Special report-25-july-2018-epic-research

Page 1

Special Report 25-July-2018

Global markets at a glance The S&P 500 on Tuesday closed at its highest level since Feb. 1 as Alphabet's blowout results bolstered expectations of a robust earnings season.Alphabet Inc shares touched a record high of USD 1,275.00 after the online search company's quarterly results surpassed Wall Street estimates. The shares closed up 3.9 percent at $1,258.15.Google's parent company was the biggest boost to the S&P 500. Others in the FANG group of momentum stocks rose as well. Shares of Facebook Inc and Amazon Inc were up 1.8 percent and 1.5 percent, respectively. Both companies report earnings later this week. Asian stocks eked out modest gains on Friday as investor caution prevailed amid concerns about the European Union imposing retaliatory tariffs on US goods while US President Donald Trump's criticism of Federal Reserve policy knocked the dollar.MSCI's broadest index of AsiaPacific shares outside Japan inched up 0.1 percent.Australian stocks added 0.5 percent and South Korea's KOSPI edged up 0.07 percent. Japan's Nikkei reversed earlier modest losses to rise 0.2 percent, lifted as the dollar came off lows versus the yen. Officials from the EU Trade Commission, due to arrive in Washington next week for trade talks, are said to be preparing a list of tit-for-tat actions in response to proposed U.S. tariffs on EU cars. Previous day Roundup The Nifty after opening above 11,100 levels remained positive throughout the session on global cues, though there was some volatility. The index gained for third consecutive session to end at record closing high on Tuesday, forming bullish candle on the daily charts. All sectoral indices participated in the rally except IT and Bank. Metal was the biggest gainer, rising 3 percent followed by Pharma (up 1.25 percent) and Realty (2.5 percent).The broader markets also extended rally with the Nifty Midcap index gaining 1.3 percent and Smallcap rising 2.3 percent. ]Index stats

The Market was very volatile in last session. The sartorial in dices performed as follow; Commodities[81.15pts], Consumption[22.15pts],PSE[53.95pts],CPSE [42.05pts],Energy[-20.35pts],FMCG[25.25pts],Auto [90.70pts],Pharma[111.65pts],IT[ -19.30pts],Metal [93.95pts],Realty[6.55 pts], Fin Serv sector[20.15pts].

World Indices Index

Value

% Change

25,241.94

0.79

S&P500

2,816.50

-0.10

NASDAQ FTSE100

7,840.77 7,709.05

-0.01 0.69

22,620.27 28,892.11

0.49 0.77

DJI

NIKKEI HANG SENG

Top Gainers Company

CMP

Change

% Chg

999.55

78.15

8.48

56.40

3.85

7.33

207.60

11.45

5.84

Larsen

1,324.00

44.85

3.51

UltraTechCement

4,136.80

127.15

3.17

CMP

Change

% Chg

1,312.25 3,108.25 2,713.35 6,827.70

-24.80 -57.20 -42.45 -95.40

-1.85 -1.81 -1.54 -1.38

991.60

-13.25

-1.32

Grasim Idea Cellular Hindalco

Top Losers Company

Kotak Mahindra Hero Motocorp Bajaj Finance Bajaj Finserv HCL Tech

Stocks at 52 Week’s HIGH Symbol

Prev. Close

Change

%Chg

22816.95

952.05

4.17

ADANIGREEN

42.45

4.2

9.89

ASIANPAINT

1433.2

39.6

2.76

ASTRAL

1076.1

25.9

2.41

904

-6

-0.66

3MINDIA

BATAINDIA

Stocks at 52 Week’s LOW Symbol

8KMILES ACCELYA AMDIND AMTEKAUTO ANIKINDS

Prev. Close

Change

%Chg

276.75 1039.5 19 6.85 25.55

-27.65 5.6 0.8 0.3 1.25

-9.99 0.54 4.21 4.38 4.89

Indian Indices Company

CMP

Change

% Chg

NIFTY

11134.30

49.50

0.45

SENSEX

36825.10

106.50

0.29

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Special Report 25-July-2018

RECOMMENDATIONS [FUTURE] 1.AUROPHARMA [FUTURE ] From the daily chart it is clear that the particular counter of pharma sector had reversed from its support level of 568, the trend is looking a reversal but there is an anomaly between the volume and candles. Around the levels of 600, there is a cruail resistance level from were it can reverse so we advice to sell Auropharma future near the levels of 600601 for the targets of 594-590 sl above 604.

