Special report-02-nov-2018-epic-research

Page 1

Special Report 02-Nov-2018

Global markets at a glance Asian equity markets rose on Friday as China and the United States expressed optimism about resolving their bruising trade war, though a warning from tech giant Apple Inc on holiday sales amid emerging market weakness could weigh on technology shares. MSCI's broadest index of Asia-Pacific shares outside Japan was up 0.46 percent, adding to the previous session's strong gains. But that came after a sharp 10.3 percent dive in October, its worst month since August 2015.Australian shares were down 0.18 percent, while Japan's Nikkei stock index was up 1.27 percent. The improved mood in early Asian trade followed a rise in US shares overnight, with the Dow Jones Industrial Average and the S&P 500 each gaining 1.06 percent while the Nasdaq Composite rallied 1.75 percent. PREVIOUS DAY ROUNDOFF Benchmark indices started off November month on a flat note on Thursday after losing around 5 percent in previous month. It was a roller coaster ride for the market amid mixed quarterly earnings and October sales. The broader markets outperformed frontliners with Nifty Midcap index gaining 0.87 percent. The Nifty index after opening sharply higher at 10,441.70, which was also the intraday high, traded in a tight range of 70 points throughout the session. It touched a day's low of 10,341.90, before closing 6.10 points lower at 10,380.50. The index made small bearish candle on daily charts, which resembles a 'Bearish Belt Hold' kind of pattern. According to Pivot charts, the key support level is placed at 10,334.3, followed by 10,288.1. If the index starts moving upwards, key resistance levels to watch out are 10,434.3 and then 10,488.1. Index stats The Market was very volatile in last session. The sartorial in dices performed as follow; Commodities[19.25pts], Consumption[52.85pts],PSE[22.40pts],CPSE [+8.00pts],Energy[92.85pts],FMCG[275.80pts],Auto [75.95pts],Pharma[222.20pts],IT[584.25pts],Metal[ 36.10pts],Realty[1.40 pts], Fin Serv sector[241.30pts].

World Indices Index

Value

% Change

DJIA

25380.74

1.06

S&P500

2,658.69

-1.73

NASDAQ FTSE100

7434.06 7,026.32

1.72

NIKKEI HANG SENG

21,818 26026

0.60 2.34

CMP

Change

1.32

Top Gainers Company

% Chg

Yes Bank

204.05

15.95

8.48

Hindalco

231.25

10.85

4.92

695.9

21.55

3.2

Axis Bank

602.15

19.75

3.39

BPCL

283.45

8.35

3.04

UPL

Top Losers Company

HCL Tech Dr Reddys Labs Tech Mahindra Bharti Infratel

CMP

Change

% Chg

1,008.90 2,461.60 720.7 261.2

-46.7 -80.85 -23.2 -8.05

-4.42 -3.18 -3.12 -2.99

666.7

-19.7

-2.87

Infosys

Stocks at 52 Week’s HIGH Symbol

Prev. Close

Change

%Chg

ADANIPOWER

46.1

9.44

4.35

BLUECHIP

0.65

7.69

0.05

IDFNIFTYET

107.47

0.11

0.12

KSB

800.25

-1.03

-8.25

LIQUIDETF

999.99

0

0.01

Stocks at 52 Week’s LOW Symbol

Prev. Close Change

%Chg

21STCENMGM 8KMILES ADHUNIKIND AGARIND AIFL

22.7 68.3 43.25 187.7 83.65

1.76 -3.66 -2.2 -0.93 -4.96

0.4 -2.5 -0.95 -1.75 -4.15

Indian Indices Company

CMP

Change

% Chg

Nifty 50

10380.50

-6.10

-0.06

BSE Sensex

34431.97

-10.08

-0.03

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Special Report 02-Nov-2018

RECOMMENDATIONS [FUTURE] 1.Escort[FUTURE] Stock has shown consolidation from the bottom of the chart with good volumes. It form double bottom pattern daily chart. As per the last candle it has made a breakout and closed above its crucial resistance level of 657 so we advice to buy stock in the range of 663-665 for the targets of 675682-689 with stoploss below 659.

