Special report-13-nov -epic-research-2018

Page 1

Special Report 13-Nov-2018

Global markets at a glance Wall Street’s major indexes fell on Monday, with the S&P 500 sliding 2 percent, weighed by technology and financial stocks as shares of Apple Inc and Goldman Sachs Group Inc came under pressure. Apple shares fell 5.0 percent after several suppliers to the company, including Lumentum Holdings Inc whose components power the iPhone’s Face ID technology, cut their forecasts. Apple’s decline impeded the tech-heavy Nasdaq, which fell more than 2 percent. The Dow Jones Industrial Average fell 602.12 points, or 2.32 percent, to 25,387.18, the S&P 500 lost 54.79 points, or 1.97 percent, to 2,726.22 and the Nasdaq Composite dropped 206.03 points, or 2.78 percent, to 7,200.87. Asian shares skidded on Tuesday after a rout in tech stocks put Wall Street to the sword, while a sharp drop in oil prices and political risks in Europe pushed the dollar to 16month highs as investors dumped riskier assets. Trends on SGX Nifty indicate a negative opening for the broader index in India, a fall of 55 points or 0.52 percent. Nifty futures were trading around 10,445-level on the Singaporean Exchange PREVIOUS DAY ROUNDOFF Markets witnessed heavy selling pressure in the final hour of trade with Nifty and Bank Nifty closing near the low point of the day. Nifty ended below the psychological level of 10,500 ending the day 103 points lower at 10,482. Barring Nifty IT, all sectoral indices ended in the red with Nifty Auto being the worst performer ending 2.44% lower. Meanwhile, Crude snapped its longest losing streak ever onconcerns over a supply glut.Tracking the derivative data points, Nifty Futures witnessed a surge in open interest to the tune of 3.99%, while Bank Nifty futures witnessed a decline of 8.17% in open interest mainly long unwinding On the options front, call writing was witnessed . India Vix witnessed a sharp spike ending the day 9.07% higher at 19.36 Index stats The Market was very volatile in last session. The sartorial in dices performed as follow; Commodities[-1.52], Consumption[-1.07pts],PSE[-2.01pts],CPSE[-1.88pts],Energy [-1.60pts],FMCG[-0.68pts],Auto[-2.44pts],Pharma[0.90pts],IT[+0.67pts],Metal[-1.38pts],Realty[-1.46 pts], Fin Serv sector[-1.08pts].

