Special Report 24-Oct-2018
Global markets at a glance US stocks fell on Tuesday after worries about the earnings outlook added to recent selling pressure, though major indexes ended well off the day's lows as investors snapped up beaten-down shares late in the session. Shares of Caterpillar tumbled 7.6 percent after the heavyequipment maker maintained its 2018 earnings forecast, following forecast increases in the previous two quarters. 3M Co slid 4.4 percent after cutting its full-year profit outlook due to foreign currency-related challenges. That reignited worries over the impact of rising borrowing costs, wages and tariffs on corporate profits and caused S&P industrial stocks to slide 1.6 percent.Along with worries over profit growth, concerns over the upcoming U.S. mid-term elections and Italy's budget have also sent investors scrambling out of stocks. The S&P 500 energy index fell 2.7 percent, the most of any sector, as oil prices plunged after Saudi Arabia said it could supply more crude quickly if needed. Investors trimmed most of the losses in afternoon trading as some thought the losses were overdone. Technical buying at support levels around 2,700 on the S&P 500 also helped stocks to bounce back, strategists said. Asian stocks edged lower on Wednesday as concerns, ranging from worries about US corporate earnings to Middle East tensions, weighed on sentiment while crude oil approached two-month lows after Saudi Arabia flagged possible supply increases. MSCI's broadest index of Asia-Pacific shares outside Japan was down 0.2 percent, extending the decline of more than 2 percent in the previous session. Global stocks have suffered this week on worries about US earnings, Italian government finances, US trade tensions and mounting pressure on Saudi Arabia over the death of dissident journalist Jamal Khashoggi. PREVIOUS DAY ROUNDOFF The index made a small bullish candle and formed 'Long Legged Doji' pattern on the daily candlestick charts. The Nifty50 after the gap down opening traded range bound and extended losses in the second half of the session to hit an intraday low of 10,102.35. The index managed to recover some losses in late trade but still closed 98.50 points lower at 10,146.80.India VIX fell sharply by 10.87 percent at 19.03. Index stats The Market was very volatile in last session. The sartorial in dices performed as follow; Commodities[-39.00pts], Consumption[-43.15pts],PSE[8.60pts],CPSE[ 0.40pts],Energy[-49.70pts],FMCG[-316.95pts],Auto[51.30pts],Pharma[-278.40pts],IT[-406.70pts],Metal[26.90pts],Realty[0.35 pts], Fin Serv sector[-14.35pts].
World Indices Index
Value
% Change
DJI
25,191.40
-0.50
S&P500
2,740.69
-0.55
NASDAQ FTSE100
7,118.67 6,955.21
-0.32
-1.24
22,124.93 25,565.67
0.52 0.86
NIKKEI HANG SENG
Top Gainers Company
CMP
Change
% Chg
HPCL
217.90
7.30
3.47
Indiabulls Hsg
734.65
21.50
3.01
HDFC
1,686.75
28.45
1.72
IndusInd Bank
1,473.15
23.70
1.64
Bajaj Auto
2,586.50
29.60
1.1
CMP
Change
% Chg
Asian Paints Sun Pharma Wipro Grasim
1,138.45 575.85 309.10 825.95
-61.95 -31.05 -13.10 -31.40
-5.16 -5.12 -4.07 -3.66
UltraTechCement
3,343.65
-119.60
-3.4
Top Losers Company
Stocks at 52 Week’s HIGH Symbol
Prev. Close
Change
%Chg
0.3
0.05
16.67
999.99
0
0
9.55
0.45
4.71
KSB
731.5
-21.5
-2.94
LIQUIDETF
1000
0
0
BLUECHIP ICICILIQ JAINSTUDIO
Stocks at 52 Week’s LOW Symbol
3IINFOTECH 5PAISA 8KMILES AAVAS ABCAPITAL
Prev. Close
Change
%Chg
3.25 186.3 103.05 678.4 100.05
-0.05 -7.35 -5.15 -47.35 -3.05
-1.54 -3.95 -5 -6.98 -3.05
Indian Indices Company
CMP
Change
% Chg
NIFTY
10146.80
-98.50
-0.96
SENSEX
33847.23
-287.15
-0.84
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Special Report 24-Oct-2018
RECOMMENDATIONS [FUTURE] 1.DIVISLAB [FUTURE ] Yesterday the pharma sector showed a major negative trend from the initial session of the market. From the daily chart divislab is making a clear head and shoulder pattern respecting its nearest support level of 1240. Since few months the market is showing excess volatility in the starting session so it would be better to trade this stock if it maintains its level around 1240-1235 in the first hour of the market so we advice you to sell divislab future around 12381235 for the targets of 1220-1200 with stoploss above 1255.