2 .Titan[FUTURE] A clear consolidation can be seen around the levels of 859860 as per the market strength the traders can get opportunity to enter in this counter and as per the daily chart it has made a double bottom breakout and as per the trend it may continue its movement today also so we you to buy titan future around 860 for the targets of 867/875/883 with stoploss below 754

STOCK RECOMMENDATION [CASH] Jindal Steel & Power - [CASH] Stock has shown consolidation from the bottom of the chart with good volumes. It made multiple times reversals around these levels 179 and 150 and shown bounce back from there now its near to make a breakout above 180,so we recommend you to buy around 180 for the target of 187 with the stop loss below 176. Positional target 203/217 within 15 days.

MACRO NEW  Trends on SGX Nifty indicate a negative opening for the broader index in India, a fall of 33.5 points or 0.33 percent. Nifty futures were trading around 11,242level on the Singaporean Exchange.  Oil prices fell on Tuesday, dragged down by ongoing weakness in global stock markets and by signs of rising global supply despite looming sanctions on Iran’s crude exports.Front-month Brent crude oil futures were at $76.78 a barrel at 0040 GMT, down 56 cents, or 0.8 percent, from their last close. US West Texas Intermediate (WTI) crude futures were at $66.78 a barrel, down 26 cents, or 0.4 percent, from their last settlement.  Domestic institutional investors (DIIs) invested Rs 23,545.94 crore in Indian stock markets in October, taking advantage of the correction in the market. Their total investments this year have crossed Rs 1 trillion so far. DIIs’ net investment in Indian equity market so far this year stands at Rs 1.06 trillion. Mutual funds have pumped in a net of Rs 1.04 trillion, implying that some DIIs may have been net sellers of the asset class.  As many as 135 companies will declare their results for the quarter ended September 30 which include names like Bank of Baroda, Bhushan Steel, Cummins India, Dena Bank, IDFC Ltd, JK Tyre, Bank of Maharashtra, Tech Mahindra and Torrent Power among others.

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Special Report 02-Nov-2018

STOCKS IN NEWS

MOST ACTIVE CALL OPTION Symbol

Optio Strike n Price Type

LTP

BANKNIFTY

CE

25,400 27.3

23,87,402 18,66,620

BANKNIFTY

CE

25,500 7.15

20,73,292 28,53,600

BANKNIFTY

CE

25,300 85

20,23,098 9,51,740

LT

CE

1,400 14.45 8,197

6,17,625

TATAMOTORS CE

200

5,883

31,93,500

RELIANCE

CE

1,100 23.4

5,361

23,01,000

YESBANK

CE

200

4,753

31,86,750

MARUTI

CE

7,000 128.3 4,494

2,58,825

MARUTIACTIVE PUT CE OPTION 9,000 111.5 5,823 MOST

2,83,500

2.9 18

Optio Strike n Price Type

BANKNIFTY

PE

25,000 0.55

19,64,225

20,84,940

BANKNIFTY

PE

25,200 2.4

19,63,842

18,86,320

BANKNIFTY

PE

25,100 0.95

17,92,024

15,13,800

RELIANCE

PE

1,040 29.05 3,564

6,87,500

RELIANCE

PE

1,000 15.5

3,537

9,69,000

TATAMOTORS PE

170

3,395

16,44,000

LT

1,300 15.4

3,082

2,56,500

180

2,835

8,38,500

TATAMOTORS PE

5.3 9.05

Traded Volume (Contracts)

Open Interest

Symbol

PE

LTP

Traded Volume (Contracts)

ï‚·

Oil prices ease in early trade Oil prices fell early on Thursday, extending losses in previous sessions, amid signs of rising supply and growing concerns that demand might weaken on the prospect of a global economic slowdown.The Brent crude January futures contract lost 44 cents, or 0.32 per cent, to trade at $74.72 per barrel.