.

2.SREINFRA [FUTURE]

The particular counter is shwoing a clear sign of reversal from its lower levels of 49.70 with stockhastic momentum indicator showing a chance of bounce back , as per the daily chart in the last trading session a bullish harami candle can be found at the lower level here long position can be made around 51.55-70 for the possible targets of 54-56 sl below 49.

STOCK RECOMMENDATION [CASH] IBREALEST [CASH] From the daily chart its clear that after moving in continuos downtrend the particular script has got a support at its important level of 144, it has shown a reversal from its lower levels and closed just below its resistance level of 16.75 from here a chance of breakout can be found, so we advice to BUY IBREALEST AROUND 161-162 TGT 165-170 SL BELOW 160.

MACRO NEW  The Nifty futures on the Singaporean exchange were trading flat on Wednesday, pointing to a similar start on the market here as well. The futures were up 2 points.  HDFC Asset Management Company, the joint venture between Housing Development Finance Corporation and Standard Life Investments, is set to open its initial public offering for subscription on July 25.This is the sixth public offer of the current financial year 2018-19, after TCNS Clothing, Varroc Engineering, RITES, Fine Organics Industries and Indostar Capital Finance.Equity shares offered through this public issue are proposed to be listed on BSE and NSE.  SEBI on Tuesday proposed a three-phase process for reclassification of promoters as public shareholders and issued a consultation paper on it, according to a report on The Hindu Business Line.First, the company promoters will have to apply to the stock exchanges for reclassification. Next, the request will go to the company board, which will give its recommendation and place it before the shareholders. In the final stage, shareholders can approve or disapprove it in a general meeting through an ordinary resolution. The promoter will not be permitted to vote on the resolution, the SEBI paper said.

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Special Report 25-July-2018

STOCKS IN NEWS

MOST ACTIVE CALL OPTION Symbol

Optio Strike n Price Type

NIFTY

Hindustan Zinc: Q1 profit increases 1.5 percent to Rs 1,918 crore versus Rs 1,889 crore; revenue rises 16 percent to Rs 5,310 crore versus Rs 4,576 crore (YoY).

28,02,525  32,20,950

Linde India: Q1 profit at Rs 5.2 crore versus loss of Rs 2.2 crore; revenue rises 2.8 percent at Rs 549.6 crore versus Rs 534.7 crore (YoY).

LTP

Traded Volume (Contracts)

CE

11,100 61.55

3,30,631

NIFTY

CE

11,200 16.35

3,26,065

BANKNIFTY

CE

27,200

56.1

3,24,297

9,64,280

BANKNIFTY

CE

27,100 85.85

2,44,589

6,04,880

MARUTI

CE

10,000 59.85

14,679

1,32,750

IDEA

CE

60

0.5

9,966

63,21,000

ASHOKLEY

CE

120

0.6

9,102

91,80,000

ACC

CE

1,500

16.3

8,727

2,86,000

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

Optio Strike n Price Type

NIFTY

Open Interest

NIFTY FUTURE

2,83,500

LTP

Traded Volume (Contracts)

Open Interest

PE

11,100 25.95

3,34,303

27,03,300

BANKNIFTY

PE

27,000 106.85

3,33,254

7,14,000

NIFTY

PE

11,000

11

3,05,502

BANKNIFTY

PE

26,900

71.3

3,04,756

RELIANCE

PE

1,100

5.75

6,614

BAJAJ-AUTO

PE

2,600

15.5

4,880

TATASTEEL

PE

520

2.75

4,167

From the daily chart its clear that the Nifty future has 55,28,100 finally broken its crucial resistance level of 11073 and 5,10,360 closed above it ,here it is showing that now the index has created its new support and resistance level, today it 19,88,000 may touch its earlier level of 11080 due to profit 1,55,500 booking so we advice you bid a long position around 7,53,310 11070-11090 for target of 11140-11190 sl below 11020.

