Special report-03-dec-2018-epic-research

Page 1

Special Report

03-Dec-2018

Global markets at a glance

World Indices

Wall Street rose on Friday as investors hoped for progress on trade in a critical US-China meeting over the weekend, and the S&P 500 and the Nasdaq posted their biggest weekly percentage gains in nearly seven years.

Index

Value

% Change

DJI

25387

-0.02

S&P500

2737

-0.22

NASDAQ

7273

-0.25

FTSE100

7038

+0.49

22351 26506.75

+0.4 +0.21

Oil prices shot higher on Monday after the United States and China agreed a 90-day truce in their trade conflict and ahead of a meeting by producer club OPEC this week that is expected to result in a supply cut. Asian shares rallied on Monday after US and Chinese leaders brokered a truce in their trade conflict, a relief for the global economic outlook and a tonic for emerging markets Trends on SGX Nifty indicate a positive start for the broader index in India, a gain of 66 points or 0.60 percent. Nifty futures were trading around 10,976-level on the Singaporean Exchange. PREVIOUS DAY ROUNDOFF Benchmark indices ended marginally higher on Friday, but the Nifty could not hold on to 10,900 level.This is fifth consecutive day gain recorded by the indices.The Sensex was up 23.89 points at 36194.30, while Nifty was up 22.10 points at 10880.80. About 1278 shares have advanced, 1310 shares declined, and 146 shares are unchanged.Among the sectors pharma and IT space outperformed the other indices with 1-2 percent gain, while bank, infra, metal and energy stocks have underperformed.Benchmark indices gained in the preopening trade with Nifty is trading above 10,900 level.Sun Pharma is down 10 percent in the pre-opening trade, while Yes Bank is trading with 3 percent gain

NIKKEI HANG SENG

Top Gainers Company

CMP

Change

% Chg

Yes Bank

169.8

9.35

5.83

Wipro

324.65

9.75

3.1

Cipla

540.85

16.15

3.08

Tech Mahindra

705.95

18.45

2.68

Dr Reddys Labs

2,722.20

66.9

2.52

CMP

Change

% Chg

232.35 256.75 171.95 757.8 355.15

-10.55 -8.7 -5.3 -21.3 -7.05

-4.34 -3.28 -2.99 -2.73 -1.95

Top Losers Company

HPCL Bharti Infratel Tata Motors UPL ICICI Bank

Stocks at 52 Week’s HIGH Symbol

Prev. Close

Change

%Chg

33.1

1.65

4.98

FILATEX

57

1.05

1.84

ICICILIQ

999.99

0

0

1000.01

0

0

1869.4

50.6

2.71

Prev. Close

Change

%Chg

ELECTROSL

LIQUIDETF VINDHYATEL

Stocks at 52 Week’s LOW

Index stats

Symbol

ABGSHIP

2.5

0.05

2

The Market was very volatile in last session. The sartorial in dices performed as follow; Commodities[-0.56pts], Consumption[+0.66pts],PSE[-0.95pts],CPSE[1.59pts],Energy[-0.31pts],FMCG[+0.09pts],Auto [+0.74pts],Pharma[+2.04pts],IT[+1.19pts],M etal[ 0.42pts],Realty[+2.20 pts], Fin Serv sector[+0.74pts].

ADHUNIK

2.6

0.1

3.85

39.05 2.5 4

-1.95 0 -0.2

-4.99 0 -5

AIFL ALCHEM AMTEKAUTO

Indian Indices Company

NIFTY SENSEX

CMP

Change

% Chg

10876.8

18.10

+0.17

36194.30

23.89

+0.07

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Special Report

03-Dec-2018

RECOMMENDATIONS [FUTURE] 1. CEAT (FUTURE ) On daily chart we have seen that stock close above its pivot support level . Fresh Buying we have seen in last trading session . After analysis of derivative data its indicate that traders view is to Buy the stock . Our recommendation is also Buy the stock in the range of 1255 –1257 target 1265/1270 Sl 1245

STOCK RECOMMENDATION [CASH] MIND TREE [CASH] On daily chart we have seen that stock close above its pivot support level . Fresh Buying we have seen in last trading session . After analysis of derivative data its indicate that traders view is to Buy the stock . Our recommendation is also Buy the stock in the range of 870 target 875/882 Sl 860

MACRO NEWS 2. REC LTD [FUTURE]

Revised and simpler tax return forms as well as lower refunds will likely boost revenue collection from Goods and Services Tax (GST), which the government expects to touch to Rs 1.5 lakh crore every month from the next financial year (2019-20).“GST collections should be around Rs 1.5 lakh crore per month from next year. New return form will also help in tax evasion,” a senior government official told .

