Special report-2-january -2019-epic-research.

Page 1

Special Report 02 –JAN-2019

Global markets at a glance Asian stocks crept higher on Monday as hints of progress on the Sino-US trade standoff provided a rare glimmer of optimism in what has been a rough year-end for equities globally.Survey data out of China, however, proved unhelpfully mixed with manufacturing activity contracting for the first time in two years even as the service sector improved.Sentiment had brightened just a touch when US President Donald Trump said he held a "very good call" with China's President Xi Jinping on Saturday to discuss trade and claimed "big progress" was being made. The Wall Street Journal reported the White House was pressing China for more details of on how it might boost US exports and loosen regulations that stifle US firms there.MSCI's broadest index of Asia-Pacific shares outside Japan added 0.2 percent, but was still down 16 percent for the year. E-Mini future for the S&P 500 firmed 0.68 percent.Japan's Nikkei was closed for a holiday having ended the year with a loss of 12 percent.Across the region, the worst performer of the year was the index of Chinese blue chips which lost a quarter of its value. PREVIOUS DAY ROUNDOFF The Indian benchmark indices witnessed a strong surge in the final hour of trade managing to start 2019 on a positive note.Nifty managed to close 47 points higher at 10,910, while Bank Nifty closed 232 points higher at 27,392, closing at multi-month highs. The recovery in the markets was led by Financial Service and PSU Banking stocks with the likes of Bank of Baroda and Indian Bank closing 3.79% and 3.2% higher respectively. Rest of the major Asian markets were shut on account of New Year celebrations.Nifty & Bank Nifty Futures witnessed an addition in open interest mainly fresh long positions.On the Options front, Bank Nifty witnessed short covering in ATM and ITM call option strikes with 27300CE and 27400CE witnessing a reduction of ~1.78 lakh shares and ~1.16 lakh shares respectively, which fueled the rally in the Index. ( 3rd Dec Expiry). Index stats The Market was very volatile in last session. The sartorial in dices performed as follow; Commodities[-0.23pts], Consumption[-0.45pts],PSE[+0.14pts],CPSE[ 0 .1 8 pt s ], E ne r gy [+ 0 .0 9 ts ] , FM CG [ -0 .3 9 pt s ],A u to [ 0.57pts],Pharma[+0.15pts],IT[+0.07pts],Metal[ 0.61pts],Realty[+2.22pts], Fin Serv sector[+1.00pts].

World Indices Index

Value

% Change

DJI

23696

+0.37

S&P500

2506

-1.54

NASDAQ

6584

+0.08

FTSE100

6733

+2.27

20014 25504

-0.31 +0.10

NIKKEI HANG SENG

Top Gainers Company

CMP

Change

% Chg

JSW Steel

306.75

8.65

2.9

Tata Steel

521.05

8.2

1.6

202.2

2.8

1.4

723.15

9.15

1.28

430.5

5.3

1.25

CMP

Change

% Chg

259 312.5 253.25 137.05 619.9

-4 -4.05 -2.65 -1.15 -5.15

-1.52 -1.28 -1.04 -0.83 -0.82

Vedanta Tech Mahindra Sun Pharma

Top Losers Company

Bharti Infratel Bharti Airtel HPCL IOC Axis Bank

Stocks at 52 Week’s HIGH Symbol

Prev. Close

Change

%Chg

53.8

3.6

6.69

1228.1

25.9

2.11

1860.55

-9.8

-0.53

1000

0

0

425.25

31.75

7.47

Prev. Close

Change

%Chg

2.35

0.05

2.13

3.5

0

0

45.15

1.35

2.99

5.45

0.25

4.59

594.4

3.25

0.55

BANG GMMPFAUDLR HINDUNILVR ICICILIQ IRCON

Stocks at 52 Week’s LOW Symbol

ADHUNIK AMTEKAUTO DAMODARIND EASUNREYRL ENIL Indian Indices Company

CMP

Change

% Chg

NIFTY

10910

47.55

+0.44

SENSEX

36254

186.24

+0.52

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Special Report 02 –JAN-2019

RECOMMENDATIONS [FUTURE]

STOCK RECOMMENDATION [CASH]

1. JUBILANT FOOD (FUTURE )

JUBILANT FOOD

On Daily chart we have seen that stock near its support level, expectation it will broke its 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 1250 target 1260/1270 Sl 1230

On Daily chart we have seen that stock near its support level, expectation it will broke its 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 1250 target 1260/1270 Sl 1230

MACRO NEWS 

2. BEML [FUTURE] On Daily chart we have seen that stock close above its pivot resistense 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 910 target 915/920 Sl  900