2.M&M [FUTURE] In the yesterday trading session the stock broke its crucial support level of 725 but due to market volatility it regained its losses and closed with a bullish doji candle above it. From here we can get an early sign of reversal so it would be better to follow buy on dip strategy around 728-730 for the targets of 740-750 with stoploss below 720.
STOCK RECOMMENDATION [CASH] UJJIVAN - [CASH] The particular stock is continuously breaking its important support levels day by day. Yesterday it broke its life time low of 216.65 but closed above it due to market volatility. The stock has a tendency to show initial upside movement and rebounds from its nearest resistance level so it would be better to wait for an hour to trade on this stock. Our suggestion is to short ujjivan around 214-212 for the targets of 208-200 with stoploss above 218.
MACRO NEW Trends on SGX Nifty indicate a positive opening for the broader index in India, a gain of 55 points or 0.54 percent. Nifty futures were trading around 10,227level on the Singaporean Exchange. Oil prices on Tuesday extended falls from the previous day, when crude slumped as much as 5 percent, after Saudi Arabia said it would make up for supply disruptions from US sanctions targeting Iran’s petroleum exports from next month.Front-month Brent crude oil futures were at $76.37 a barrel at 0031 GMT, 7 cents below their last close. US West Texas Intermediate (WTI) crude futures were at $66.31 a barrel, 12 cents below their last settlement. The Reserve Bank will infuse liquidity into the market by purchasing government bonds of around Rs 12,000 crore in an auction on October 25. "Based on an assessment of prevailing liquidity conditions and also of the durable liquidity needs going forward, the Reserve Bank has decided to conduct purchase of the government securities under Open Market Operations for an aggregate amount of Rs 120 billion on October 25, 2018," RBI said in a release. National Stock Exchange of India (NSE) said it has got regulatory approval to launch copper large futures contract with a trading unit of 25 tonne.
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Special Report 24-Oct-2018
STOCKS IN NEWS
MOST ACTIVE CALL OPTION
Ambuja Cements Q3: Profit falls 34.4 percent to Rs 178.6 crore versus Rs 272.4 crore; revenue rises 12.6 percent to Rs 2,613.9 crore versus Rs 2,321.8 crore YoY.
22,03,125 26,50,950
Bajaj Corp Q2: Profit rises to Rs 51.65 crore versus Rs 50.71 crore; revenue increases to Rs 212.72 crore versus Rs 204.13 crore YoY.
Symbol
Optio Strike n Price Type
LTP
Traded Volume (Contracts)
NIFTY
CE
10,200
63.8
4,32,329
NIFTY
CE
10,300
24.6
4,25,563
BANKNIFTY
CE
25,200 130.45
3,14,019
6,46,880
BAJFINANCE
CE
2,200
33
14,579
5,55,000
RELIANCE
CE
1,060
13.9
12,563
10,22,000
RELIANCE
CE
1,080
5.85
12,523
15,29,000
RELIANCE
CE
1,100
2.55
10,875
35,20,000
SBIN
CE
270
0.6
8,304
39,90,000
MARUTIACTIVE PUT CE OPTION 9,000 111.5 5,823 MOST
Open Interest
NIFTY FUTURE
2,83,500
Symbol
Optio Strike n Price Type
LTP
Traded Volume (Contracts)
Open Interest
NIFTY
PE
10,100
42.2
4,06,405
21,64,350
NIFTY
PE
10,000 20.35
4,05,567
BANKNIFTY
PE
24,500 50.15
3,29,619
RELIANCE
PE
1,040
5.9
10,046
RELIANCE
PE
1,020
2.5
7,286
BAJFINANCE
PE
2,000
18
6,297
ASIANPAINT
PE
1,100
5
6,030
RELIANCE
PE
1,000
1.2
5,996
The index made a small bullish candle and formed 'Long 36,66,075 Legged Doji' pattern on the daily candlestick charts. The 8,61,080 Nifty50 after the gap down opening traded range bound and extended losses in the second half of the session to 9,99,000 hit an intraday low of 10,102.35. The index managed to 9,02,000 recover some losses in late trade but still closed 98.50 2,97,000 points lower at 10,146.80, so we advice you to buy nifty future around 10190-200 for the targets of 10250-300 1,94,400 with stoploss below 10130. 14,98,000
