Pharma Stocks Outlook: Seen up amid volatile broad mkt next week

[B. Karthick]

Pharma Stocks Outlook: Seen up amid volatile broad mkt next week
Saturday, Aug 2

Shares of pharmaceutical companies are seen up amid volatility in
the broad market next week.
This week, key share indices moved up by over 2%, while Bombay
Stock Exchange's healthcare index remained flat.
Most frontline shares, barring Dr Reddy's Laboratories, are seen
up next week.
Dr Reddy's Laboratories, which declined almost 8% this week after
it was moved out of Nifty index, is likely to continue its downtrend
with support at 540 rupees.
Sun Pharmaceutical Industries looks brighter among all pharma
shares next week. It is likely to test 1,550 rupees if it breaches the
level of 1,450 rupees.
Ranbaxy is likely to rise further next week, with resistance at
530 rupees.
GlaxoSmithKline Pharmaceuticals is trying to breach the 1,140
rupee level, but may face selling pressure. The stock could witness a
breakout and surge further if it breaches the level of 1,140 rupees.
Cadila Pharma is seen range-bound, while Cipla's pattern on the
charts indicates that the stock is set for an upside, with resistance
at 243 rupees.

Closing prices, in rupees, of leading pharmaceutical shares, on
NSE Friday, compared with a week ago:

Company Aug 1 Jul
25 % Change

Cadila Healthcare 310.80
299.45 3.8
Cipla 220.00
225.95 (-) 2.6
Dr Reddy's Laboratories 584.85
634.95 (-) 7.9
GlaxoSmithKline Pharmaceuticals 1,115.35 1,100.10
1.4
Pfizer 588.30
556.45 5.7
Ranbaxy Laboratories 510.15
481.10 6.0
Sun Pharmaceutical Industries 1,444.55
1,411.60 2.3
.
BSE Healthcare Index 4190.84
4186.14 0.1
Nifty 4413.55
4311.85 2.4
Sensex 14656.69
14274.94 2.7

End

B.Karthick,
Research Analyst.