Special report-25-jan-2019-epic-research

Page 1

Special Report

25–JAN-2019

Global markets at a glance The S&P 500 edged higher but the Dow closed nominally lower on Thursday as lingering anxieties about slowing global growth and unresolved trade disputes undercut a spate of strong earnings, while chipmakers rallied to give the Nasdaq a solid gain.Fourth-quarter earnings continued to be generally positive, but U.S. Commerce Secretary Wilbur Ross’ comments that the United States and China were “miles and miles” from reaching a trade agreement curbed investor enthusiasm.The Dow Jones Industrial Average fell 22.38 points, or 0.09 percent, to 24,553.24, the S&P 500 gained 3.63 points, or 0.14 percent, to 2,642.33 and the Nasdaq Composite added 47.70 points, or 0.68 percent, to 7,073.46. Asian stocks inched higher on Friday, buoyed by gains in US technology shares, but gains were capped by worries over slowing growth in Europe and caution ahead of several key events next week including US-China trade talks.MSCI’s broadest index of Asia-Pacific shares outside Japan edged up 0.2 percent. The index was headed for a loss of 0.1 percent this week. Australian stocks climbed 0.5 percent, South Korea’s KOSPI added 0.7 percent. Japan’s Nikkei advanced 1 percent.Trends on SGX Nifty indicate a positive opening for the broader index in India, a rise of 56.5 points or 0.52 percent. Nifty futures were trading around 10,942level on the Singaporean Exchange. PREVIOUS DAY ROUNDOFF Indian benchmark indices witnessed a volatile trading session with benchmark indices gyrating across the unchanged line right through the trading session before finally managing to end in the green. The Nifty ended the day 18 points higher at 10,849, while Bank Nifty closed the weekly expiry 15 points higher at 27,266. The pullback in the markets was seen in the final hour of trade with Yes Bank being the star performer ending the day 9.2% higher as traders reacted positively to Q3 numbers as well as the appointment of Ravneet Gill as the new MD and CEO of the Bank. Index stats The Market was very volatile in last session. The sartorial in dices performed as follow; Commodities[-5.75pts], Consumption[+5.15pts],PSE[-4.45pts],CPSE[4.35pts],Energy[+140.6ts],FMCG[+45.35pts],Auto[ 75pts],Pharma[-51.7Pts],IT[+83.15pts],Metal[ 3.4pts],Realty[+5.10pts], Fin Serv sector[-11.45pts].

World Indices Index

Value

% Change

DJI

24597

+0.57

S&P500

2642

+0.14

NASDAQ

7073

+0.68

FTSE100

6818

-0.35

20824 27536

+1.21 +1.53

NIKKEI HANG SENG

Top Gainers Company

CMP

Change

% Chg

Yes Bank

215.4

18.15

9.2

Reliance

1,247.45

21.15

1.72

TCS

1,901.55

25.95

1.38

JSW Steel

283.65

2.75

0.98

Tech Mahindra

727.75

7.05

0.98

CMP

Change

% Chg

263 175.4 747.35 423 500.7

-14 -4.85 -15.5 -8 -8.6

-5.05 -2.69 -2.03 -1.86 -1.69

Top Losers Company

Bharti Infratel Tata Motors UPL Sun Pharma Cipla

Stocks at 52 Week’s HIGH Symbol

Prev. Close

Change

%Chg

948.15

45.15

5

LIQUIDETF

1,000.01

0.02

0

NAUKRI

1,790.00

-13.95

-0.81

25.9

1.2

4.86

1,000.01

-0.01

0

Prev. Close

Change

%Chg

ABGSHIP

1.85

0

0

ACCELYA

905.1

-4.7

-0.51

ADROITINFO ADVENZYMES ALKALI

16.3 157.6 50.25

0.2 -2.95 -3.25

1.15 -1.81 -6.07

DALBHARAT

REFEX LIQUIDETF

Stocks at 52 Week’s LOW Symbol

Indian Indices Company

CMP

Change

% Chg

NIFTY

10849

+18.30

+0.17

SENSEX

36195

+86.63

+0.24

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Special Report

25–JAN-2019

RECOMMENDATIONS [FUTURE]

STOCK RECOMMENDATION [CASH]