World Indices Index

Value

% Change

DJI

25387.18

-2.32

S&P500

2726.22

-1.97

NASDAQ

7200.87

-2.66

FTSE100

7053

-0.74

22,269.88 25633.18

0.09 0.12

NIKKEI HANG SENG

Top Gainers Company

CMP

Change

% Chg

Titan Company

894.75

47.1

5.56

Tech Mahindra

724.55

17.35

2.45

Tata Steel

582.85

10.65

1.86

1,153.70

18.15

1.6

531.85

4.9

0.93

CMP

Change

% Chg

225.05 186.05 135.05 2,277.60 229.25

-16.25 -9.2 -6.6 -97.75 -9.55

-6.73 -4.71 -4.66 -4.12 -4

Kotak Mahindra Cipla

Top Losers Company

HPCL Tata Motors IOC Bajaj Finance Hindalco

Stocks at 52 Week’s HIGH Symbol

Prev. Close

Change

%Chg

793.3

0.7

0.09

0.85

0.05

5.88

DIVISLAB

1548.95

-38.95

-2.51

ICICILIQ

1000.01

0

0

110

13

11.82

Prev. Close

Change

%Chg

3.2

-0.15

-4.69

ABMINTLTD

15.7

0.05

0.32

AIFL ALCHEM AMTEKAUTO

61.65 3.25 4.4

-3.05 -0.15 -0.2

-4.95 -4.62 -4.55

ALKYLAMINE BLUECHIP

IDFNIFTYET

Stocks at 52 Week’s LOW Symbol

ABGSHIP

Indian Indices Company

CMP

Change

% Chg

NIFTY

10482.20

-103

-0.97

SENSEX

34812..99

-345.56

-0.98

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Special Report 13-Nov-2018

RECOMMENDATIONS [FUTURE] 1. Tata Steel [FUTURE ] After analysis of derivative data , long position taken by the traders which indicate that market is bullish on this stock .On daily chart we have seen closing of its stock spot near its resistance level of 580-583 .Our recommandation is to long the Tata Steel future in range of 580-590 Target 585/592/598 Sl 570

STOCK RECOMMENDATION [CASH] DCB Bank [CASH] Our recommandation to SELL the stock , Stock is trade is near its support level of 157 & stock has potential to brake its support level . Sell in the range of 153-156 Target 148/143 Sl 162 .

MACRO NEWS

2.

The Reserve Bank of India (RBI) may consider letting some banks out of the Prompt Corrective Action (PCA) framework, according to a report by CNBC-TV18.Banks with declining net non-performing assets or those that can be merged with larger entities may be considered to be kept out of PCA..

Wall Street's major indexes tumbled on Monday as shares of Apple Inc and Goldman Sachs Group Inc dragged down the technology and financial sectors.With Monday's losses, all three indexes erased the gains from their brief rally after the US congressional elections on November 6.Apple shares fell 5.0 percent after several suppliers to the company, including Lumentum Holdings Inc , whose components power the iPhone's Face ID technology, cut their forecasts. Apple's decline impeded the tech-heavy Nasdaq, which fell more than 2 percent

India’s retail inflation eased to 3.31 percent in October, lowest in a year, as compared with 3.70 percent in September, driven by cheaper food items, data released by the government showed.Retail inflation, measured by Consumer Price Index (CPI), stood at 3.58 percent in October last year.CPI is the main price gauge that the Reserve Bank of India (RBI) tracks.According to central banks’ latest estimate, retail inflation is projected at 3.7 percent in the JulySeptember quarter4.8 percent in the January-March Quater.

Repco Homes [FUTURE]

On daily chart we have seen that Repco home finance closese its resistance level. Aftter study of derivative data trader make long position in this stock . Stock is already correct from its high. Our view buy the repco home finance future if NBFC segment is bullish . Buy above 404 Target 407/410/415 Sl 399.Stock perform so well when market is negative .

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Special Report 13-Nov-2018

STOCKS IN NEWS

MOST ACTIVE CALL OPTION

Britannia Q2 jumps 16% YoY to Rs 303 crore; reports good operational performance .The company reported revenue of Rs 2,869.59 crore during the quarter against Rs 2,545.29 crore posted last year. This is a rise of 13 percent year on year.

3,81,342

8,07,860 

74

3,57,193

6,54,040

Bank of India posts net loss of Rs 1,156.2 crore in Q2; NPA ratios improve

18.4

6,178

24,92,500

CE

600 12.75

5,502

16,20,147

TITAN

CE

900

28.3

5,120

MARUTI

CE

7,500

TATAMOTORS CE

200

LTP

Traded Volume (Contracts)

Open Interest

Symbol

Optio Strike n Price Type

LTP

Traded Volume (Contracts)

Open Interest

BANKNIFTY

CE

26,000

34.6

6,53,650

12,78,580

BANKNIFTY

CE

25,900

50

BANKNIFTY

CE

25,800

RELIANCE

CE

1,100

TATASTEEL

MARUTIACTIVE PUT CE OPTION 9,000 MOST

NIFTY FUTURE

Nifty 50 on Monday seen the sell off in market . It also 4,68,000 close below 10500 level, which indicate that bear enters in the market . Nifty can not able to sustain above 10600 51 5,067 1,99,500 on moday trading session. Our recommendation is to sell 2.5 4,523 47,29,500 the nifty future in range of 10510-10530 . Target 10475/10450/10425 SL 10560 111.5 5,823 2,83,500