RBI issues norms for restructuring loans to MSMEs The Reserve Bank of India (RBI) issued norms for restructuring loans defaulted by micro, small and medium enterprises. The RBI permitted a one-time restructuring of existing loans to MSMEs that are in default but 'standard" as on January 1, 2019, the central bank said in a statement. Power Grid Corporation of India: Subsidiary POWERGRID Jabalpur Transmission Limited successfully commissioned the project viz. transmission system strengthening associated with Vindhyachal-V which comprises establishment of Vindhyachal Pooling Station - Jabalpur Pooling Station 765kV Double Circuit Transmission line on build, own, operate and maintain (BOOM) basis.

Chambal Fertilisers & Chemicals: Company has declared the commencement of commercial production from Gadepan-III plant.

VST Tillers Tractors December sales: Power tillers sales at 1,353 units versus 3,004 units and tractors sales at 602 units versus 611 units YoY.

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Special Report 02 –JAN-2019

STOCKS IN NEWS

MOST ACTIVE CALL OPTION Symbol

Optio Strike n Price Type

LTP

Traded Volume (Contracts)

BANKNIFTY

CE

27,500 98.15

6,58,047

BANKNIFTY

CE

27,300 203.05

5,84,794

3,89,060

BANKNIFTY

CE

27,400

145

5,77,689

4,93,840 

MARUTI

CE

8,000

57.5

3,405

RELIANCE

CE

1,140 28.25

3,374

RELIANCE

CE

1,160

20.8

2,805

YESBANK

CE

200

8.2

2,312

SUNPHARMA

CE

450

9.75

2,228

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

Optio Strike n Price Type

LTP

Traded Volume (Contracts)

Open Interest

LIC Housing Finance: V K Sharma resigned as Chairman of the company

10,45,560 

NMDC to consider the proposal for buy-back of the fully paid-up equity shares on January 8

1,47,075

Coal India December coal production at 54.13 million tons versus 54.63 million tons

10,96,500 NIFTY FUTURE In last trading session we have seen the 7,69,000 buying pressure in the market. It form green bullish candle on daily chart . We expect that upcoming week 45,57,000 from trading prospective is very volatile . Our view on 12,18,800 market is bearish ,our recommendation is to sell the nifty future in the range of 10940 Target 10900/10850/10820 2,83,500 Sl 11000 .Sell on rise strategy follow for trading & Open positional purpose. Interest

BANKNIFTY

PE

27,000

20

7,31,761

11,92,920

BANKNIFTY

PE

27,100

30

4,27,727

7,15,420

BANKNIFTY

PE

26,900

13.8

4,22,958

5,35,120

RELIANCE

PE

1,100 20.75

2,985

5,34,500

MARUTI

PE

7,400

164

2,103

32,775

RELIANCE

PE

1,080

14.1

1,917

3,16,500

MARUTI

PE

7,000

57

1,680

54,900

RELIANCE

PE

1,120

28.5

1,641

4,06,500

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

186636

13921.68

195007

14676.42

443106

34263.28

-754.743

INDEX OPTIONS

2504350

151864.57

2507286

151949.34

904516

67556.53

-84.7702

STOCK FUTURES

561906

32306.16

563425

32578.21

1517487

90480.81

-272.0549

STOCK OPTIONS

121983

7071.84

122239

7080.18

161995

8995.63

-8.3369 -1119.905

INDICES

R2

R1

PIVOT

S1

S2

NIFTY

10996

10953

10880

10836

10763

BANKNIFTY

27692

27542

27280

27130

26869

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Special Report 02 –JAN-2019

RECOMMENDATIONS GOLD TRADING STRATEGY: BUY GOLD ABOVE 31650 TGT 31700/31750 SL BELOW 31550 SELL GOLD BELOW 31450 TGT 31400/31320 SL ABOVE 31530

SILVER TRADING STRATEGY: BUY SILVER ABOVE 38900 TGT 38950/39000 SL BELOW 38750 SELL SILVER BELOW 38500 TGT 38450/38400 SL ABOVE 38600