FII DERIVATIVES STATISTICS BUY
SELL
No. of Contracts
Amount in Crores
INDEX FUTURES
97249
7962.52
90663
7437.56
INDEX OPTIONS
1303345
114330.74
1292493
STOCK FUTURES
505205
30749.93
STOCK OPTIONS
132030
9280.48
OPEN INTEREST AT THE END OF THE DAY
No. of Amount in No. of Contracts Crores Contracts
Amount in Crores
NET AMOUNT
278453
21527.84
524.9607
113388.73
1078190
85240.07
942.0101
499826
30400.41
1352690
85008.72
349.5161
130636
9125.34
141875
9108.72
155.1423 1971.6292
INDICES
R2
R1
PIVOT
S1
S2
NIFTY
10276.00
10211.00
10156.00
10091.00
10036.00
BANKNIFTY
25300.00
25136.00
24960.00
24796.00
24620.00
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Special Report 24-Oct-2018
RECOMMENDATIONS GOLD TRADING STRATEGY: BUY GOLD DEC FUT ABOVE 31920 TGT 32000 32050 SL BELOW 31850 SELL GOLD DEC FUT BELOW 31850 TGT 31800 31750 SL ABOVE 31900
SILVER TRADING STRATEGY: BUY SILVER DEC FUT ABOVE 38910 TGT 38950 39000 SL BELOW 38850 SELL SILVER DEC FUT BELOW 38650 TGT 38600 38550 SL ABOVE 38700
COMMODITY ROUNDUP Oil slipped below $80 a barrel on Thursday as the fourth weekly increase in U.S. crude inventories suggested ample supply, while Saudi-U.S. tension and falling Iranian exports lent support. U.S. crude inventories rose 6.5 million barrels last week, the Energy Information Administration said on Wednesday, the fourth straight weekly increase and almost three times what analysts had forecast. EIA/S. Brent crude LCOc1 , the global benchmark, was down 50 cents at $79.55 a barrel at 0840 GMT. It has dropped over $7 from a 2014 high of $86.74 reached on Oct. 3. U.S. crude CLc1 was down 28 cents at $69.47. "Stocks are building," said Olivier Jakob, oil analyst at Petromatrix. "It's a continuous trend. Week after week, it does start to add up."Oil had been rising this week on concern about a decline in Iranian exports due to U.S. sanctions and tension between the United States and Saudi Arabia after the death of Saudi journalist Jamal Khashoggi.U.S. lawmakers pointed the finger at the Saudi leadership over the disappearance of the Saudi critic, suggesting sanctions could be possible. Saudi Arabia denies that it had any role in Khashoggi's disappearance. President Donald Trump on Wednesday gave Saudi Arabia the benefit of the doubt in the journalist's disappearance, suggesting the White House may not take additional action against Saudi Arabia. Gold prices fell by 0.19 per cent to Rs 31,806 per ten gram in futures trade Wednesday as participants trimmed their positions in line with weak global trend. At the Multi Commodity Exchange, gold for delivery in December declined by Rs 62, or 0.19 per cent, to Rs 31,806 per ten gram in a business turnover of 13,379 lots. The precious metal to be delivered in November contracts also fell by Rs 60, or 0.19 per cent, to quote at Rs 31,641 per ten gram with a business volume of 23,444 lots. Gold rallied by Rs 110 to Rs 31,460 per 10 gram at the bullion market today, tracking a firm trend overseas amid sustained buying by local jewellers. Silver also advanced by Rs 175 to Rs 39,375 per kg due to increased offtake by industrial units and coin makers. Traders said sentiment remained upbeat on the back of a firm trend overseas as the dollar eased amid fresh concerns of trade tensions between the US and China. In sync with gold, silver ready strengthened by Rs 175 to Rs 39,375 per kg and weekly-based delivery by Rs 205 to Rs 38,525 per kg. Silver coins however continued to trade at last level of Rs 74,000 for buying and Rs 75,000 for selling of 100 pieces.