US stocks closed lower in a shortened post-holiday trading session on Friday as the energy sector tumbled on continued weakness in oil prices, and the benchmark S&P 500 confirmed its second correction of 2018.The three major US indexes all fell well over 3 percent for the week, with the Dow industrials and the Nasdaq posting their biggest weekly percentage declines since March.

Country's third largest software company HCL Technologies and NBFC major Bajaj Finance will be included in the 30-share BSE Sensex effective December 24, 2018.Wipro and Adani Ports will be excluded from the index on the same day.

On daily chart we have seen that stock is forming Bearish candle. In last two trading session a bearish candle form with strong volume . After analysis of derivative data its indicate that traders view is to sell the stock . Our recommendation is to sell stock future from 97 Target 95/94 Sl 98 .

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Special Report

03-Dec-2018

STOCKS IN NEWS

MOST ACTIVE CALL OPTION Symbol

Optio Strike n Price Type

LTP

Traded Volume (Contracts)

BANKNIFTY

CE

27,000

138

3,39,681

BANKNIFTY

CE

27,200

79

3,31,174

BANKNIFTY

CE

27,300 57.95

2,25,226

YESBANK

CE

RELIANCE

180

Mahindra & Mahindra: November auto sales up 17 percent at 45,101 units against 38,570 units YoY.Escorts: November sales up 56.4 percent at 8,005 units versus 5,94,140 5,119 units YoY. Open Interest

4,06,440 SML Isuzu: November sales up 1 percent at 688 units 3,03,880 versus 681 units YoY.

13.2

8,189

84,26,250

CE

1,200 23.05

7,763

Eicher Motors: Commercial vehicle sales dropped to 10,34,000 4,720 units in November 2018 against 4,916 units in sale

YESBANK

CE

170 17.35

6,962

30,25,750

YESBANK

CE

200

6.75

6,353

76,37,000

MARUTI

CE

8,000

95.5

5,223

BANKNIFTY

PE

26,700 135.4

2,48,994

4,35,300

BANKNIFTY

PE

26,600 101.95

2,38,733

3,99,020

RELIANCE

PE

1,160 29.45

5,280

2,51,500

YESBANK

PE

160

12

4,310

23,76,500

RELIANCE

PE

1,120

15.7

4,121

2,09,500

YESBANK

PE

150

8

3,994

23,20,500

RELIANCE

PE

1,140 21.35

3,934

2,67,500

NIFTY FUTURE

1,12,050 Nifty 50 on Tuesday Strong Buying pressure in market from lower level . Nifty broke the resistance level 10750 MARUTIACTIVE PUT CE OPTION 9,000 111.5 5,823 2,83,500 MOST but & sustain . Fresh buying seen fron lower level .Our Symbol Optio Strike LTP Traded Open recommendation is to Buy the nifty future in range of n Price Volume Interest 10800 Target 10820 /10850 SL 10750 .Buy on dips Type (Contracts) strategy use by traders. BANKNIFTY PE 26,500 75.05 3,53,218 9,71,260

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

64832

4680.02

70832

4847.81

459747

35146.17

-167.7884

INDEX OPTIONS

1448606

88832.54

1422548

87010.61

1053228

76767.14

1821.932

STOCK FUTURES

439701

24575.05

433045

24099.84

1473795

85741.19

475.2068

STOCK OPTIONS

154804

8739.18

156774

8865.47

176312

10446.71

-126.2875 2003.0629

INDICES NIFTY BANKNIFTY

R2

R1

PIVOT

S1

S2

10965

10921

10878

10833

10790

27127.96

26995.43

26880

26747

26632

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Special Report

03-Dec-2018

RECOMMENDATIONS GOLD TRADING STRATEGY: BUY GOLD ABOVE 30580 TGT 30630 30680 SL BELOW 30450 SELL GOLD BELOW 30450 TGT 30420 30360 SL ABOVE 30580

