Special report by epic research 10 december 2013

Page 1

DAILY REPORT 10th DECEMBER. 2013

Global markets at a glance Nikkei climbed 2.3% on Monday, its best one-day gain in three months, spurred by a slide in yen after an upbeat U.S. jobs report raised expectations Federal Reserve will soon begin removing its stimulus. This gain took Nikkei close to 6-month intraday high of 15,794.15. European stocks also rose in early trade after robust Chinese exports, which supported expectations of a global recovery. On Friday, data showed U.S. employers hired more workers than expected in Nov, driving jobless rate to a five-year low of 7.0%. But the better-than-expected jobs number was not robust enough to lead markets. Wall Street Update Stocks on wall street finally edged higher on Monday, with the S&P 500 closing at a record high, as traders awaited more clues from the Federal Reserve. The Dow Jones industrial average rose 5.33 points or 0.03 percent, to finish at 16,025.53. The S&P 500 .SPX gained 3.28 points or 0.18 percent, to end at 1,808.37, a record closing high. The Nasdaq Composite added 6.23 points or 0.15 percent, to close at 4,068.751. Previous day Roundup After better-than-expected outcome in four state in favour of BJP, the market closed at record highs on Monday, supported by banks and capital goods stocks. The Nifty touched a record high of 6,415, before closing at 6363.90, up 104 points or 1.66% from Friday's value. The Sensex climbed 329.89 points or 1.57 percent to 21,326.42 after hitting an all-time high of 21,483.74, but the broader markets underperformed benchmarks. The BSE midcap and smallcap indices gained 0.4-0.5%.

World Indices Index

Value

% Change

16,025.53

+0.03

S&P 500

1,808.37

+0.18

NASDAQ EURO STO FTSE 100

4,068.75 2,988.67 6,559.48

+0.15 +0.29 +0.11

Nikkei 225 Hong Kong

15,592.07 23,734.77

-0.37 -0.32

DJl

Top Gainers Company

CMP

Change

% Chg

DLF

165.2

+9.45

+6.07

SSLT

191.45

+9.15

+5.02

ACC

1,171.15

+55.20

+4.95

AMBUJACEM

193.55

+8.45

+4.57

ICICIBANK

1,194.8

+50.90

+4.45

CMP

Change

% Chg

266 385.5 851.65 420.1

-17.5 -3.25 -6.20 -2.60

-6.17 -0.84 -0.72 -0.62

Prev. Close

Change

%Chg

AMARAJABAT

347.5

2.05

+0.59

BHARATFORG

315.15

12.1

+3.99

BIOCON

400.3

2.5

-0.62

CROMPGREAV

134.7

5.05

+3.9

131.15

3.45

+2.70

Prev. Close

Change

%Chg

171.4 170

6.30 1.55

-3.55 +0.92

CMP

Change

% Chg

6,363.9 21,326.42

+104 +329.89

+1.66 +1.57

Top Losers Company

JINDALSTEL CIPLA LUPIN TATASTEEL

Stocks at 52 Week’s high Symbol

ESCORTS Index stats The Bankex and Bank Nifty both advanced 2.93% & 2.95% respectively. Among the sartorial indices all the sectors were up; Capital Goods [up 322.59pts], Oil & Gas [up 149.28pts], AUTO [up 168.76pts], PSU [up 104.73pts], Metals [up 86.95pts], FMCG [up 13.26pts, Realty [up 35.58pts], TECK [up 33.53pts], IT [up 45.08pts], Power [up 27.12pts], and Healthcare [up 16.28pts], the index slipped was Consumer Durables [down 6.47pts].

Stocks at 52 Week’s Low Symbol

HERITGFOOD VIDEOIND

Indian Indices Company NIFTY SENSEX

YOUR MINTVISORY

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DAILY REPORT 10th DECEMBER. 2013

EQUITY CASH & FUTURE

STOCK RECOMMENDATIONS [FUTURE] 1. INDIA CEMENT

STOCK RECOMMENDATION [CASH] 1. HIND PETRO

INDIA CEMENT FUTURE is looking strong on charts, long build up has been seen, we may see more upside, if it continues to sustain above 63, We advise buying above 63 levels with strict stop loss 60 for the targets of 65-68 levels.