COMMODITY ROUNDUP Oil markets reversed early gains on Wednesday to fall on the back of surging U.S. crude production and concerns of an economic slowdown in 2019.International Brent crude futures LCOc1 were at $53.65 per barrel at 0218 GMT, down 15 cents, or 0.3 percent, from their final close of 2018.West Texas Intermediate (WTI) spot crude oil futures CLc1 were at $45.34 per barrel, down 7 cents, or 0.1 percent.Traders said crude futures won an early boost from a rise in stock markets, but then began to fall as the market focus returned to expectations of oversupply amid surging U.S. production and concerns about a global economic slowdown. prices ended 2018 with losses for the first time since 2015, after a desultory fourth quarter that saw buyers flee the market over growing worries about a supply glut and mixed signals related to renewed U.S. sanctions on Iran. U.S. oil began 2019 in positive territory on Wednesday, although the general outlook for the year is weak amid soaring U.S. crude supply and concerns of an economic slowdown.West Texas Intermediate (WTI) spot crude oil futures CLc1 were trading at $45.86 per barrel at 0024 GMT, up 45 cents, or 1 percent, from their final close in 2018.International Brent crude futures LCOc1 had yet to trade.Oil prices ended 2018 with losses for the first time since 2015, after a desultory fourth quarter that saw buyers flee the market over growing worries about a supply glut and mixed signals related to renewed U.S. sanctions on Iran. Gold prices edged lower on Wednesday as Asian equities won support on the first day of the new year from gains in US stock futures, pointing to an improvement in risk appetite. Spot gold fell 0.2 per cent to $1,279.31 per ounce at 0120 GMT. The metal was not far off Monday's more than six-month high of $1,284.09. US gold futures were little changed at $1,281 per ounce. The dollar index, which tracks the greenback against a basket of major currencies, was marginally lower. US President Donald Trump invited Republican and Democratic congressional leaders to a border security briefing at the White House as the federal government remained partialiy shut down over his demand to fund a wall along the US-Mexico border. Asian shares crept cautiously higher on the first trading day of the new year as early gains in US stock futures spoke of some improvement in risk appetite .

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Special Report 02 –JAN-2019

RECOMMENDATIONS GUARGUM5 TRADING STRATEGY: BUY GUARGUM JAN ABOVE 8600 TARGET 8615/8640/8660 SL 8540 SELL GUARGUM ABOVE JAN 8520 TARGET 8505/8480/8460 SL 8580

NCDEX INDICES Index

Value

% Change

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

1918.5 5142 4529 6340 1867 4308

-0.13 -3.73 -3.97 -3.99 -2.09 -2.81

Jeera

17740

-3.04

3983 3343 6604

-1.88 -0.24 -0.67

Mustardseed Soy Bean Turmeric

DHANIYA TRADING STRATEGY: BUY DHANIYA JAN ABOVE 6360 TARGET 6375/6390/6420 SL 6300 SELL DHANIYA JAN ABOVE 6340 TARGET 6325/6310/6280 SL 6400

Soybean yellow arrivals (in 90-kg bags) and prices (in rupees per tonne) in Vidarbha, according to officials of Agriculture Produce Marketing Committee and trade sources. There was negligible change in the edible oil pattern of trading in the Vidarbha region of Western Maharashtra today as prices hovered around last levels in absence of any worthwhile moving factors. Restricted arrivals against sporadic demand mainly kept major oil prices unaltered. No trader was in mood for any commitment because of government decision to slash oil import duty and adopted wait and watch move, according to sources. Gram prices shot up in Nagpur Agriculture Produce Marketing Committee (APMC) on good seasonal demand from local millers amid weak supply from producing regions. Healthy rise in Madhya Pradesh pulses and reported demand from South-based millers also boosted prices. About 100 bags of gram reported for auctions in Nagpur APMC, according to sources. Malaysian palm oil futures closed slightly down on Monday as a stronger ringgit weighed on the last trading day of 2018, charting a second consecutive year of declines as high inventories and weak demand pushed down prices. POI/ U.S. wheat futures fell more than 1 percent on Monday in thin, technically driven trade, brokers said, but still posted a yearly gain of nearly 18 percent. GRA/ U.S. oil began 2019 in positive territory on Wednesday, although the general outlook for the year is weak amid soaring U.S. crude supply and concerns of an economic slowdown. O/R Asian shares crept cautiously higher on the first trading day of the new year as early gains in U.S. stock futures spoke of some improvement in risk appetite. MKTS/GLOB

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Special Report 02 –JAN-2019

RBI Reference Rate Currency

Rate Currency

Rate

Rupee- $

69.6550 Yen

63.7

Euro

80.1875 GBP

89.2775

USD/INR TRADING STRATEGY: USD/INR BUY USDINR NOV ABOVE 70 TGT 70.10 70.20 SL 69.8 SELL USDINR NOV BELOW 69.6 TGT 69.5 69.4 SL 69.8

In a new year gift to the MSME sector, the Reserve Bank Tuesday allowed a one-time restructuring of existing debt up to Rs 25 crore for the companies which have defaulted on payment but the loans given to them have continued to be classified as standard assets. The decision will help the micro, small and medium enterprises (MSMEs) which are facing cash crunch in the wake of demonetisation and GST implementation. The RBI's board in its crucial meeting held on November 19, 2018 had advised the central bank examine a scheme for restructuring of stressed standard assets of MSME borrowers with aggregate credit facilities of up to Rs 25 crore, subject to such conditions as are necessary for ensuring financial stability.

