Drug Administration's approval for withdrawing 27 abbreviated new drug applications. Ranbaxy has withdrawn the ANDAs as part of the consent decree signed with the US FDA to resolve issues related to violations of good manufacturing practices. Avendus Securities said the lifting of the import alert on Dr Reddy's Laboratories' Mexico-based subsidiary by the US FDA was positive, but the brokerage did not expect any immediate earnings benefits for the company. Next week, the stock is seen facing resistance at 1,720 rupees and finding support at 1,630 rupees, the technical analyst said. Above the resistance level, the stock trend looked positive. Talking about the BSE Healthcare Index, he said it would be rangebound with a positive bias next week. By RUPEE DESK [email protected] -- You received this message because you are subscribed to the Google Groups "Kences1- Rupeedesk" group. To post to this group, send email to [email protected]. To unsubscribe from this group, send email to [email protected]. For more options, visit this group at http://groups.google.com/group/kences1?hl=en.