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Special Report 24-Oct-2018
RECOMMENDATIONS GUARGUM5 TRADING STRATEGY: BUY GUARGUM OCT ABOVE 10150 TARGET 10200 10250 SL 10100 SELL GUARGUM OCT BELOW 10050 TARGET 10000 9950 SL 10100
NCDEX INDICES Index
Value
% Change
Barley Castor Seed Chana Coriander Cotton Seed Oilcake Guar Seed 10 MT
1895 5416 4118 5650 1819 4669
-0.05 0.82 -0.91 -1.24 1.31 0.48
19930
-0.4
4200 3237 6616
-0.45 0.34 0.15
Jeera Mustardseed Soy Bean Turmeric
DHANIYA TRADING STRATEGY: BUY CORIANDER OCT ABOVE 5670 TARGET 5700 5750 SL 5620 SELL CORIANDER OCT BELOW 5600 TARGET 5550 5500 SL 5650
Turmeric prices were trading up by 0.46 per cent to Rs 6,526 per quintal in futures trade Wednesday as participants built up fresh positions, mainly driven by uptick in domestic and export demand in the spot market. Besides, limited arrivals from major producing regions fuelled the uptrend. At the National Commodity and Derivatives Exchange, turmeric for delivery in December month was trading higher by Rs 30, or 0.46 per cent, to Rs 6,526 per quintal with an open interest of 1,195 lots. Similarly, the spice for delivery in November month increased by Rs 18, or 0.28 per cent, to Rs 6,526 per quintal, in an open interest of 12,490 lots. Chana prices declined by 0.34 per cent to Rs 4,084 per quintal in futures market Wednesday as speculators booked profits amid ample stocks position at the spot market against low demand. At the National Commodity and Derivatives Exchange, chana for delivery in November fell by Rs 16, or 0.34 per cent, to Rs 4,084 per quintal with an open interest of 43,980 lots. Likewise, the commodity for delivery in December shed Rs 11, or 0.27 per cent to Rs 4,102 per quintal in 10,680 lots. Heavy rain in Kerala and parts of Karnataka in the past two months has damaged the arecanut crop. Growers are also expecting a sharp drop in production in the coming harvest as they struggle to cope with illegal imports into the country. “We expect 35 per cent shortfall in the crop. Rains have led to disease of the nuts,� said M Suresh Bhandary, MD of Mangalore-based Campco, which buys large quantities of nuts. Arecanut, a chief ingredient of pan masala, is mainly grown in Karnataka, Kerala and Assam. As per advance estimates of production by Directorate of Arecanut and Spices Development, output was 822,495 tonnes in 2017-18, a marginal rise from the previous year. Though area under the nut has remained stagnant, productivity has gone up in certain regions.
