Special report-31-jan-2019-epic-research

Page 1

Special Report

31–JAN-2019

Global markets at a glance US stocks surged on Wednesday after the Federal Reserve said it would be patient in lifting borrowing costs further this year, reassuring investors worried about a slowing economy.Along with better-than-feared quarterly results from Apple Inc, the Fed’s comments helped Wall Street reverse two down days triggered by profit warnings from US bellwethers that signaled a bigger impact from a slowdown in China.The Dow Jones Industrial Average jumped 1.77 percent to end at 25,014.86 points, while the S&P 500 gained 1.55 percent to 2,681.05. The NasdaqComposite surged 2.2 percent to 7,183.08. Asia stocks rose to a four-month high on Thursday, tracking Wall Street, after the Federal Reserve pledged to be patient with further interest rate hikes, signaling a potential end to its tightening cycle amid signs of slowing global growth.MSCI’s broadest index of Asia-Pacific shares outside Japan rose to its highest since October 4 and was last up 0.4 percent. Japan’s Nikkei rose 1.4 percent. Australian stocks added 0.4 percent, while South Korea’s KOSPI advanced 0.7 percent. Trends on SGX Nifty indicate a positive opening for the broader index in India, a risel of 64.5 points or 0.61 percent. Nifty futures were trading around 10,701-level on the Singaporean Exchange. PREVIOUS DAY ROUNDOFF The market continued to consolidate for second consecutive session and closed the day on a flat note Wednesday as traders remained cautious ahead of expiry of January derivative contracts, and the outcome of Federal Reserve meeting. Traders also await Interim Budget scheduled to be announced on Friday. The 30-share BSE Sensex was down 1.25 points at 35,591.25 while the 50-share NSE Nifty fell 0.40 points to 10,651.80 and formed bearish candle on the daily scale. Index stats The Market was very volatile in last session. The sartorial in dices performed as follow; Commodities[-3.75pts], Consumption[+22.95pts],PSE[ -17.85pts],CPSE[1.5pts],Energy[-189.55ts],FMCG[+193.35pts],Auto[22.55pts],Pharma[+93Pts],IT[+111.2pts],Metal [+1.2pts],Realty[-1.10pts], Fin Serv sector[-41.7pts].

World Indices Index

Value

% Change

DJI

25010

+0.17

S&P500

2681

+1.55

NASDAQ

7183

+2.20

FTSE100

6941

+1.58

20679 27660

-0.46 +0.33

NIKKEI HANG SENG

Top Gainers Company

CMP

Change

% Chg

ICICI Bank

365.9

19.05

5.49

Tata Steel

467.45

23.65

5.33

Axis Bank

690.95

30.2

4.57

2,595.50

79.95

3.18

205.8

6.25

3.13

CMP

Change

% Chg

672.9 338.15 2,499.70 290.3 1,222.20

-25.7 -11.1 -67.95 -7.05 -29.2

-3.68 -3.18 -2.65 -2.37 -2.33

Bajaj Finance Hindalco

Top Losers Company

Indiabulls Hsg Adani Ports Bajaj Auto Bharti Infratel Kotak Mahindra

Stocks at 52 Week’s HIGH Symbol

Prev. Close

Change

%Chg

AARTIIND

1,609.00

58

3.74

AXISBANK

703.35

30.25

4.58

GOLDBEES

2,944.80

10.8

0.37

HDFCMFGETF

3,013.95

10.95

0.37

LIQUIDETF

1,000.01

-0.01

0

Prev. Close

Change

%Chg

10

-0.25

-2.33

ABMINTLTD

15.65

-0.8

-4.86

ABSLNN50ET ADHUNIK ADLABS

253 1.95 8.75

14.4 -0.1 0.3

5.24 -4.88 3.31

Stocks at 52 Week’s LOW Symbol

3PLAND

Indian Indices Company

NIFTY SENSEX

CMP

Change

% Chg

10651.8

-0.40

0

35591

-1.25

0

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Special Report

31–JAN-2019

RECOMMENDATIONS [FUTURE]

STOCK RECOMMENDATION [CASH]

1. Titan [FUTURE ] TITAN -In Titan on daily chart as well as weekly we have seen that Buying in this stock by traders as well as investors in last week .Reason behind that quarterly result awaited in this week & also from technical aspect stock now moving towards to break its previous highs.Our 970 recommendation is to Buy stock target will be 980/990 SL below 950

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 400 for the target of 395/390 with the stop loss of 410

2. MCDOWNLL –N [FUTURE] MCDOWELL-N – Daily chart of MCDOWELL-N looking MACRO NEWS week .We have seen the trendline breakdown & also stock does not sustain at upper level . Our recommendation is to sell the stock future from 540 Target will be 530 SL 550. RSI  US oil prices edged up on Thursday to extend gains into a third session, with widely watched data showing & MACD also showing that downtrend continue in this signs of tightening supply in the United States. US stock . West Texas Intermediate (WTI) crude futures were at $54.41 per barrel at 0052 GMT, up 19 cents from their last settlement. 

