Special report-05-feb-2019-epic-research

Page 1

Special Report

05-FEB-2019

Global markets at a glance Wall Street ended mixed on Friday, as optimism from a surge in January US job growth was offset by a weaker-than -expected outlook from Amazon.com Inc that battered retail stocks.The online retail heavyweight slumped 5.38 percent after its quarterly sales forecast fell short of Wall Street estimates, overshadowing its record sales and profit during the holiday season.The Dow Jones Industrial Average climbed 0.26 percent to end the week at 25,063.89 points, while the S&P 500 edged 0.09 percent higher to 2,706.53. The Nasdaq Composite dropped 0.25 percent to 7,263.87.Asia stocks were barely moved on Monday, staying near a four-month high after Wall Street’s tepid pre-weekend performance, while the dollar was supported against the yen following strong US jobs and manufacturing data.MSCI’s broadest index of Asia-Pacific shares outside Japan was basically unchanged, capped below the four-month peak scaled on Friday. Japan’s Nikkei added 0.4 percent. China’s financial markets are closed all week for the Lunar New Year holiday.Trends on SGX Nifty indicate a negative opening for the broader index in India, a fall of 14.5 points or 0.13 percent. Nifty futures were trading around 10,897-level on the Singaporean Exchange. PREVIOUS DAY ROUNDOFF Indian benchmark indices witnessed a volatile trading session on Monday witnessing broad-based selling pressure in early morning trade before managing to stage a recovery in the second half of the session.Nifty managed to end the session 18 points higher, managing to close above the 10,900 mark led by a strong rally in Reliance Industries which ended the day 3.12% higher at 1,289. Bank Nifty, too, witnessed a sharp pullback led by the likes of Kotak Mahindra Bank and Axis Bank ending the day 100 points higher at 27,186.However, the focus today was on ADAG group stocks which saw a heavy sell-off after RCOM considered filing for bankruptcy. RCOM and RPOWER ended the day ~34% and ~35% lower, respectively. Index stats The Market was very volatile in last session. The sartorial in dices performed as follow; Commodities[-9.20pts], Consumption[-19.4pts],PSE[-29.55pts],CPSE[11.7pts],Energy[+239.6pts],FMCG[ -191pts],Auto[45.7pts],Pharma[-157.65Pts],IT[+30.5pts],Metal[ 21.2pts],Realty[-2.30pts], Fin Serv sector[+31.75pts].

World Indices Index

Value

% Change

DJI

25148

-0.16

S&P500

2724

+0.68

NASDAQ

7347

+1.15

FTSE100

7034

+0.20

20868 27990

-0.08 +0.21

NIKKEI HANG SENG

Top Gainers Company

CMP

Change

% Chg

Titan Company

1,025.75

34.2

3.45

Reliance

1,290.90

40.95

3.28

146.25

4.45

3.14

20,128.30

464.9

2.36

2,642.50

39.75

1.53

CMP

Change

% Chg

650.75 204.2 226.5 179.8 184.6

-27.9 -7.2 -7.5 -5.8 -5.6

-4.11 -3.41 -3.21 -3.12 -2.94

ONGC Eicher Motors Bajaj Auto

Top Losers Company

Indiabulls Hsg Hindalco HPCL Yes Bank Power Grid Corp

Stocks at 52 Week’s HIGH Symbol

Prev. Close

Change

%Chg

AARTIIND

1,728.00

94.65

5.8

AXISGOLD

2,925.00

24.85

0.86

BATAINDIA

1,195.00

49.55

4.33

143

7.15

5.39

1,619.95

83.45

5.45

Prev. Close

Change

%Chg

20.75

-0.15

-0.71

AARVEEDEN

21.8

-0.9

-3.88

ABAN ABMINTLTD ADHUNIK

60.1 14.9 1.8

-2.8 -0.75 -0.05

-4.21 -4.79 -2.7

CGCL DIVISLAB

Stocks at 52 Week’s LOW Symbol

21STCENMGM

Indian Indices Company

NIFTY SENSEX

CMP

Change

% Chg

10912.3

+18.6

+0.17

36582

+113.31

+0.31

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Special Report

05-FEB-2019

RECOMMENDATIONS [FUTURE]