VEDL

PE

210

1.3

3,866

15,73,250

FII DERIVATIVES STATISTICS BUY

SELL

No. of Contracts

Amount in Crores

INDEX FUTURES

100587

8632.01

100603

8667.34

INDEX OPTIONS

741421

68883.11

743902

STOCK FUTURES

447480

30336.20

STOCK OPTIONS

104356

7341.40

OPEN INTEREST AT THE END OF THE DAY

No. of Amount in No. of Contracts Crores Contracts

Amount in Crores

NET AMOUNT

348860

29522.94

-35.3332

69131.40

887701

76167.75

-248.2937

437306

29864.59

1138670

82486.68

471.6029

109327

7674.68

120051

8368.54

-333.2818 -145.3058

INDICES

R2

R1

PIVOT

S1

S2

NIFTY

11174.00

11154.00

11123.00

11103.00

11072.00

BANKNIFTY

27250.00

27112.00

26990.00

26852.00

26730.00

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Special Report 25-July-2018

RECOMMENDATIONS GOLD TRADING STRATEGY: BUY GOLD AUG FUT ABOVE 30000 TGT 30100 30300 SL BELOW 29900 SELL GOLD AUG FUT BELOW 29850 TGT 29700 29500 SL ABOVE 29950

SILVER TRADING STRATEGY: BUY SILVER SEP FUT ABOVE 38700 TGT 38900 39200 SL BELOW 38500 SELL SILVER SEP FUT BELOW 38300 TGT 38100 37800 SL ABOVE 38500

COMMODITY ROUNDUP Gold carved out some gains after testing fresh 12 month low as investor sentiment was rattled following a continued escalation in global trade worries. US President Donald Trump indicated that he is ready to impose tariffs on $500 billion worth of Chinese goods to the US if China does not comply on its trade policies noted media reports. Meanwhile, global mining major Newmont Mining Corp has announced the completion of the Northwest Exodus project in Nevada, according to media reports. This is likely to add between 50,000 and 75,000 ounces of gold production per year and lower Carlin's all-in sustaining costs by approximately $25 per ounce during the first five years of operation, Newmont stated. The underground infrastructure also provides exploration platforms for potential future supply growth. Newmont noted that the project is expected to extend the mine life from the Exodus underground operation in the Carlin North area for 10 years. COMEX Gold closed at $1232 per ounce, up 0.65% on the day. MCX Gold closed at Rs 29900 per 10 grams, almost unchanged on the day. Southern Silver Exploration Corp reported an expansion of the exploration program at the CLM West portion of its Cerro Las Minitas project in Durango, Mexico with the mobilization of a second core drill to begin the next phase of the current US$3 million, 2018 exploration program on the project. The second drill will focus on the discovery and delineation of major Ag-Au quartz vein systems within the more recently acquired CLM West claim. Southern Silver Exploration Corp. is a precious metals exploration and development company with a focus on the discovery of world-class mineral deposits in north-central Mexico and the southern USA. The Company engages in the acquisition, exploration and development either directly or through joint-venture relationships in mineral properties in major jurisdictions. Indian Copper was trading up due to bottom fishing in the session on Friday. Earlier in the week, Metals have sold-off over the past six weeks on concerns that an escalating trade conflict between China and the U.S. could hurt the global economy and dent demand for raw materials. This has seen the dollar surge, particularly against the yuan.Earlier Friday, China's central bank had weakened its daily reference rate for the currency by the most in two years, making imports more pricey for the top consumer of raw materials.