Open Interest NIFTY FUTURE

From the daily chart after rebounding from its important support level of 10030 the nifty future made a breakout which closed above its previous resistance level of 10280, however some corrections can be found during the initial trading session of the market since as per the intraday level stockhastic momentum indicator is showing a overbought conditiion in hourly chart so its better to buy nifty future around 10320-10300 for the targets of 10400-450 with stoploss below 10250.

FII DERIVATIVES STATISTICS BUY No. of Contracts

SELL Amount in Crores

OPEN INTEREST AT THE END OF THE DAY

No. of Amount in No. of Contracts Crores Contracts

Amount in Crores

NET AMOUNT

INDEX FUTURES

48510

3196.81

53438

3460.17

364156

27102.81

33759.792

INDEX OPTIONS

3362660

177535.09

3312525

174617.48

772723

56626.41

408778.9769

STOCK FUTURES

310102

17121.95

291544

16164.98

1404308

81859.46

115146.3879

STOCK OPTIONS

122725

6767.25

120979

6678.85

112656

6566.44

20012.5464 577697.7032

INDICES NIFTY BANKNIFTY

R2

R1

PIVOT

S1

S2

10515.3

10499.8

10478.5

10462

10441

25680

25634

25566

25521

25453

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Special Report 02-Nov-2018

RECOMMENDATIONS GOLD TRADING STRATEGY: BUY GOLD DEC FUT ABOVE 31870 TGT 31956 32072SL BELOW 31780 SELL GOLD DEC FUT BELOW 31717 TGT 31605 315443SL ABOVE 31780

SILVER TRADING STRATEGY: BUY SILVER DEC FUT ABOVE 38935 TGT 39150/39268 38850 SL BELOW 38750 SELL SILVER DEC FUT BELOW 38593 TGT 38344/38212 SL ABOVE 38700

COMMODITY ROUNDUP Gold prices advanced on Thursday as the dollar weakened after flirting with 10-week highs in the previous session on the bullish private jobs report. Gold futures for December delivery on the Comex division of the New York Mercantile The U.S. dollar index that tracks the greenback against a basket of other currencies inched down 0.1% to 96.70. The dollar traded near 16-month highs on Wednesday after data showed the private payrolls grew by 227,000 for the month, above the 218,000 seen in September and economists’ forecasts of 189,000.Gold posted a 2% gain for October, its highest since January. Just last week, it was headed for a monthly gain of nearly 4%.Despite last month’s gain, Gold prices have slipped about 11% from their April peak as investors turned to the dollar as a safehaven amid escalating trade concerns between the U.S. and China. Early bets for a widely-expected Federal Reserve rate hike in December, which would be the fourth for the U.S. this year, also buffeted the dollar at gold’s expense. Oil prices fell on Thursday, extending losses in previous sessions, amid signs of rising supply and growing concerns that demand might weaken on the prospect of a global economic slowdown.The Brent crude January futures contract lost 46 cents, or 0.61 percent, to trade at $74.58 per barrel by GMT0451. West Texas Intermediate (WTI) crude futures fell 41 cents to $64.90 a barrel. Both benchmarks posted their worst monthly performance since July 2016 on Wednesday, with Brent falling 8.8 percent for October and WTI dropping 10.9 percent.Thursday's drops came after U.S. Energy Information Administration data showed crude oil inventories climbed for a sixth straight week. Meanwhile a Reuters survey found the Organization of the Petroleum Exporting Countries (OPEC) boosted oil production in October to its highest since 2016, as higher output led by the United Arab Emirates and Libya more than offset a cut in Iranian shipments due to U.S. sanctions, set to start on Nov. 4.U.S. President Donald Trump said on Wednesday in a presidential memorandum that he had determined there was sufficient supply of petroleum and petroleum products from nations other than Iran to permit a reduction in purchases from that country.