COMMODITY ROUNDUP Gold prices were tepid on Wednesday pressured by a robust dollar after a senior U.S. Federal Reserve official reaffirmed the need for a further increase in interest rates, making bullion more expensive for holders of other currencies. Fed Vice Chair Richard Clarida said on Tuesday the central bank should continue to gradually raise interest rates, but it was "especially important" to monitor economic data as monetary policy was getting close to a neutral stance. strength of the U.S. dollar has been bad for gold, while the Fed is little more bullish about interest rates," said John Sharma, an economist with National Australia Bank (NAB).Prospects of higher U.S. interest rates are negative for dollar-priced gold as they raise the opportunity cost of holding the bullion.

SILVER TRADING STRATEGY: BUY SILVER ABOVE 36250 TGT 36320 36380 SL BELOW 36100 SELL SILVER BELOW 36000 TGT 35950/35870 SL ABOVE 36150

Oil rose further above $60 a barrel on Wednesday, supported by expectations that OPEC and its partners will next week decide to curb supply and helped by a drop in North Sea output. The Organization of the Petroleum Exporting Countries plus Russia and other allies meet on Dec. 6-7. Producers are discussing a supply curb of 1 to 1.4 million barrels per day and possibly more, OPEC delegates have told Reuters. crude LCOc1 , the global benchmark, was up 53 cents at $60.74 a barrel at 0919 GMT and traded as high as $61.27.U.S. crude CLc1 added 41 cents to $51.97. Palm oil futures in Malaysia recovered from a more than three-year low on Wednesday, helped by a weaker ringgit but soft demand and high inventory levels kept a lid on prices.Palm touched its lowest since August 2015 on Tuesday, falling 4.4 percent over three consecutive sessions. The benchmark palm oil contract for February delivery on the Bursa Malaysia Derivatives Exchange rebounded by 2.4 percent to 2,014 ringgit ($479.75) per tonne by closing time on Wednesday.Palm futures are traded in ringgit and any weakness in the currency makes them cheaper for holders of other currencies.The ringgit edged lower for a second day on Wednesday, hitting its lowest in more than a year against the dollar.But the trader said palm was likely to struggle .

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Special Report

03-Dec-2018

RECOMMENDATIONS GUARGUM5 TRADING STRATEGY: BUY GUARGUM DEC ABOVE 8800 TARGET 8815/8830/8860 SL 8740 SELL GUARGUM ABOVE DEC 8690 TARGET 8675/8660/8640 SL 8750

NCDEX INDICES Index

Value

% Change

Guar Seed 10 MT

1880 5516 4662 6322 1944 4348.5

-2.93 -3.99 -0.04 -0.93 -2.16 -2.36

Jeera

19375

-3.02

4051 3399 6404

-1.31 -1.5 -0.06

Barley Castor Seed Chana Coriander Cotton Seed Oilcake

Mustardseed Soy Bean Turmeric

DHANIYA TRADING STRATEGY: BUY DHANIYA DEC ABOVE 6360 TARGET 6380/6400/6520 SL 6300 SELL DHANIYA DEC ABOVE 6300 TARGET 6280/6275/6260 SL 6360