1. BIOCON [FUTURE ] In Biocon we have seen that stock closing near its pivot resistense level . Strong buying seen in last 3 days .Traders view that company shows strong fundamnetal ,so bullish on this stock . All though pharma sector is not performing as good .Our recommendation is to buy stock above 670 Target 675/685 Sl 660

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 405 for the target of 400/390 with the stop loss of 415

2. SIEMENS [FUTURE]

MACRO NEWS

Stock siemens near to its resistense level 1075. If resistense level breakout we get then we expect move of 100-150  points in up side . In last week we have seen that stock is traded in a particular range . Derivative data also suggest that traders are bullish on this stock .Our recommendation is to buy the stock in the range of 1010 Target 1020/1030 Sl 990

India's economy is expected to grow at 7.4 percent during 2018-19 and improve to 7.6 percent in the next fiscal, said a UN report on Wednesday. The United Nations' World Economic Situation and Prospects (WESP) 2019 report also expects India's gross domestic product (GDP) to expand by 7.4 percent in 202021."Growth continues to be underpinned by robust private consumption, a more expansionary fiscal stance and benefits from previous reforms," said the report. Oil prices edged lower on Friday as a surprise increase in US inventories offset support from the threat of lower production in Venezuela. International Brent crude oil futures were at $61.01 a barrel at 0124 GMT, down 8 cents their last settlement. Brent futures closed down 0.1 percent in the previous session.US West Texas Intermediate (WTI) crude futures were at $53.08 per barrel, down 6 cents from their last settlement. WTI futures closed up 1 percent on

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Special Report

25–JAN-2019

STOCKS IN NEWS

MOST ACTIVE CALL OPTION Symbol

Optio Strike n Price Type

LTP

Traded Volume (Contracts)

Open Interest

BANKNIFTY

CE

27,300

0.2 39,16,747

15,86,860

BANKNIFTY

CE

27,200 66.95 26,08,188

BANKNIFTY

CE

27,400

RELIANCE

CE

RELIANCE

IDBI Bank: Bank approved in-principle, proposal to reinitiate divestment process of IDBI stake in IDBI Federal Life Insurance.

0.05 24,31,721

Automotive Stampings Q3: Loss at Rs 5.7 crore versus 1,42,700 loss Rs 11.8 crore; revenue rises to Rs 103.7 crore versus 15,80,540 Rs 94.3 crore YoY.

1,260

13.3

16,95,000

CE

1,240

22.6

RELIANCE

CE

1,280

6.65

YESBANK

CE

220

13.9

RELIANCE

CE

1,300

3.4

MARUTIACTIVE PUT CE OPTION 9,000 111.5 MOST

29,036

NIFTY FUTURE Nifty followed global market and started 13,61,000 with gap up but today Pharam and Media share made 18,784 16,86,000 pressure in market due to that whole day Nifty traded in sideways and in last one hour it loosed almost fifty per 16,938 48,14,250 cent gains in intraday. On daily chart it created bearish 16,169 19,47,000 candle since Nifty forming Open Broadening pattern so we it will be buy in decline around 10850 with stop loss o 5,823 2,83,500 10770 for the target of 10920/10970. 22,567

Symbol

Optio Strike n Price Type

LTP

Traded Volume (Contracts)

Open Interest

BANKNIFTY

PE

27,200

0.05

27,51,853

10,46,220

BANKNIFTY

PE

27,100

0.1

24,48,795

12,28,460

BANKNIFTY

PE

27,000

0.05

15,83,038

13,96,020

RELIANCE

PE

1,220

7.65

17,028

13,89,500

RELIANCE

PE

1,200

4.1

16,953

21,46,000

RELIANCE

PE

1,240 13.45

13,152

9,23,500

YESBANK

PE

180

0.5

10,047

43,13,750

YESBANK

PE

200

2.2

9,780

38,08,000

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

40571

2841.94

44691

3352.85

477288

37690.41

-510.9057

INDEX OPTIONS

2532804

146966.55

2513341

146042.19

940726

71021.52

924.3648

STOCK FUTURES

221190

12955.59

211091

12384.52

1440158

87180.18

571.0714

STOCK OPTIONS

155088

9148.69

154144

9095.22

197885

11532.77

53.4624 1037.9929

INDICES

R2

R1

PIVOT

S1

S2

NIFTY

10906

10878

10838

10810

10770

BANKNIFTY

27450

27358

27250

27158

27051

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Special Report

25–JAN-2019

RECOMMENDATIONS GOLD TRADING STRATEGY: BUY GOLD ABOVE 32200 TGT 32250/32300 SL BELOW 32100 SELL GOLD BELOW 32000 TGT 31950/31900 SL ABOVE 32100