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Special Report 02-Nov-2018

RECOMMENDATIONS GUARGUM5 TRADING STRATEGY: BUY GUARGUM OCT ABOVE 10045 ARGET 10065 10280SL 10120 SELL GUARGUM OCT BELOW 10020 TARGET 10000 9950 SL 10100

DHANIYA TRADING STRATEGY: BUY CORIANDER OCT ABOVE 6035 TARGET 6050 6100 SL6595 SELL CORIANDER OCT BELOW 6000 TARGET 5970 5940 SL 6040

NCDEX INDICES Index

Value

% Change

1938.5

0.81

Castor Seed

5652

-1.19

Chana

3993

-0.27

Coriander

5980

0.81

Cotton Seed Oilcake

1823

0.72

Guar Seed 10 MT

4543.5

-0.16

Jeera

20540

0.59

Mustardseed

4095

0

Soy Bean

3370

0.21

Turmeric

6724

0.06

Barley

Heavy selling was seen in chana and wheat market due to fragile demand by millers at higher levels along with stock liquidation by government agencies. In today's trading both Chana and wheat futures hammered by more than 2 percent. The market sources added that heavy stock selling by NAFED to cater domestic festival demand has maintained adequate supplies in local mandies. On the other side, selling was also emerged in guraseed counter as traders have reported some profit taking in guar market. The sources have estimated 60 thousand bags of daily arrivals of guar seed. The daily arrivals are likely to increase in the coming days. The NCDEX Guarseed November futures declined by 0.40 percent today. Sharp selling was seen in across all agri commodities on the back of strong kharif supplies in local mandies coupled with limited demand at current levels. All the major counters such as spices and oilseeds complex settled with losses.The NCDEX Chana futures settled in red as prices were guided by heavy stock liquidation by NAFED in local mandies. The daily arrivals were reported at 20 motors today in Delhi. On the other side, selling was seen in oilseeds market as prices declined today due to bearish nodes from international market along with sowing trend of Soyabean crop so far in the current year. Soyabean market has reported 11 lakh bags of arrivals today , around 6 lakh bags higher from last day. Weakness was seen in Jeera market due to fragile export at elevated levels. The NCDEX November futures declined by 0.40% today. The prices have declined by almost 6% from peak. While limited trading was seen in turmeric market as prices were hovering around last close to settle with marginal losses.

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Special Report 02-Nov-2018

RBI Reference Rate Currency

Rate Currency

Rate

Rupee- $

73.8295 Yen

65.212

Euro

83.7261 GBP

94.8182

USD/INR

The rupee depreciated by 27 paise to close at nearly three-week low of 73.95 against the US dollar Wednesday as the American currency strengthened against major global currencies overseas amid steady capital outflows. Forex traders said increased demand for the US currency from importers and concerns around the rift between the government and the RBI weighed on the local unit.

The British pound jumped on Thursday on a report that UK Prime Minister Theresa May has struck a deal with Brussels on financial services, while the dollar held near a 16-month high versus a basket of its key rivals on strong US economic data. The greenback got a lift overnight after the ADP national employment report showed that US private sector payrolls increased by the most in eight months in October, confirming that the economy continues to grow at a relatively robust pace That reinforced expectations for continued rate increases by the Federal Reserve, with a 25-basis-point hike seen in December and potentially two more in 2019. The dollar index, a gauge of its value versus six major peers moved a touch down at 96.91, still close to a 16month high of 97.2 hit in the previous session. The spotlight in the Asian morning fell on the sterling , which jumped as much as 0.6 per cent against the dollar following a report by the Times of London that May has struck a deal with Brussels on financial services. This would give UK financial services companies continued access to European markets after Brexit. The pound, which was last $1.2843, up 0.62 per cent on the day, has lost 3.6 per cent versus the dollar over the past three weeks as markets fretted over whether Britain would secure an orderly exit from the European Union.