Symbol

Optio Strike n Price Type

BANKNIFTY

PE

25,500 163.6

6,05,343

5,04,740

BANKNIFTY

PE

25,400

124

3,92,426

2,95,540

BANKNIFTY

PE

25,300

92

3,60,415

4,34,220

RELIANCE

PE

1,080

29.3

4,562

5,36,500

MARUTI

PE

7,000

150

3,872

64,800

RELIANCE

PE

1,060

20.7

3,498

6,10,500

RELIANCE

PE

1,040

14.6

3,369

9,26,500

TITAN

PE

840

12.5

3,334

5,40,000

FII DERIVATIVES STATISTICS BUY

SELL

No. of Contracts

Amount in Crores

INDEX FUTURES

42531

2776.41

42248

2945.24

INDEX OPTIONS

1266125

72473.58

1262763

STOCK FUTURES

220885

12247.74

STOCK OPTIONS

109178

6290.32

OPEN INTEREST AT THE END OF THE DAY

No. of Amount in No. of Contracts Crores Contracts

Amount in Crores

NET AMOUNT

408263

30822.02

-168.8378

72464.83

978618

70626.35

8.7434

225018

12394.59

1366496

80479.60

-146.852

109284

6273.31

146595

8751.24

17.0061 -289.9403

INDICES

R2

R1

PIVOT

S1

S2

NIFTY

10712.07

10597.13

10530.57

10415.63

10349.07

BANKNIFTY

26059.46

25799.63

25647.37

25387.53

25235.27

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Special Report 13-Nov-2018

RECOMMENDATIONS GOLD TRADING STRATEGY: BUY GOLD ABOVE 31190 TGT 31230 31335 31413 SL BELOW 30050 SELL GOLD BELOW 30990 TGT 30890/30800/30750 SL ABOVE 31200

COMMODITY ROUNDUP

India's rice exports dropped 9.6 percent to 5.8 million tonnes between April and September from a year earlier, as leading buyer Bangladesh trimmed purchases due to bumper local harvest, a government body said. The country's buffalo meat exports during the period edged down 0.5 percent from a year ago to 618,559 tonnes, the Agricultural and Processed Food Products Export Development Authority said. Guar gum exports rose 5 percent to 265,195 tonnes on robust demand from the United States. India is the world's biggest exporter of buffalo meat, guar gum and rice. The country's exports of pulses more than doubled during the period to 171,656 tonnes, while dairy exports surged 39.3 percent to 66,462 tonnes, the agency said.

SILVER TRADING STRATEGY: BUY SILVER ABOVE 36970 TGT 37080 37150 36850 SELL SILVER BELOW 36825 TGT 36770/36700 36970

SL BELOW SL ABOVE

Saudi Arabia said OPEC and its allies should reverse about half the increase in oil output they made earlier this year as fears of shortages are supplanted by concerns about oversupply and collapsing prices.Producers need to cut about 1 million barrels a day from October production levels, Saudi Energy Minister Khalid Al-Falih said in Abu Dhabi on Monday. The kingdom will reduce shipments by about half that amount next month, making its second policy U-turn after a summer surge in prices was followed by a swift collapse into a bear market this month. “This announcement of at least Saudi Arabia reducing probably will firm the price,� BP(LON:BP) Chief Executive Officer Bob Dudley said in a Bloomberg TV interview. Oil rallied as much as 2.4 percent in London and 1.8 percent in New York.The largest producer in the Organization of Petroleum Exporting Countries is once again taking the lead to address huge shifts in the market. In June, it persuaded fellow producers to end 18 months of production cuts and pump more crude in response to falling output in Venezuela and Iran and pressure over prices from U.S. President Donald Trump.This time, Saudi Arabia is urging allies to focus on the risk of rising oil inventories and forecasts for massive growth in rival supplies next year including U.S. shale. The kingdom still has some work to do persuading other major producers to follow suit, notably Russia, the largest non-OPEC nation in the alliance.