SILVER TRADING STRATEGY: BUY SILVER ABOVE 39200 TGT 39250/39300 SL BELOW 39050 SELL SILVER BELOW 39000 TGT 38900/38700 SL ABOVE 39200

COMMODITY ROUNDUP Gold struggled to build on the overnight attempted rebound and remained under some selling pressure for the second consecutive session.The precious metal failed to capitalize on the early uptick to the $1285 area, with a combination of negative forces contributing to the prevalent weaker sentiment for the fifth session in the previous six.After yesterday's volatile swing in the US equities, signs of stability returning back to the global financial markets dented demand for traditional safe-haven assets and prompting some selling around the precious metal.This coupled with some buying seen around the US Dollar, despite a weaker tone around the US Treasury bond yields, exerted some additional downward pressure on the dollardenominated commodity.However, the partial US government shutdown and dovish Fed expectations might keep a lid on any runaway rally for the greenback and should help limit any sharp downfall for the non-yielding yellow metal.Hence, it would be prudent to wait for a strong follow-through selling before confirming that the commodity might have already topped out near the key $1300 psychological mark and positioning for any further depreciating move. Oil prices declined on Thursday on lingering concerns that slowing global economic growth may limit fuel demand and after a surprise build in U.S. crude inventories.International Brent crude oil futures LCOc1 were at $60.90 a barrel at 0745 GMT, down 24 cents, or 0.4 percent, from their last settlement.U.S. West Texas Intermediate (WTI) crude futures CLc1 were at $52.44 per barrel, 18 cents lower from their last close."The crude market is now focussing on global growth concerns primarily ... It looks to be viewing inventory readings (as) secondary," said Hue Frame, portfolio manager at Frame Funds in Sydney."The IMF downgrading 2019/20 and the continued rhetoric from Davos reiterating that they expect global growth to slow down over the next two years is providing selling pressure in oil," Frame said.Earlier this week, the International Monetary Fund (IMF) cut its world economic growth forecasts for 2019 and 2020, due to weakness in Europe and some emerging markets. leaders and top executives are meanwhile meeting in Davos, Switzerland, to discuss how to steer policy amid worries of slowing economic growth, damaging trade wars and Brexit. market sentiment was also weakened by a surprise increase in U.S. crude inventories after refineries cut output, data from industry group the American Petroleum Institute showed on Wednesday.

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Special Report

25–JAN-2019

RECOMMENDATIONS GUARGUM5 TRADING STRATEGY: BUY GUARGUM FEB ABOVE 8750 TARGET 8765/8785/8810 SL 8690 SELL GUARGUM FEB BELOW 8700 TARGET 8685/8660/8640 SL 8760

NCDEX INDICES Index

Value

% Change

Barley

1941

-1.27

Castor Seed

5348

1.44

Chana Coriander Cotton Seed Oilcake Guar Seed 10 MT

4198 6167 1930 4348

-1.85 -2.74 -1.43 0.24

17490

-0.51

3959 3466 6626

0.61 0.7 0.18

Jeera Mustardseed Soy Bean Turmeric

DHANIYA TRADING STRATEGY: BUY DHANIYA APR ABOVE 6700 TARGET 6715/6740/6760 SL 6640 SELL DHANIYA APR BELOW 6620 TARGET 6605/6580/6560 SL 6680