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Special Report 25-July-2018

RECOMMENDATIONS GUARGUM5 BUY GUARGUM OCT FUT ABOVE 9150 TGT 9220 9320 SL BELOW 9080 SELL GUARGUM OCT FUT BELOW 8950 TGT 8870 8770 SL ABOVE 9020

NCDEX INDICES Index

Value

% Change

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

1607 4509 4180 5060 1795 4175

0.47 -0.92 -2.38 2.99 1.21 -2

19720

0.72

4162 3347 7354

-1.47 -0.39 -0.86

Jeera Mustardseed Soy Bean Turmeric

DHANIYA BUY DHANIYA AUG FUT ABOVE 5120 TGT 5170 5270 SL BELOW 5020 SELL DHANIYA AUG FUT BELOW 5040 TGT 4990 4900 SL ABOVE 5100

USDA forecasts that China's soybean imports will increase to 100.5 MMT in MY18/19 from the estimated 97 MMT in MY17/18. This forecast, is 2.5 MMT lower than USDA's June forecast. Due to the combination of the moderate increase in domestic soybean production, together with the slowdown in growth of soybean meal use, a net growth of 3.5 MMT of soybean imports in MY18/19 is expected to meet the Chinese demand growth for protein meals. U.S. soybean exports to China continue to face strong competition from soybean exports from South America. Excessive soybean stocks and a fall in the soybean price in Brazil attributed to the 14.2 MMT of Brazilian soybean exports to China in the first half of MY17/18. This is significantly higher than the 5.2 MMT during the same period in MY16/17. Despite China's net growth of over 2 MMT of soybean imports in the first half of MY17/18, total soybean imports from the United States fell to 24.4 MMT in this period, down from the 31.6 MMT in the previous year. Chinese importers note that Brazilian soybeans have a one percent higher protein content than U.S. soybeans. Importers were previously willing to pay a slightly higher price for soybeans with a higher protein content, but with the drop in the price of Brazilian soybeans, exports are now surging As per official data, Ukraine supplied some 1 MMT of wheat to foreign markets in May 2017/18. This was down 10% from April (1.1 MMT) but up 2% from May 2016/17 (986.8 KMT). In July-May 2017/18, wheat exports totaled 16.3 MMT, or 3% less than in the same period in MY 2016/17. Ukrainian wheat shipments to the European Union and Indonesia grew substantially in the current season. In the period under review, exports to Indonesia increased to 2.1 MMT that was 31% more than in the whole of MY 2016/17.

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Special Report 25-July-2018

RBI Reference Rate Currency

Rate Currency

Rate

Rupee- $

68.9650 Yen

60.0775

Euro

80.7800 GBP

90.5475

USD/INR BUY USDINR ABOVE 69.20 TGT 69.50/69.80 SL BELOW 68.90 SELL USDINR BELOW 68.50 TGT 68.35/67.40 SL ABOVE 68.65

GBP/INR BUY GBPINR ABOVE 90.60 TGT 90.90/91.20 SL BELOW 90.30 SELL GBPINR BELOW 89.60 TGT 89.30/89.00 SL ABOVE 89.90

The rupee retreated from early high levels to close down with a modest loss of 2 paise at 68.86 against the US currency on stray dollar demand from importers. The home currency initially reacted positively to the GST Council's decision to cut rates on several items and also tracking broad weakness in the dollar. It touched a high of 68.65 in early trade before slipping back toward the tail-end trade. Consistent unwinding by foreign investors on growing expectations of Fed rate hike kept home currency under pressure, a dealer said. Overall, forex sentiment remained fragile in the face macro challenges coupled with tense trade relations between the US and major economies and expectations that the Federal Reserve will raise interest rates further this year. The Indian rupee had hit its life-time low of 69.13 a dollar last Friday. Oil prices too inched up today after tensions worsened between Iran and the US. The Brent crude rising 66 cents to USD 73.73 per barrel and West Texas Intermediate gaining 27 cents to USD 68.53 per barrel. Foreign investors remained net investors in stock markets as they bought equities worth Rs 259 crore on net basis today. Domestic bourses maintained their bullish momentum for the second-straight session with the flagship BSE Sensex ending at a historic closing high driven by optimistic corporate earnings as well as strong buying from investors. The rupee resumed higher at 68.70 against weekend close of 68.84 at the Interbank Foreign Exchange (forex) market on increased selling of the American currency by exporters and banks. The local currency dropped to a low of 68.87 before settling at 68.86, showing a loss of 2 paise. The Financial Benchmarks India private limited (FBIL), meanwhile, fixed the reference rate for the dollar at 68.7040 and for the euro at 80.5619. The bond market also witnessed fresh selling and the 10-year benchmark yield end at higher at 7.81 per cent. The bond market also witnessed fresh selling and the 10-year benchmark yield end at higher at 7.81 per cent. In the cross currency trade, the rupee continued to lose ground against the pound sterling to finish at 90.50 per pound from 89.80 and dropped against the euro to end at 80.68 as compared to 80.25. It also slumped further against the Japanse yen to close at 62.00 per 100 yens from 61.26 earlier.