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Special Report 13-Nov-2018

RECOMMENDATIONS GUARGUM5 TRADING STRATEGY: BUY GUARGUM ABOVE 10200 TGT 10215 10225 10235 SL BELOW 10140 SELL GUARGUM BELOW 10090 TGT 10075 10060 10040 SL ABOVE 10170

NCDEX INDICES Index

Value

% Change

Barley Castor Seed Chana Coriander Cotton Seed Oilcake Guar Seed 10 MT

1938 5842 4559 6026 1902.5 4682.5

-0.67 2.7 0.35 2.56 2.97 1.98

Jeera

20010

-0.3

Mustardseed Soy Bean Turmeric

4051 3331 6538

0.25 1.56 0.03

Firmness in cash chana market continues on the back of poor arrival in major markets,good festive demand and buyer's increased interest at current level.Millers from Indore are buying chana from Gwalior line while Millers in Delhiare active for Rajasthan and MP line chana.Growing fear of lower crop due to lower area coverage so far and prevailing moisture stress in the field are not favorable for sowing.Dry condition may further delay sowing. Farmers in MP,Maharashtra,AP and Gujarat are waiting for post monsoon rains.In major producing states like Raj,MP and Mah farmers have planted only 50 to 55% chana so far.Under emerging condition chana may move towards 5000 level soon. However,one correction is expected at this level.Chana is being traded at 4500-4550 in Delhi marke DHANIYA TRADING STRATEGY: BUY DHANIYA ABOVE 6540 TGT 6570/6600/6630 SL BELOW 6480 SELL DHANIYA BELOW 6500 TGT 6470/6440 SL ABOVE 6560

The China has agreed to buy raw sugar from India following months of negotiations and the export is expected to begin early next year. A contract for exporting 15,000 tonnes of raw sugar has been entered to by the Indian Sugar Mills Association (ISMA) and COFCO. India plans to export 2 million tonne of raw sugar to China beginning next year. ISMA has set a target of a total sugar export of 5 million tonne in 2018-19 sugar year (October-September). According to United States Department of Agriculture (USDA) November estimate, U.S 2018/19 ending stocks of soy oil is fell 9.5 percent to 1,915 million lbs from 2,116 million lbs in earlier estimate. Opening stocks are lowered to 1,990 million lbs from 2,206 million lbs. Production of soy oil in 2018/19 is lowered to 26,315 million lbs from 26,416 million lbs in its earlier estimate. Imports in 2018/19 are kept unchanged at 300 million lbs. Biodiesel use in 2018/19 was unchanged at 7,800 million lbs. Food, feed and other industrial use in 2018/19 is increased to 14,400 million lbs compared to 14,300 lbs in its earlier estimate. Exports in 2018/19 were unchanged at 2,200 million lbs.

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Special Report 13-Nov-2018

RBI Reference Rate Currency

Rate Currency

Rate

Rupee- $

72.87 Yen

63.91

82.4583 GBP

94.02

Euro USD/INR

TRADING STRATEGY: BUY USDINR ABOVE 72.95 Target 73.07 72.14 SL BELOW 72.70 SELL USDINR BELOW 72.8 TGT 72.7 72.6 SL 73

The dollar rallied to a 16-month high on Monday as investors positioned for a Federal Reserve interest rate rise next month and concern about political risks in Europe put pressure on the euro and the pound. The dollar fell last week on the belief that losses for U.S. President Donald Trump's Republican party in the midterm elections would make further fiscal stimulus measures unlikely. But the greenback has mounted a significant rally since the Fed kept interest rates steady on Thursday and reaffirmed its monetary tightening stance. The currency remains underpinned by the robust U.S. economy. Fears about a no-deal Brexit and a growing rift in Europe over Italy's budget have also aided the dollar. "King dollar has staged a return," said Valentin Marinov, head of G10 FX strategy atCredit Agricole (PA:CAGR). "After the Fed [last week] investors are pretty happy to reload on long dollar positions. The European currencies look most vulnerable."