The government is planning to link 22,000 mandis across the country with the National Agriculture Market (e-NAM), an online trading platform for agricultural commodities by 2021-22, Union Agriculture Minister said. Already 585 mandis have been linked with e-NAM.The minister said that the government is implementing several programs to develop the agricultural sector.The budgetary outlay of the Agriculture Ministry has been increased to Rs 2,11,694 crore during 2014-19, to develop and implement schemes to improve the farmers' situation in the countryPradhan Mantri Fasal Bima Yojana' is one such scheme which aims to reduce the risks associated with agriculture, is being implemented across the country. With an expected 10% shortfall in the production of Pulses this year, the prices are likely to shoot up. Retail prices of Moong and Tur have already jumped Rs 4-10 a kg in the past 15 days.In 2018-19, the production is likely to be 22 million tonnes, just enough to meet India’s requirement of 25 million tonnes, with a buffer stock of 36 lakh tonnes.Area under cultivation of kharif Pulses (OctoberMarch) has dropped from 157 lakh hectares to 149 lakh hectares till last week. Ground reports also suggest a downfall in the production of rabi (June-September) Pulses. Cold waves and untimely rains may further damage the standing crop.There had been a bumper crop of Pulses in the past two seasons which prompted India to cut down on imports as well as export the excess quantity. In 2016-17, India produced 23.13 million tonnes of Pulses, followed by an even better crop size of 25.23 million tonnes in 2017-18. India's crude oil production declined 4.3% to 2.86 million tonnes in December 2018 over December 2017. Crude oil output of ONGC fell 5.4% to 1.76 million tonnes, while that of Oil India declined 4.7% to 0.27 million tonnes.

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Special Report

25–JAN-2019

RBI Reference Rate Currency

Rate Currency

Rupee- $

71.09 Yen

64.8

80.6425 GBP

92.5775

Euro

Rate

USD/INR TRADING STRATEGY: USD/INR BUY USDINR FUTURE ABOVE 71.20 TARGET 71.30 71.4 SL 71 SELL USDINR FUTURE BELOW 69.95 TARGET 69.85 69.75 SL 71.15

GBP/INR TRADING STRATEGY: BUY GBPINR FUTURE ABOVE 92.8 TARGET 92.9 93 SL 92.6 SELL GBPINR FUTURE BELOW 92.75 TARGET 92.65 92.55 SL 92.95

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

25–JAN-2019

Date

Commodity/ Currency Pairs

24/1/19

NCDEX DHANIYA

APR

BUY

6700

24/1/19

NCDEX DHANIYA

APR

Sell

24/1/19

NCDEX GUARGUM5

FEB

24/1/19

NCDEX GUARGUM5

24/1/19

Contract Strategy

Entry Level

Stop Loss

Remark

6715/6740/67 60

6640

NOT EXECUTED

6620

6605/6580/65 60

66680

TARGET

BUY

8750

8765/8785/88 10

8690

NOT EXECUTED

FEB

SELL

8700

8685/8660/86 40

88760

TARGET

MCX GOLD

FEB

BUY

32200

32250/32300

32100

NOT EXECUTED

24/1/19

MCX GOLD

FEB

SELL

32000

31950/31900

32100

NOT EXECUTED

24/1/19

MCX SILVER

MAR

BUY

39200

39250/39300

39050

NOT EXECUTED

24/1/19

MCX SILVER

MAR

SELL

39000

38900/38800

39200

TARGET HIT

Entry Level

Target

Stop Loss

Remark

Target

Date

Scrip

CASH/ FUTURE/ Strategy OPTION

24/1/19

NIFTY

FUTURE

BUY

10850

10920/10970

10750

OPEN

24/1/19

BIOCON

FUTURE

BUY

670

675/680

660

OPEN

24/1/19

SIEMENS

FUTURE

BUY

1055

1065/1070

1030

NOT EXECUTED

24/1/19

REPOHOME

CASH

SELL

405

400/395

415

OPEN

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Special Report

25–JAN-2019

NEXT WEEK'S MAJOR U.S. ECONOMIC REPORTS

TIME (ET)

REPORT

PERIOD

ACTUAL

FORECAST

PREVIOUS

THE GOVERNMENT SHUTDOWN COULD DELAY THE RELEASE OF SOME DATA THIS WEEK MONDAY, JAN. 21 None scheduled Martin Luther King Jr. Day TUESDAY, JAN. 22 10 am

Existing home sales

Dec.

5.32 mln

WEDNESDAY, JAN. 23 None scheduled THURSDAY, JAN. 24 8:30 am

Weekly jobless claims

1/19

9:45 am

Markit manufacturing PMI

Jan.

53.8

9:45 am

Markit services PMI

Jan.

54.4

10 am

Leading economic indicators

Dec.

0.2%

FRIDAY, JAN. 25 9:45 am

Markit manufacturing index flash

8:30 Durable orders* 9:45 amam Markit servicesgoods index flash

Nov. Nov.

Dec.

--

55.7

--

54.8

0.8%

8:30 am

Core capital equipment orders*

Dec.

-0.6%

10 am

New home sales*

Dec.

544,000 (Oct)

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