STOCK RECOMMENDATION [CASH]

1. Titan [FUTURE ] TITAN -In Titan on daily chart as well as weekly we have seen that Buying in this stock by traders as well as investors in last week .Reason behind that quarterly result awaited in this week & also from technical aspect stock now moving towards to break its previous highs.Our recommendation is to Buy 1030 stock target will be 1040/1050 SL below 1010

REPCOHOME Stock has given the breakout of the neckline of the double bottom pattern but can not sustain at upper level .we have seen the weakness on chart We recommend sell below 390 for the target of 385/380 with the stop loss of 410

2. MCDOWNLL –N [FUTURE] MCDOWELL-N – Daily chart of MCDOWELL-N looking week .We have seen the trendline breakdown & also stock MACRO NEWS does not sustain at upper level . Our recommendation is to sell the stock future from 540 Target will be 530 SL 550. RSI & MACD also showing that downtrend continue in this  The initial public offer of Chalet Hotels, which owns, develops and manages high-end hotels in key metro stock . cities in India, was subscribed 7 percent on the first day of bidding on Tuesday. The IPO, to raise about Rs 1,641 crore, received bids for 27,85,574 shares against the total issue size of 4,13,26,672 shares, as per the data available with the NSE. 

Bank of Baroda posted a 321.6 percent year-on-year (YoY) increase in its December quarter net profit at Rs 471.21 crore on strong growth in interest income and improved asset quality.Net interest income (difference between interest earned and expended) increased to Rs 4,744 crore in Q3. Adjusting for IT refund of Rs 326 crore inDecember 2017, NII increased by 16.62 percent YoY. The domestic core fee income increased by 16.11 percent YoY to Rs 771 crore.

British lawmakers voted 327 to 296 on Tuesday against a proposal which called for parliament to consider alternative options to prevent Britain leaving the European Union without a deal.

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Special Report

05-FEB-2019

STOCKS IN NEWS

MOST ACTIVE CALL OPTION Symbol

Optio Strike n Price Type

LTP

Traded Volume (Contracts)

Open Interest

BANKNIFTY

CE

27,200

162

5,45,833

2,90,220

BANKNIFTY

CE

27,300

120

4,51,072

3,75,460 crore versus Rs 1,001.91 crore YoY.

BANKNIFTY

CE

27,500 57.75

4,30,085

RELIANCE

CE

1,300

35.1

14,536

RELIANCE

CE

1,280

45.2

9,019

RELIANCE

CE

1,320

27

7,720

RELIANCE

CE

1,260

56.9

RELIANCE

CE

1,340 19.75

MARUTIACTIVE PUT CE OPTION 9,000 111.5 MOST LTP

Balrampur Chini Mills Q3: Profit jumps to Rs 120.32 crore versus Rs 61.42 crore; revenue falls to Rs 940.91

7,44,700 Novartis India Q3: Profit dips to Rs 12.87 crore versus Rs 13,08,500 18.74 crore; revenue falls to Rs 135.62 crore versus Rs 156.1 crore YoY. 6,51,000

4,36,000 NIFTY FUTURE Nifty struggling from many weeks to 6,500 4,38,000 breach the resistense level of 11000.Closing of nifty in this week below 200 EMA & 100 EMA & RSI also 5,706 4,41,000 showing downwards movement.In last 2 days we have seen that Budget trigger the market from bottom level or 5,823 2,83,500 support level around 10550 .But still our concern that Traded Open market can not sustain at upper level.Our Volume Interest Recommendation is to sell in the range 10900-10850 (Contracts) Target 10750/10600 SL 11100 . Finace Budget looks good 4,89,537 4,57,860 in favore of Farmer & Common people, specially for salary classed people. 4,32,219 3,52,480