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Special Report 25-July-2018

Date

Commodity/ Currency Pairs

24/07/18

NCDEX DHANIYA

OCT

BUY

24/07/18

NCDEX DHANIYA

OCT

24/07/18

NCDEX GUARGUM5

24/07/18

Contract Strategy

Entry Level

Target

Stop Loss

Remark

4950

5000 5100

4900

TGT HIT

SELL

4600

4550 4500

4650

NOT EXECUTED

AUG

BUY

4850

4800 4700

4900

NOT EXECUTED

NCDEX GUARGUM5

AUG

SELL

9150

9080 8980

9220

TGT HIT

24/07/18

MCX GOLD

AUG

BUY

30000

30100 30300

29900

NOT EXECUTED

24/07/18

MCX GOLD

AUG

SELL

29850

29700 29500

29950

SL TRIGGERED

24/07/18

MCX SILVER

SEP

BUY

38500

38700 39000

38300

OPEN

24/07/18

MCX SILVER

SEP

SELL

38000

38600 38300

38200

NOT EXECUTED

Date

Scrip

CASH/ FUTURE/ OPTION

Strategy

Entry Level

Target

Stop Loss

Remark

24/07/18

NIFTY

FUTURE

BUY

11070-11090

11140-11190

11020

TGT HIT

24/07/18

SUNPHARMA

FUTURE

BUY

561-562

573-590

555

OPEN

24/07/18

NBCC

FUTURE

SELL

65.55-66

68-70

64

TGT HIT

24/07/18

QUICKHEAL

CASH

BUY

254-255

260-265

251

TGT HIT

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Special Report 25-July-2018

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

REPORT

PERIOD

ACTUAL

FORECAST

PREVIOUS

--

-0.15

TUESDAY, JULY 24

TUESDAY, JULY 24

--

55.4

WEDNESDAY, JULY 25

WEDNESDA Y, JULY 25

670,000

689,000

MONDAY, JULY 23 8:30 am

Chicago Fed national activity index

June 10 am

TUESDAY, JULY 24

TUESDAY, JULY 24

TUESDAY, JULY 24

9:45 am

Markit manufacturing PMI flash

July

TUESDAY, JULY 24

9:45 am WEDNESDA Y, JULY 25

WEDNESDAY, JULY 25

WEDNESD AY, JULY 25

10 am

New home sales

June

WEDNESDAY, JULY 25

THURSDAY, JULY 26 8:30 am

Weekly jobless claims

7/14

215,000

207,000

8:30 am

Durable goods orders

June

2.9%

-0.4%

8:30 am

Core capital equipment orders

June

--

0.3%

8:30 am

Advance trade in goods

June

-$69.1 bln

-$64.8bln

FRIDAY, JULY 27

FRIDAY, JULY 27

4.0%

2.0%

10 am FRIDAY, JULY 27

FRIDAY, JULY 27

8:30 am

Gross domestic product

FRIDAY, JULY 27 Disclaimer Q2

FRIDAY, JULY 27

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