TRADING STRATEGY: BUY USDINR ABOVE 73.94.00 TGT 74.15/74.35 SL BELOW 73.4 SELL USDINR BELOW 73.44 GT 72.89/72.71 SL ABOVE 73.75

GBP/INR TRADING STRATEGY: BUY GBPINR ABOVE 95 TGT 95.30/95.80 SL BELOW 94.30 SELL GBPINR BELOW 94.83 TGT 94.43/94.23 SL ABOVE 95.10

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Special Report 02-Nov-2018

Date

Commodity/ Currency Pairs

31/10/18

NCDEX DHANIYA

SEP

BUY

31/10/18

NCDEX DHANIYA

SEP

31/10/18

NCDEX GUARGUM5

31/10/18

Contract Strategy

Entry Level

Target

Stop Loss

Remark

5930

5980 6030

5880

SL TRIGGERED

SELL

5800

5750 5700

5850

NOT EXECUTED

OCT

BUY

10350

10400 10450

10300

NOT EXECUTED

NCDEX GUARGUM5

OCT

SELL

10050

10000 9950

10100

NOT EXECUTED

31/10/18

MCX GOLD

OCT

BUY

32000

32050 32100

31950

OPEN

31/10/18

MCX GOLD

OCT

SELL

31800

31750 31700

31850

TARGET HIT

31/10/18

MCX SILVER

SEP

SELL

38400

38450 38500

38350

TARGET HIT

31/10/18

MCX SILVER

SEP

BUY

38250

38200 38150

38300

NOT EXECUTED

Date

Scrip

CASH/ FUTURE/ OPTION

Strategy

Entry Level

Target

Stop Loss

Remark

31/10/18

NIFTY

FUTURE

BUY

10000

10400

9950

OPEN

31/10/18

INDUSINDBK

FUTURE

BUY

1400-1395

1375-55

1415

TARGET HIT

31/10/18

IRB

FUTURE

BUY

127.50-128

133-138

125

TARGET HIT

31/10/18

DELTACORP

CASH

BUY

231-232

236-242

228

TARGET HIT

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Special Report 02-Nov-2018

NEXT WEEK'S MAJOR U.S. ECONOMIC REPORTS TIME (ET)

REPORT

PERIOD

ACTUAL

MEDIAN FORECAST

PREVIOUS

MONDAY, OCT. 29

8:30 am

Personal income

Sept.

0.2%

0.4%

0.4%

8:30 am

Consumer spending

Sept.

0.4%

0.4%

0.5%

8:30 am

Core inflation

Sept.

0.2%

0.1%

0.0%

TUESDAY, OCT. 30

9 am

Case-Shiller home price index

Aug.

5.8%

--

6.0%

10 am

Consumer confidence index

Oct.

137.9

136.4

135.3

10 am

Home ownership

Q3

64.4%

--

64.3%

WEDNESDAY, OCT. 31

8:15 am

ADP employment

Oct.

227,000

--

218,000

8:30 am

Employment cost index

Q3

0.8%

0.7%

0.6%

8:30 am

Treasury quarterly refunding

9:45 am

Chicago PMI

Oct.

58.4

--

60.4

THURSDAY, NOV. 1

8:30 am

Weekly jobless claims

10/27

212,000

215,000

8:30 am

Productivity

Q3

2.3%

2.9%

8:30 am

Unit labor costs

Q3

1.1%

-1.0%

9:45 am

Markit manufacturing PMI

Oct. final

--

55.9

10 am

ISM manufacturing index

Oct.

58.7%

59.8%

10 am

Construction spending

Sept.

0.2%

0.1%

Varies

Motor vehicle sales

Oct.

17.2 mln

17.4 mln

FRIDAY, NOV. 2

8:30 am

Nonfarm payrolls

Oct.

202,000

134,000

8:30 am

Unemployment rate

Oct.

3.7%

3.7%

8:30 am

Average hourly earnings

Oct.

0.1%

0.3%

8:30 am

Trade deficit

Sept.

-$53.6bln

-$53.2bln

10 am

Factory orders

0.5%

2.3%

Sept. Disclaimer

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