Symbol

Optio Strike n Price Type

BANKNIFTY

PE

26,800 52.45

BANKNIFTY

PE

26,700

38.6

BANKNIFTY

PE

26,900

69.2

3,50,780

3,73,180

RELIANCE

PE

1,240

16.7

6,540

5,62,000

RELIANCE

PE

1,260

22.2

5,362

4,47,000

RELIANCE

PE

1,200

9

5,288

10,25,500

RELIANCE

PE

1,220 12.15

4,472

4,49,000

DHFL

PE

100 11.05

4,358

13,54,500

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

29776

2093.29

32494

2278.06

292727

23312.00

-184.7739

INDEX OPTIONS

1370593

81108.05

1353960

79921.39

762173

57300.85

1186.6692

STOCK FUTURES

232098

12444.19

232354

12333.68

1453013

86541.49

110.515

STOCK OPTIONS

127828

7293.48

126171

7160.10

91716

5466.56

133.381 1245.7913

INDICES

R2

R1

PIVOT

S1

S2

NIFTY

10998

10995

10884

10841

10771

BANKNIFTY

27503

27345

27085

26926

26667

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Special Report

05-FEB-2019

RECOMMENDATIONS GOLD TRADING STRATEGY: BUY GOLD ABOVE 33500 TGT 33550/33600 SL BELOW 33400 SELL GOLD BELOW 33300 TGT 33250/33200 SL ABOVE 33500

SILVER TRADING STRATEGY: BUY SILVER ABOVE 40700 TGT 40750/40800 SL BELOW 40850 SELL SILVER BELOW 40400 TGT 40300/40200 SL ABOVE 40600

COMMODITY ROUNDUP Oil hit a two-month high close to $64 a barrel on Monday as OPEC-led supply cuts and U.S. sanctions against Venezuela's petroleum industry offset forecasts of weaker demand and an economic slowdown.The Organization of the Petroleum Exporting Countries and its allies began a new round of supply cuts in January. These curbs, led by Saudi Arabia, have been compounded by involuntary losses that the Venezuelan sanctions could deepen.Brent crude LCOc1 , the global benchmark, hit $63.63 a barrel, the highest since Dec. 7, and was up 66 cents at $63.41 as of 1040 GMT.U.S. crude CLc1 hit a 2019 high of $55.75 and was later up 33 cents at $55.59."You have the sanctions on Venezuela, on top of the reduced supply from Saudi Arabia," said Olivier Jakob, oil analyst at Petromatrix. "There's no sign of overhang in the crude oil markets."OPEC supply fell in January by the largest amount in two years, a Reuters survey last week found. That offset limited compliance with the output-cutting deal so far by non-OPEC Russia. OPEC/O U.S. sanctions on Venezuela will limit oil transactions between Venezuela and other countries and are similar to those imposed on Iran last year, some analysts said after examining details announced by the government. the lack of excess supply, Jakob cited a rapidly clearing West African crude market CRU/WAF and the structure of Brent crude futures, in which the first-month contract is trading near the price of the second month LCOc1-LCOc2 . The U.S.-China trade talks had a "good vibe" with much work remaining, White House economic adviser Larry Kudlow said on Friday, fanning hopes of an end to the longdrawn trade tiff between the world's two largest economies. the dollar was near a one-week high against the yen on the back of robust U.S. jobs data. USD/"Upbeat nonfarm payroll suggests the U.S. economy is riding a strong momentum, dampening demand for safe-haven assets like gold," Yang said, adding that this failed to change the market's view of the Federal Reserve's dovish stance with regard to its monetary tightening policy.Despite signs of a robust economy, the Fed is widely expected to keep rates steady this year, thanks to heightened worries over global growth, especially in China and Europe."Investors are now focused on trade talks and what emerges out of those," said ANZ analyst Daniel Hynes. "Any follow up data that does indicate continued positive economic growth will potentially indicate to people how the Fed will move in the shorter term."