The Federal Reserve on Wednesday signalled its threeyear-drive to tighten monetary policy may be at an end amid a suddenly cloudy outlook for the USeconomy due to global headwinds and impasses over trade and government budget negotiations.As it held interest rates steady, the US central bank also discarded its promises of “further gradual increases” in interest rates, and said it would be “patient” before making any further moves.

Private sector lender ICICI Bank posted a 2.7 percent year-on-year (YoY) drop in its December quarter net profit at Rs 1,604.91 crore. The asset quality also improved in Q3 with an improvement in both gross and net non-performing asset (NPA) ratio

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Special Report

31–JAN-2019

STOCKS IN NEWS

MOST ACTIVE CALL OPTION Symbol

Optio Strike n Price Type

LTP

Traded Volume (Contracts)

Open Interest

BANKNIFTY

CE

27,000

34.2

9,68,700

8,58,460

BANKNIFTY

CE

26,900

62

8,17,834

BANKNIFTY

CE

26,800 104.2

8,06,675

AXISBANK

CE

700

2.6

RELIANCE

CE

1,220

1.3

YESBANK

CE

210

0.85

RELIANCE

CE

1,240

0.6

YESBANK

CE

220

0.3

MARUTIACTIVE PUT CE OPTION 9,000 111.5 MOST

21,674

Godrej Consumer Q3: Profit slips 1.5 percent to Rs 424 crore versus Rs 430 crore; revenue increases 3.5 percent to Rs 2,721.9 crore versus Rs 2,630.3 crore YoY.

Granules India Q3: Profit jumps 72.3 percent to Rs 60 3,85,120 crore versus Rs 35 crore; revenue surges 53.8 percent to 3,81,860 Rs 631.8 crore versus Rs 410.7 crore YoY. 24,48,000

NIFTY FUTURE NIFTY -On daily & weekly chart we have 15,55,000 identify that Head & Shoulder pattern is forming at the top . Head & shoulder & for a short term forming 18,017 67,58,500 Raising wedge pattern in technical term bearish reversal 12,016 16,05,000 pattern .Nifty struggling from many weeks to breach the 10,844 55,44,000 resistense level of 11000.Closing of nifty in this week below 200 EMA & 100 EMA & RSI also showing 5,823 2,83,500 downwards movement . Our Recommendation is to sell 10600 nifty for targets 10570/10500 Sl 10700 .Upcoming Traded Open Volume Interest week is so important for the market because Govermnent is going to present Interium Budget on (Contracts) FEB,1 7,39,796 4,53,360 19,133

Symbol

Optio Strike n Price Type

LTP

BANKNIFTY

PE

26,700

57.3

BANKNIFTY

PE

26,500

19

7,37,008

7,92,840

BANKNIFTY

PE

26,600 35.95

7,15,385

4,76,360

RELIANCE

PE

1,200

9.8

21,578

11,22,000

AXISBANK

PE

680

2.95

10,179

9,40,800

YESBANK

PE

200

3.55

9,946

36,80,250

RELIANCE

PE

1,180

2.5

9,697

8,30,500

AXISBANK

PE

690

6.2

7,636

7,14,000

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

112376

8369.99

135737

10037.06

524101

40518.56

-1667.0641

INDEX OPTIONS

2054408

128003.63

2051551

127729.43

1032449

75685.66

274.1961

STOCK FUTURES

563559

32823.13

554749

31959.42

1560664

91823.23

863.7067

STOCK OPTIONS

138952

8762.75

137708

8689.66

200394

11544.17

73.0912 -456.0701

INDICES

R2

R1

PIVOT

S1

S2

NIFTY

10755

10703

10658

10606

10560

BANKNIFTY

27034

26929

26811

26707

26589

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Special Report

31–JAN-2019

RECOMMENDATIONS GOLD TRADING STRATEGY: BUY GOLD ABOVE 32600 TGT 32650/32750 SL BELOW 32500 SELL GOLD BELOW 32500 TGT 32450/32400 SL ABOVE 32650

SILVER TRADING STRATEGY: BUY SILVER ABOVE 40100 TGT 40150/4250 SL BELOW 39950 SELL SILVER BELOW 39950 TGT 39900/39800 SL ABOVE 40100