The Agriwatch Agri Commodities Index fell 1.07 per cent to 109.53 during the week ended Nov 24, 2018 from 110.71 the previous week due to a sharp fall in prices of potato and onion. Sugar, pulses and edible oils also declined while cereals and cotton gained. The base for the Index and all sub-Indices is 2014 (= 100). Six of the nine commodity group sub-Indices and 17 of the 29 individual commodity sub-Indices ended lower during the week. Oil prices on Monday clawed back some losses from a nearly 8 per cent plunge the previous session, with Brent jumping back above $60 per barrel, but sentiment remained weak amid a broad sell-off in financial markets in past weeks. Front-month Brent crude oil futures rose $1.31, or 2.2 per cent, to $60.11 per barrel by 0643 GMT. The gains partly made up for Friday's selloff, which traders have already dubbed 'Black Friday'. Reacting to Friday's falls in Brent and WTI, China's Shanghai crude futures on Monday fell by 5 per cent, hitting their daily downside-limit. The downward pressure comes from surging supply and a slowdown in demand growth which is expected to result in an oil supply overhang by next year. Australia-based MoooFarm Monday said it will train two lakh Indian dairy farmers by 2020 to develop their skills in areas like cattle nutrition with a view to increase farmers' income by at least 20 per cent. MoooFarm will train the farmers through UDAY, a skill development firm, which is its partner in India. The firm said it will also launch a hashtag called #TheColorofMilk on the occasion of National Milk Day, asking people to find the purity of milk. "Our master trainers are providing content to farmers for scaling up, which is being delivered through village-level entrepreneurs. Our target states include Uttar Pradesh, Madhya Pradesh, Rajasthan, Andhra Pradesh, Haryana .

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Special Report

03-Dec-2018

RBI Reference Rate Currency

Rate Currency

Rate

Rupee- $

69.84 Yen

61.59

79.3456 GBP

89.0930

Euro USD/INR TRADING STRATEGY: USD/INR

BUY USDINR NOV ABOVE 70.05 TGT 70.15 70.25 SL 69.8 SELL USDINR NOV BELOW 69.9 TGT 69.8 69.75 SL 70.10

GBP/INR TRADING STRATEGY: BUY GBPINR NOV ABOVE 90 TGT 90.2 90.4 SL 89.8 SELL GBPINR NOV BELOW 88.95 TGT 88.85 88.75 SL 89.20

The dollar was trading at two-week highs against a currency basket on Wednesday as markets awaited fresh signals from the Federal Reserve on interest rates and developments in the U.S.-China trade war remained in focus.The U.S. dollar index, which measures the greenback’s strength against a basket of six major currencies, edged up 0.1% to 97.35 by 04:25 AM GMT (09:25 AM GMT), the most since Nov. 13.Investors were looking ahead to a speech by Fed Chairman Jerome Powell later in the day and the minutes of the U.S. central bank’s November meeting, due to be released on Thursday. Markets are hoping for fresh indications on the future path of interest rate increases. The Fed is widely expected to raise rates for a fourth time this year at its upcoming meeting in December and has indicated that it may raise rates three more time in 2019.But dovish sounding comments by some policymakers in recent weeks have raised the prospect that the Fed may slow the pace of future rate hikes amid concerns over the outlook for the global economy and ongoing global trade tensions.On Tuesday, U.S. President Donald Trump once again criticized Powell, whom he picked last year to lead the bank, and the Fed’s rate hikes, which he said were harming the economy.Also Tuesday, Fed Vice Chair Richard Clarida backed further rate hikes, but said the tightening path would be data dependent.Market watchers were also looking ahead to the upcoming G20 summit in Buenos Aires later this week, where Trump and his Chinese counterpart, Xi Jinping, are scheduled to discuss trade. Investors are hoping that talks could lead to a ceasefire in the trade war.Trump said earlier this week that it was "highly unlikely" he would accept China's request to hold off a planned increase in tariffs due to take effect in January. The Euro US Dollar (EUR/USD) exchange rate dipped today, and is currently trading at $1.1274, after the release of Germany’s Gfk consumer confidence survey showed a decrease for December.