GBP/INR TRADING STRATEGY: BUY GBPINR ABOVE 94.05 TGT 94.15 94.30 SL Below 93.80 SELL GBPINR BELOW TGT 93.9 TARGET 93.85 93.75 SL ABOVE 94.10

Net long positions on the dollar versus G10 currencies last week rose to their highest levels since 2015 at $30.4 billion, according to CFTC data The rupee on November 12 dropped by 39 paise to settle at 72.89 against the US currency as oil prices rebounded after Saudi Arabia announced plans to cut production and the dollar strengthened in global markets. The rupee opened lower at 72.74 and fell further by 57 paise to the day's low of 73.07 as crude oil prices surged over 1 percent to reclaim $71 per barrel level, cutting short its 10-day selling trend.The rupee finally settled at 72.89 per dollar, showing a loss of 39 paise or 0.54 percent over the last close.Saudi Arabia announced plans to cut production by 500,000 barrels per day from December and called for a global output cut of one million barrels per day to support oil price.

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Special Report 13-Nov-2018

Date

Commodity/ Currency Pairs

12/11/18

NCDEX DHANIYA

NOV

BUY

6450

12/11/18

NCDEX DHANIYA

NOV

Sell

12/11/18

NCDEX GUARGUM5

NOV

12/11/18

NCDEX GUARGUM5

12/11/18

Contract Strategy

Entry Level

Stop Loss

Remark

6500/6560

6390

TARGET HIT

6365

6315/6255

6405

NOT EXECUTED

BUY

10450

10520/10620

10390

SL HIT

NOV

SELL

10180

10110/10010

10260

OPEN

MCX GOLD

Dec

BUY

31190

31230/31335/3 1413

30050

NOT EXECUTED

12/11/18

MCX GOLD

Dec

SELL

30990

30890/30800/3 0750

31200

NOT EXECUTED

12/11/18

MCX SILVER

Dec

BUY

36970

37080/37150

36850

NOT EXECUTED

12/11/18

MCX SILVER

Dec

SELL

36825

36770/36700

36970

NOT EXECUTED

Entry Level

Target

Stop Loss

Remark

10630/10650

10550

SL HIT

523/517/512

535

NOT EXECUTED

302/306/310/3 15

292

SL HIT

2059

TARGET HIT

Date

Scrip

CASH/ FUTURE/ Strategy OPTION

12/11/18

NIFTY

FUTURE

BUY

10580-10600

12/11/18

Cipla

FUTURE

Sell

529-525

12/11/18

BPCL

FUTURE

BUY

297-300

12/11/18

SRF

CASH

BUY

2070-2075

Target

2080/2092/211

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Special Report 13-Nov-2018

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

REPORT

PERIOD

ACTUAL

FORECAST

PREVIOUS

MONDAY, NOV. 12 Veterans Day TUESDAY, NOV. 13 6 am

NFIB small-business index

Oct.

2 pm

Federal budget

Oct.

107.9

WEDNESDAY, NOV. 14 8:30 am

Consumer price index

Oct.

0.1%

8:30 am

Core CPI

Oct.

0.1%

THURSDAY, NOV. 15 8:30 am

Weekly jobless claims

11/10

8:30 am

Retail sales

Oct.

0.1%

8:30 am

Retail sales ex-autos

Oct.

-0.1%

8:30 am

Philly Fed

Nov.

22.2

8:30 am

Empire state index

Nov.

21.1

8:30 am

Import price index

Oct.

0.5%

10 am

Business inventories

Sept.

0.5%

FRIDAY, NOV. 16 9:15 am

Industrial production

Oct.

0.3%

9:15 am

Capacity utilization

Oct.

78.1%

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