HIND PETRO is looking strong on charts. We advise buying above 235 levels with strict stop loss of 230 for the targets of 240-250 levels.

2. DLF

MACRO NEWS  Banks borrowed 14.1 bn rupees under MSF on Dec 6.  Shipping Corporation of India evaluates inland waterways business opportunity.  M&M will sign MoU with Tamil Nadu govt to set up an automotive and testing facility this month. The company is set to invest Rs 2000cr to revive the project.  Biyani to exit Capital Foods, sell 44% to European fund.  Andhra Pradesh split may yield large PSU investment. PSUs take up projects that would amount to about Rs 2 lakh crore in total. These PSUs include the Steel Authority of India Ltd, National Thermal Power Corporation, Indian Oil Corporation, Hindustan Petroleum Corporation Ltd, Airports Authority of India, Indian Railways and the National Highways Authority of India, among others.  Govt. to garner Rs 18,000cr from PSU disinvestment.  Reliance Industries Ltd is open to joining hands with Bharti Airtel Ltd for improving telecom network for 4G services in Punjab.

DLF FUTURE is looking strong on charts, long build up has been seen, we may see more upside, if it continues to sustain above 165, We advise buying around 164-166 levels with strict stop loss of 160 for the targets of 170-174.

YOUR MINTVISORY

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DAILY REPORT FUTURE & OPTION

10th DECEMBER. 2013

STOCKS IN NEWS  Hewlett-Packard owned software firm Mphasis sales up 3.5%.  McNally Bharat Engineering gets Rs 210-cr order.  Coal Ministry to review decision to cancel licenses to Tata Sons, Jindal Steel.  Bharti Airtel to invest Rs 4,000 crore in Punjab.  Coal India Ltd to invest rs 7.6k-crore to develop Kusmunda mine.  United Bank of India seeks Rs 1,000 crore bailout to meet capitalization requirements

MOST ACTIVE PUT OPTION Symbol

Option Type

Strike Price

LTP

Traded Volume (Contracts)

Open Interest

NIFTY

PE

6,300

66.00

2,78,175

31,19,200

NIFTY

PE

6,200

40.00

2,53,587

53,24,400

NIFTY

PE

6,100

24.15

2,27,828

43,55,500

BANK NIFTY

PE

11,000

52.15

19,042

2,91,300

SBIN

PE

1,800

21.40

3,344

2,97,250

ICICIBANK

PE

1.100

9.70

2,497

13,96,750

RELIANCE

PE

860

8.25

2,202

1,96,500

DLF

PE

150

1.90

1,995

11,52,000

Strike Price

LTP

Traded Volume (Contracts)

Open Interest

NIFTY FUTURE

MOST ACTIVE CALL OPTION Symbol

Option Type

NIFTY

CE

6,500

45.00

4,38,028

54,81,400

NIFTY

CE

6,400

86.5

3,21,870

56,74,650

NIFTY

CE

6,600

19.65

2,85,558

54,84,250

BANKNIFTY

CE

12,500

127.25

33,407

2,58,250

SBIN

CE

1,900

54.95

4,779

2,97,375

DLF

CE

170

4.95

3,988

12,40,000

RELIANCE

CE

900

11.5

3,393

6,15,500

ICICBANK

CE

1,200

36.10

2,683

2,62,750

POWERGRID

CE

95

2.85

2,602

78,02,000

Nifty Future closed in the red in the last trading session. We advise selling around 6420-6440 with strict stop loss of 6480 for the targets of 6380-6350 levels.