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Special Report

03-Dec-2018

Date

Commodity/ Currency Pairs

30/11/18

NCDEX DHANIYA

DEC

BUY

6360

30/11/18

NCDEX DHANIYA

DEC

Sell

30/11/18

NCDEX GUARGUM5

DEC

30/11/18

NCDEX GUARGUM5

30/11/18

Contract Strategy

Entry Level

Stop Loss

Remark

6380/6400/65 20

6300

TARGET HIT

6300

6280/6275/62 60

6360

OPEN

BUY

8800

8815/8830/88 60

8740

NOT EXECUTED

DEC

SELL

8690

8675/8660/86 40

8750

TARGET HIT

MCX GOLD

DEC

BUY

30580

30630/30680

30450

NOT EXECUTED

30/11/18

MCX GOLD

DEC

SELL

30450

30420/30360

30580

NOT EXECUTED

30/11/18

MCX SILVER

DEC

BUY

36250

36320/36380

36100

NOT EXECUTED

30/11/18

MCX SILVER

DEC

SELL

36000

35950/35870

36150

NOT EXECUTED

Entry Level

Target

Stop Loss

Remark

Target

Date

Scrip

CASH/ FUTURE/ Strategy OPTION

30/11/18

NIFTY

FUTURE

BUY

10800

10820/10850

10750

NOT EXECUTED

30/11/18

CEAT

FUTURE

BUY

1255-1257

1265/1270

1245

TARGET HIT

30/11/18

REC LTD

FUTURE

SELL

105

104.5/103

107

TARGET HIT

30/11/18

MIND TREE

CASH

BUY

855-857

862/867

849

TARGET HIT

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Special Report

03-Dec-2018

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

REPORT

PERIOD

ACTUAL

FORECAST

PREVIO US

MONDAY, DEC. 3 9:45 am

Markit manufacturing PMI

Nov.

--

55.4

10 am

Construction spending

Oct.

0.3%

0.0%

TUESDAY, DEC. 4

TUESDAY, DEC. 4

TUESDAY, TUESDAY, DEC. 4 DEC. 4

TUESDA TUESDAY, DEC. Y, DEC. 4 4

WEDNESD AY, DEC. 5

WEDNESDAY, DEC. 5

WEDNESD WEDNESDAY, WEDNESDAY, DEC. 5 AY, DEC. 5 DEC. 5

WEDNE SDAY, DEC. 5

8:15 am

ADP employment

Nov.

---

227,000

8:30 am

Productivity

Q3

2.3%

2.2%

9:45 am

Markit services PMI

Nov.

--

55.4

10 am

ISM nonmanufacturing index

Nov.

59.8%

60.3%

--

--

--

-THURSD AY, DEC. 6

10 am

Varies

8:30 am

10 am

9:45 am

9:45 am 2 pm

Quarterly services survey

Markit manufacturing index flash

Nov.

Markit Beigeservices book index flash

Nov.

Q3

--

55.7

--

54.8

THURSDAY THURSDAY, DEC. 6 , DEC. 6

THURSDA THURSDAY, DEC. 6 Y, DEC. 6

THURSDAY, DEC. 6

8:30 am

12/1

225,000

Weekly jobless claims

234,000

8:30 am 10 am

The

Factory orders

Oct.

-2.0%

0.7%

information and views in this report, our website & all the service we provide are believed to be reliable, but we do not accept any responsibility (or liability) for errors of fact or opinion. Users have the right to choose the product/s that suits them the most. Sincere efforts have been made to present the right investment perspective. The information contained herein is based on analysis and up on sources that we consider reliable. This material is for personal information and based upon it & takes no responsibility. The information given herein should be treated as only factor, while making investment decision. The report does not provide individually tailor-made investment advice. Epic research recommends that investors independently evaluate particular investments and strategies, and encourages investors to seek the advice of a financial adviser. Epic research shall not be responsible for any transaction conducted based on the information given in this report, which is in violation of rules and regulations of NSE and BSE. The share price projections shown are not necessarily indicative of future price performance. The information herein, together with all estimates and forecasts, can change without notice. Analyst or any person related to epic research might be holding positions in the stocks recommended. It is understood that anyone who is browsing through the site has done so at his free will and does not read any views expressed as a recommendation for which either the site or its owners or anyone can be held responsible for . Any surfing and reading of the information is the acceptance of this disclaimer. All Rights Reserved. Investment in equity & bullion market has its own risks. We, however, do not vouch for the accuracy or the completeness thereof. We are not responsible for any loss incurred whatsoever for any financial profits or loss which may arise from the

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