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Special Report

05-FEB-2019

RECOMMENDATIONS GUARGUM5 TRADING STRATEGY: BUY GUARGUM FEB ABOVE 8530 TARGET 8545/8560/8590 SL 8470 SELL GUARGUM FEB BELOW 8540 TARGET 8525/8510/8480 SL 8610

NCDEX INDICES Index

Value

% Change

Barley

1580

0.39

Castor Seed

5096

0.39

Chana Coriander Cotton Seed Oilcake Guar Seed 10 MT

4229 6609 2049 4336

-1.18 -0.05 0.59 -0.09

15910

-0.38

3952 3826 6398

1.24 0.86 0.13

Jeera Mustardseed Soy Bean Turmeric

DHANIYA TRADING STRATEGY: BUY DHANIYA APR ABOVE 6570 TARGET 6595/6620/6640 SL 6510 SELL DHANIYA APR BELOW 6500 TARGET 6485/6460/6440 SL 6560

India's sugar production rose 8% to 185 lakh tonnes in the first four months of this marketing year ending September, industry body ISMA said.The production, is however, estimated to decline to 307 lakh tonnes in 2018-19 marketing year (October-September) from record 325 lakh tonnes in the previous year, Indian Sugar Mills Association (ISMA) said in a statement.“It is estimated that cane price arrears across the country have reached about Rs 20,000 crore at the end of January, 2019. Considering the pace of crushing in the remaining three peak months of current 2018-19 season and if current average all India domestic exmill price remains at around Rs 29-30 per kilo, millers might not be able to clear the dues on time.“It is feared that it may further increase to very uncomfortable levels by the end of April 2019,” ISMA said.The association said that exmill sugar prices across the country are ruling in the range of Rs 29-30 per kg, which is about Rs 5-6 per kg below the cost of production of sugar. Climate has not been benevolent to the Tea estates of Assam and West Bengal (WB) from the beginning of the current year, with cold and dry conditions prevailing in most of the Tea growing area. Unless it rains coming days, it will have an impact on first flush Teas that are produced between mid-February and March.However, planters are cheerful about the quality of Teas that will be produced from the beginning of the season, as the estates were closed in early-December following a Tea Board directive. This gave them time to prune Tea bushes properly and therefore the new leaves will be of better quality than normal. The Government has announced Rs 6,000 per year cash support to small and marginal farmers that will cost the exchequer Rs 75,000 crore annually, in a bid to provide re lie f to the distresse d farm se cto r.

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Special Report

05-FEB-2019

RBI Reference Rate Currency Rupee- $ Euro

Rate Currency

Rate

72.0175 Yen

65.3225

82.59 GBP

94.0725

USD/INR TRADING STRATEGY: USD/INR BUY USDINR FUTURE ABOVE 72.10 TARGET 72.20 72.30 SL 71.80 SELL USDINR FUTURE BELOW 71.9 TARGET 71.8 71.7 SL 72.20

GBP/INR TRADING STRATEGY: BUY GBPINR FUTURE ABOVE 94.12 TARGET 94.22 94.32 SL 93.92 SELL GBPINR FUTURE BELOW 93.92 TARGET 93.82 93.72 SL 94.12

The euro fell on Thursday ahead of a European Central Bank meeting in which policymakers may express caution about slowing economic growth.The ECB is expected to reaffirm its plan to raise interest rates by the end of the year but traders will focus on how explicitly, if at all, the central bank acknowledges the slow-downThe euro has lost around 1.6 percent of its value over the last two weeks as investors bet the ECB will keep monetary policy accommodative for an extended period.If recent weakerthan-expected economic activity in Germany and France leads ECB President Mario Draghi to point to a potentially longer lasting slowdown, that could hurt the euro."We see a risk of modest dovish bias from Draghi today given the long stream of the soft euro zone data and look for the euro to test $1.1310," said ING FX strategist Petr Krpata.At 0830 the euro was down 0.2 percent at $1.1355 EUR=EBS .Germany, France and Italy, the euro zone's biggest economies, barely grew in the fourth quarter and French business activity fell unexpectedly this month, a survey showed on Thursday. ECB holds its first meeting of the year at a time when concerns are also growing about global trade tensions and Brexit.Sterling traded marginally lower at $1.3043, hovering near highs last seen in mid-November in a sign traders expect Britain to avoid a chaotic exit from the European Union.Some analysts expect limited upside for sterling. Philip Wee, currency strategist at DBS says that most of the gains in the pound are due to the unwinding of short positions. He sees sterling capped in the range of $1.3170-1.3240 The U.S. dollar pushed higher against a basket of its rivals on Thursday but gains were held in check amid concerns over global growth, the U.S. government shutdown and the ongoing U.S.-China trade war."Trade tensions are the most dominant factor for investor sentiment right now and will drive market flows," said Nick Twidale, chief operating officer at Rakuten Securities.Twidale added that investor risk appetite will only improve once concerns over the partial U.S. government shutdown and trade tensions fade.