COMMODITY ROUNDUP Gold prices surged by Rs 350 to Rs 33,650 per 10 gram on Monday as buying by local jewellers gathered steam to meet wedding season demand, according to All India Sarafa Association.Silver too shone by gaining Rs 850 to Rs 40,900 per kg on increased offtake by industrial units and coin makers. As per bullion traders, gold firmed up on increased buying by jewellers to meet the ongoing wedding season demand.Besides, gold prices crossing USD 1,300 an ounce overseas influenced the sentiment in the domestic market, they said. Bullion market was closed on Saturday on account of Republic Day.Globally, gold rose to USD 1,301.82 an ounce and silver traded higher at USD 15.77 an ounce in New York.In the national capital, gold of 99.9 per cent and 99.5 per cent purities climbed Rs 350 each to Rs 33,650 and Rs 33,500 per 10 gram, respectively. Sovereign gold advanced by Rs 200 to Rs 25,700 per piece of eight gram.Silver ready rose by Rs 850 to Rs 40,900 per kg and weekly-based delivery by Rs 954 to Rs 39,990 per kg. Silver coins, too, were in good demand and traded higher by Rs 1,000 at Rs 78,000 for buying and Rs 79,000 for selling of 100 pieces, respectively. Oil prices fell 1 percent on Monday after U.S. companies added rigs for the first time this year, a signal that crude output may rise further, and as China, the world's secondlargest oil user, reported additional signs of an economic slowdown.International Brent crude oil futures LCOc1 were at $60.74 a barrel at 0804 GMT, down 90 cents, or 1.46 percent.U.S. crude oil futures CLc1 were at $52.84 per barrel, down 85 cents, or 1.58 percent, from their last settlement.High U.S. crude oil production C-OUT-T-EIA , which rose to a record 11.9 million barrels per day (bpd) late last year, has been weighing on oil markets, traders said.In a sign output could rise further, U.S. energy firms last week raised the number of rigs looking for new oil for the first time in 2019 to 862, an addition of 10 rigs, Baker Hughes energy services firm said in its weekly report on Friday. oil supply, a key question for this year will be the magnitude of demand growth.Oil consumption has been increasing steadily, and it will likely average above 100 million bpd for the first time ever in 2019, driven largely by a boom in China.A global economic slowdown, however, amid a trade dispute between Washington and Beijing is weighing on fuel demand-growth expectations.

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Special Report

31–JAN-2019

RECOMMENDATIONS GUARGUM5 TRADING STRATEGY: BUY GUARGUM FEB ABOVE 8650 TARGET 8665/8685/8710 SL 8490 SELL GUARGUM FEB BELOW 8600 TARGET 8585/8560/8540 SL 8660

NCDEX INDICES Index

Value

% Change

Barley

1580

0.39

Castor Seed

5096

0.39

Chana Coriander Cotton Seed Oilcake Guar Seed 10 MT

4229 6609 2049 4336

-1.18 -0.05 0.59 -0.09

15910

-0.38

3952 3826 6398

1.24 0.86 0.13

Jeera Mustardseed Soy Bean Turmeric

DHANIYA TRADING STRATEGY: BUY DHANIYA APR ABOVE 6680 TARGET 6695/6720/6740 SL 6620 SELL DHANIYA APR BELOW 6620 TARGET 6605/6580/6560 SL 6680

India's rabi crop sowing covered 591.64 lakh hectares till 25th January 2019, down by 30 lakh hectares from 622.12 lakh hectares planted in 2017-18, according to the Agriculture Ministry’s latest data.The worst hit seems to be winter rice, which reported a shortfall of more than 21% in planting, with Andhra Pradesh and Tamil Nadu reporting a huge drop in rice acreage. Tamil Nadu, which accounts for nearly half the rice cultivation in the rabi season, reported a nearly 27% shortfall in sowing.Wheat cultivation, on the other hand, is restricted to 296.37 lakh hectares, which is 2.5% lower than the 304.88 lakh hectares reported in the corresponding week in the previous rabi season. The shortfall was mainly from Maharashtra and Gujarat, which are suffering a drought currently.The acreage under pulses dropped to 151.6 lakh hectares, a little over 6% lower than in the same period in 2017-18. The drop is mainly due to less sowing of gram - the main rabi pulse crop - in Maharashtra, Karnataka and Gujarat. Though there was a slight increase in pulses acreage in Madhya Pradesh, Jharkhand, West Bengal and Tamil Nadu, it wasn’t enough to pull up the numbers. Two pulse varieties that have reported higher sowing this year were green peas and kulthi, which are substantially higher than in the same period last year. Another group of crops hit by drought conditions is coarse cereals. The subdued sowing in Maharashtra and Karnataka has led to a 14% fall in acreage, which is 47 lakh hectares as compared to 54.63 lakh hectares in the corresponding period in the previous year. A good showing by the mustard crop, mainly in Rajasthan, has somehow helped oilseeds come up close to the levels last year. The total area covered under oilseeds so far is around 79 lakh hectares, as per the official data.