GBP/INR TRADING STRATEGY: BUY GBPINR NOV ABOVE 90 TGT 90.1 90.2 SL 89.8 SELL GBPINR NOV BELOW 89.5 TGT 89.4 89.3 SL 89.7

To facilitate meaningful restructuring of MSME accounts that have become stressed, the RBI has decided to permit a one-time restructuring of existing loans to MSMEs that are in default but 'standard' as on January 1, 2019, without an asset classification downgrade, the central bank said in a statement. To be eligible for the scheme, the aggregate exposure, including non-fund based facilities of banks and NBFCs, to a borrower should not exceed Rs 25 crore as on January 1, 2019, and the without an asset classification downgrade, the central bank said in a statement. To be eligible for the scheme, the aggregate exposure, including non-fund based facilities of banks and NBFCs, to a borrower should not exceed Rs 25 crore as on January 1, 2019, and the restructuring has to be implemented by March 31, 2020. Restructuring package for MSME was one of the sore points of the tussle between the RBI and the government. There was a detailed presentation by Financial Services Secretary Rajiv Kumar on the cash crunch being faced by the MSME sector at the crucial November 19 board meeting. The government had suggested several steps to help the sector which contributes 50 per cent to the manufacturing sector.

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Special Report 02 –JAN-2019

Date

Commodity/ Currency Pairs

01/1/19

NCDEX DHANIYA

JAN

BUY

6210

01/1/19

NCDEX DHANIYA

JAN

Sell

01/1/19

NCDEX GUARGUM5

JAN

01/1/19

NCDEX GUARGUM5

01/1/19

Contract Strategy

Entry Level

Stop Loss

Remark

6225/6240/62 70

6160

NOT EXECUTED

6170

6155/6140/61 10

6230

NOT EXECUTED

BUY

8390

8405/8420/8/ 450

8330

TARGET HIT

JAN

SELL

8320

8305/8280/82 60

8380

NOT EXECUTED

MCX GOLD

JAN

BUY

31650

31700/31750

31550

SL HIT

01/1/19

MCX GOLD

JAN

SELL

31450

31400/31320

31530

SL HIT

01/1/19

MCX SILVER

MAR

BUY

38900

38950/39000

38750

NOT EXECUTED

01/1/19

MCX SILVER

MAR

SELL

38500

38450/38400

38600

NOT EXECUTED

Entry Level

Target

Stop Loss

Remark

Target

Date

Scrip

CASH/ FUTURE/ Strategy OPTION

01/1/19

NIFTY

FUTURE

SELL

10940

10900/10850/ 10820

11000

OPEN

01/1/19

JUBILANT FOOD

FUTURE

BUY

1250

1260/1270

1230

TARGET HIT

01/1/19

BEML

FUTURE

BUY

910

915/920

900

TARGET HIT

01/1/19

JUBILANT FOOD

CASH

BUY

1250

1260/1270

1230

TARGET HIT

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O


Special Report 02 –JAN-2019

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

REPORT

PERIOD

ACTUAL

MEDIAN FORECAST

PREVIOU

A GOVERNMENT SHUTDOWN COULD DELAY THE RELEASE OF SEVERAL INDICATORS THIS WEEK. MONDAY, DEC. 24

8:30 am

Chicago Fed national activity index

Nov.

0.22

--

0.00

Case-Shiller home prices

Oct.

5.5%

--

5.5%

8:30 am

Weekly jobless claims

12/22

217,000

214,000

10 am

Consumer confidence index

Dec.

133.3

135.7

10 am

New home sales*

Nov.

563,000

544,000

-$76.1 bln

-$77.0bln

TUESDAY, DEC. 25

None scheduled Christmas Day WEDNESDAY, DEC. 26

9 am THURSDAY, DEC. 27

FRIDAY, DEC. 28

9:45 am

Markit manufacturing index flash

9:45 8:30 am am

Markit services index flash

Nov.

--

55.7

Nov. Advance trade in goods*

-Nov.

54.8

9:45 am

Chicago PMI

Dec.

--

66.4

10 am

Pending home sales

Nov.

--

-2.6%

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