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Special Report

05-FEB-2019

Date

Commodity/ Currency Pairs

04/2/19

NCDEX DHANIYA

APR

BUY

6620

04/2/19

NCDEX DHANIYA

APR

Sell

04/2/19

NCDEX GUARGUM5

FEB

04/2/19

NCDEX GUARGUM5

04/2/19

Contract Strategy

Entry Level

Stop Loss

Remark

6635/6650/66 80

6560

NOT EXECUTED

6500

6485/6460/64 40

6560

TARGET

BUY

8630

8645/8660/86 90

8570

NOT EXECUTED

FEB

SELL

8550

8535/8520/85 00

8610

MCX GOLD

FEB

BUY

32600

32650/32700

32500

NOT EXECUTED

04/2/19

MCX GOLD

FEB

SELL

32500

32450/32400

32650

NOT EXECUTED

04/2/19

MCX SILVER

MAR

BUY

40100

40150/40250

39950

NOT EXECUTED

04/2/19

MCX SILVER

MAR

SELL

39950

39900/39800

40100

TARGET HIT

Entry Level

Target

Stop Loss

Remark

Target

TARGET

Date

Scrip

CASH/ FUTURE/ Strategy OPTION

04/2/19

NIFTY

FUTURE

SELL

10900-10850

10750/10600

11000

NOT EXECUTED

04/2/19

TITAN

FUTURE

BUY

1000

1005/1010

990

TARGET

04/2/19

MCDOWNLL-N

FUTURE

SELL

540

530

550

NOT EXECUTED

04/2/19

REPOHOME

CASH

SELL

400

395/390

410

NOT EXECUTED

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Special Report

05-FEB-2019

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

REPORT

PERIOD ACTUAL

FORECAST

PREVIOUS

Dec.

--

0.22

THE GOVERNMENT SHUTDOWN COULD DELAY THE RELEASE OF SOME DATA THIS WEEK MONDAY, JAN. 28

8:30 am

Chicago Fed national activity index

TUESDAY, JAN. 29

8:30 am

Advance trade in goods*

Dec.

--

N/A

9 am

Case-Shiller house prices

Nov.

--

5.5%

10 am

Consumer confidence index

Jan.

124.0

128.1

10 am

Homeownership rate

--

64.4%

WEDNESDAY, JAN. 30

8:15 am

ADP employment

Jan.

--

271,000

8:30 am

Gross domestic product*

Q4

2.6%

3.4%

10 am

Pending home sales

Dec.

--

-0.7%

2 pm

FOMC announcement

2.25-2.5%

2.25-2.5%

2:30 pm

Jerome Powell press conference

THURSDAY, JAN. 31

8:30 am

Weekly jobless claims

1/1926

214,000

199,000

8:30 am

Employment cost index

Q4

0.8%

0.8%

8:30 am

Personal income*

Dec.

0.5%

0.2%

8:30 am

Consumer spending*

Dec.

0.3%

0.4%

8:30 am

Core inflation*

Dec.

0.2%

0.1%

9:45 am

Chicago PMI

Jan.

--

65.4

Jan.

177,000

312,000

FRIDAY, FEB. 1

8:30 am

Nonfarm payrolls

9:45 amam MarkitUnemployment manufacturing index 8:30 rate flash

Nov.

Jan.

--

55.7 3.9%

3.9%

9:45 amam MarkitAverage services hourly index flash 8:30 earnings

Nov.

Jan.

--

54.8 0.2%

0.4%

9:45 am

Markit manufacturing PMI

Jan.

--

54.9

10 am

ISM manufacturing index

Jan.

54.3%

54.1%

10 am

Construction spending*

Dec.

--

N/A

10 am

Consumer sentiment index

Jan.

90.8

90.7

Varies

Motor vehicle sales

Jan.

17.2 mln

17.5 mln

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