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Special Report

31–JAN-2019

RBI Reference Rate Currency

Rate Currency

Rupee- $

71.44 Yen

65.3225

81.7275 GBP

93.5825

Euro USD/INR TRADING STRATEGY: USD/INR

BUY USDINR FUTURE ABOVE 71.40 TARGET 71.50 71.60 SL 71.2 SELL USDINR FUTURE BELOW 71.25 TARGET 71.15 71.05 SL 71.45

GBP/INR TRADING STRATEGY: BUY GBPINR FUTURE ABOVE 93.75 TARGET 93.85 93.95 SL 93.55 SELL GBPINR FUTURE BELOW 93.45 TARGET 93.35 93.25 SL 93.65

Rate

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

31–JAN-2019

Date

Commodity/ Currency Pairs

30/1/19

NCDEX DHANIYA

APR

BUY

6680

30/1/19

NCDEX DHANIYA

APR

Sell

30/1/19

NCDEX GUARGUM5

FEB

30/1/19

NCDEX GUARGUM5

30/1/19

Contract Strategy

Entry Level

Stop Loss

Remark

6695/6720/67 40

6620

SL HIT

6620

6605/6580/65 60

66680

TARGET

BUY

8650

8665/8685/87 10

8610

NOT EXECUTED

FEB

SELL

8600

8585/8560/85 40

8540

NOT EXECUTED

MCX GOLD

FEB

BUY

32600

32650/32700

32500

NOT EXECUTED

30/1/19

MCX GOLD

FEB

SELL

32500

32450/32400

32650

NOT EXECUTED

30/1/19

MCX SILVER

MAR

BUY

40100

40150/40250

39950

NOT EXECUTED

30/1/19

MCX SILVER

MAR

SELL

39950

39900/39800

40100

TARGET HIT

Entry Level

Target

Stop Loss

Remark

Target

Date

Scrip

CASH/ FUTURE/ Strategy OPTION

30/1/19

NIFTY

FUTURE

SELL

10600

10570/10500

10800

NOT EXECUTED

30/1/19

TITAN

FUTURE

BUY

970

1000/1030

940

OPEN

30/1/19

MCDOWNLL-N

FUTURE

SELL

540

530

550

NOT EXECUTED

30/1/19

REPOHOME

CASH

SELL

405

400/395

415

NOT EXECUTED

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Special Report

31–JAN-2019

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

REPORT

PERIOD ACTUAL

FORECAST

PREVIOUS

Dec.

--

0.22

THE GOVERNMENT SHUTDOWN COULD DELAY THE RELEASE OF SOME DATA THIS WEEK MONDAY, JAN. 28

8:30 am

Chicago Fed national activity index

TUESDAY, JAN. 29

8:30 am

Advance trade in goods*

Dec.

--

N/A

9 am

Case-Shiller house prices

Nov.

--

5.5%

10 am

Consumer confidence index

Jan.

124.0

128.1

10 am

Homeownership rate

--

64.4%

WEDNESDAY, JAN. 30

8:15 am

ADP employment

Jan.

--

271,000

8:30 am

Gross domestic product*

Q4

2.6%

3.4%

10 am

Pending home sales

Dec.

--

-0.7%

2 pm

FOMC announcement

2.25-2.5%

2.25-2.5%

2:30 pm

Jerome Powell press conference

THURSDAY, JAN. 31

8:30 am

Weekly jobless claims

1/1926

214,000

199,000

8:30 am

Employment cost index

Q4

0.8%

0.8%

8:30 am

Personal income*

Dec.

0.5%

0.2%

8:30 am

Consumer spending*

Dec.

0.3%

0.4%

8:30 am

Core inflation*

Dec.

0.2%

0.1%

9:45 am

Chicago PMI

Jan.

--

65.4

Jan.

177,000

312,000

FRIDAY, FEB. 1

8:30 am

Nonfarm payrolls

9:45 amam MarkitUnemployment manufacturing index 8:30 rate flash

Nov.

Jan.

--

55.7 3.9%

3.9%

9:45 amam MarkitAverage services hourly index flash 8:30 earnings

Nov.

Jan.

--

54.8 0.2%

0.4%

9:45 am

Markit manufacturing PMI

Jan.

--

54.9

10 am

ISM manufacturing index

Jan.

54.3%

54.1%

10 am

Construction spending*

Dec.

--

N/A

10 am

Consumer sentiment index

Jan.

90.8

90.7

Varies

Motor vehicle sales

Jan.

17.2 mln

17.5 mln

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