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Special Report 24-Oct-2018
RBI Reference Rate Currency
Rate Currency
Rate
Rupee- $
73.7818 Yen
65.6200
Euro
84.4743 GBP
95.5568
USD/INR TRADING STRATEGY: BUY USDINR ABOVE 74.00 TGT 74.50/75.00 SL BELOW 73.50 SELL USDINR BELOW 73.50 TGT 73.00/72.50 SL ABOVE 74.00
GBP/INR TRADING STRATEGY: BUY GBPINR ABOVE 96.50 TGT 97.00/97.50 SL BELOW 96.00 SELL GBPINR BELOW 95.50 TGT 95.00/94.50 SL ABOVE 96.00
The dollar rallied to a one-week high against its rivals on Thursday as upbeat Fed minutes confirmed that policymakers are likely to raise interest rates a few more times until end-2019. While interest rate differentials haven't played a big role in the first half of the year in predicting currency trends as trade war concerns have dominated sentiment, that relationship has begun to exert its influence again in recent weeks. The gap between ten-year U.S. yields and its German counterparts has widened out to three-decade highs of 274 basis points and market watchers expect the spread to widen more in the coming months. The minutes from the Fed's Sept. 25-26 meeting showed every Fed policymaker backed raising interest rates and also generally agreed borrowing costs were set to rise further, despite U.S. President Donald Trump's view that the tightening have already gone too far. minutes confirm that policymakers are expected to raise rates more over the next year and that is helping the dollar gain and the risk off moves last night in Asian stocks is also another factor," said Richard Falkenhall, senior FX strategist at SEB in Stockholm.China's benchmark stock index . SSEC skidded to four-year lows, sapping appetite for risk taking with the euro EURCHF= down 0.1 percent against the perceived safe-haven Swiss Franc.Interest rate futures are now pricing in an 83 percent likelihood that the Fed raises rates in December, according to the CME Group's FedWatch Tool, the fourth hike this year. Two more increases are expected next year.Against a basket of its rivals =USD .DXY , the dollar gained for a third consecutive day, up 0.2 percent at 95.78. A semi-annual report by the U.S. Treasury report released overnight refrained from naming China directly as a currency manipulator though market watchers said Washington will closely monitor the Chinese currency's moves. Bank strategists termed the report "as a bit of an escalation without being too dramatic". The Chinese currency traded in the offshore market CNH=D3 was trading near a three-month low against the dollar at 6.9385 yuan per dollar. The euro EUR= changed hands at $1.1497 on Thursday, trading flat versus the greenback, after losing 0.65 percent on Wednesday.
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Special Report 24-Oct-2018
Date
Commodity/ Currency Pairs
23/10/18
NCDEX DHANIYA
SEP
BUY
23/10/18
NCDEX DHANIYA
SEP
23/10/18
NCDEX GUARGUM5
23/10/18
Contract Strategy
Entry Level
Target
Stop Loss
Remark
5750
5800 5850
5700
TARGET HIT
SELL
5600
5550 5500
5650
NOT EXECUTED
OCT
BUY
10050
10100 10150
10000
TARGET HIT
NCDEX GUARGUM5
OCT
SELL
9750
9700 9650
9800
NOT EXECUTED
23/10/18
MCX GOLD
OCT
BUY
31920
32000 32050
31850
TARGET HIT
23/10/18
MCX GOLD
OCT
SELL
31850
31800 31750
31900
NOT EXECUTED
23/10/18
MCX SILVER
SEP
SELL
38830
38580 38650
38780
TARGET HIT
23/10/18
MCX SILVER
SEP
BUY
38910
38950 39000
38850
SL TRIGGERED
Date
Scrip
CASH/ FUTURE/ OPTION
Strategy
Entry Level
Target
Stop Loss
Remark
23/10/18
NIFTY
FUTURE
BUY
10190-200
10250-300
10130
SL TRIGGERED
23/10/18
M&M
FUTURE
SELL
731-728
720-710
740
OPEN
23/10/18
IRB
FUTURE
SELL
119-118
115-110
122
SL TRIGGERED
23/10/18
HDFCLIFE
CASH
SELL
358-350
370
IN PROFIT
365-363
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Special Report 24-Oct-2018
NEXT WEEK'S MAJOR U.S. ECONOMIC REPORTS TIME (ET)
REPORT
PERIOD
ACTUAL
FORECAST
PREVIOUS
MONDAY, OCT. 15 8:30 am
Retail sales
Sept.
0.1%
8:30 am 8:30 am
Empire State index
Oct.
19.0
10 am
Business inventories
Aug.
0.6%
TUESDAY, OCT. 16 9:15 am
Industrial production
Sept.
0.4%
9:15 am
Capacity utilization
Sept.
78.1%
10 am 10 am
Home builders' index
Oct.
67
WEDNESDA Y, OCT. 17
WEDNESDAY, OCT. 17
WEDNESD AY, OCT. 17
8:30 am
Housing starts
Sept.
1.28 mln
8:30 am
Building permits
Sept.
1.25 mln
WEDNESDAY, OCT. 17
WEDNESDAY, OCT. 17
WEDNESDA Y, OCT. 17
2 pm THURSDAY, OCT. 18
THURSDAY, OCT. 18
THURSDA THURSDAY, OCT. 18 Disclaimer Y, OCT. 18
THURSDAY, OCT. 18
THURSDAY, OCT. 18
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