FII DERIVATIVES STATISTICS BUY

SELL

OPEN INTEREST AT THE END OF THE DAY

No. of Amount in No. of Amount in No. of Contracts Crores Contracts Crores Contracts

Amount in Crores

NET AMOUNT

INDEX FUTURES

115501

3672.73

54371

1727.73

545059

17368.94

1945.00

INDEX OPTIONS

514879

16172.75

463099

14412.27

1724864

54751.21

1760.48

STOCK FUTURES

64698

1816.26

61007

1791.44

1137415

32309.80

24.82

STOCK OPTIONS

31203

891.52

31078

884.87

46041

1270.03

6.65

TOTAL

3736.95

INDICES NIFTY

S2

S1

PIVOT

R1

R2

6304.46

6334.18

6374.71

6404.43

6444.96

NIFTYJUNIOR

12473.45

12524.4

12597.55

12648.5

12721.65

BANK NIFTY

11881.06

11973.48

12099.71

12192.13

12318.36

YOUR MINTVISORY

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DAILY REPORT 10th DECEMBER. 2013

COMMODITY MCX

RECOMMENDATIONS SILVER

TRADING STRATEGY: BUY SILVER ABOVE 44510 TGTS 44710/45010 SL 44210 SELL SILVER BELOW 43900 TGTS 43700/43400 SL 44200

COMMODITY ROUNDUP India gold imports may witness a sharp fall in 2014 continuing the trend in 2013 as government raised import tax in different stages to 10% and import tax on gold jewellery to 15% apart from imposing other controls on gold consumption. The World Gold Council's (WGC) third quarter report of 2013 showed a 32% decline in consumer demand at 148 tons compared to 310 tons in the second quarter of this year. Meanwhile, gold jewellery retailers and trade have reported lack of availability of gold resulting in increased smuggling through airports. India crude oil futures failed to record neither upward nor downward movement on Monday and the commodity prices were seen trading neutral to sideways. Copper edged down and recorded a down trend pressured by appreciation of Indian Rupee against US Dollar. Crude oil futures for December delivery on India's Multi Commodity Exchange (MCX) was seen trading with a loss of 0.15% at Rs.5972 per barrel as of 15.45 IST while MCX copper for February delivery was seen trading with a loss of 0.26% at Rs.445.15 per kilogram as of 15.47 IST on Monday.

GOLD At the MCX silver for delivery in March next year fell by Rs 192, or 0.44%, to Rs 43,860 per kg in business turnover of 574 lots. On similar lines, the white metal for delivery in May next declined by Rs 183, or 0.41%, to Rs 44,730 per kg in business volume of 8 lots. A subdued trend in the global markets as investors assessed the probability of a reduction in monetary stimulus this month after the US added more workers than forecast in November, led the fall in silver prices at futures trade here.

TRADING STRATEGY: BUY GOLD ABOVE 29120 TGTS 29200/29300 SL 29020 SELL GOLD BELOW 28910 TGTS 28830/28730 SL 29010

YOUR MINTVISORY

In line with weakness in gold, investors continued to exit from gold exchange traded funds while equity funds witnessed growth in November. Gold prices moved down by 0.30% to Rs 28,868 per 10 gm in futures trade yesterday after participants offloaded partial positions, taking weak cues from the global market. At the MCX gold for delivery in February declined by Rs 86, or 0.30%, to Rs 28,868 per 10 gm in business turnover of 474 lots. Likewise, the metal for delivery in April shed Rs 76, or 0.27%, to Rs 28,397 per 10 gm in 15 lots.

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DAILY REPORT 10th DECEMBER. 2013

NCDEX

RECOMMENDATIONS CASTORSEED

NCDEX INDICES Index

Value

% Change

Barley

1382

-0.04

Castor Seed

4468

+0.68

Chana

2920

-0.54

Chilli

6740

-0.50

Coriander

7548

+2.61

Cotton Seed Oilcake

1425

-0.42

12550

+0.28

Mustard seed

3700

-0.91

Ref Soya Oil

709.6

+0.65

Turmeric

4974

+0.32

Jeera

BUY CASTORSEED ABOVE 4500 TGTS 4530/4580 SL 4450 SELL CASTORSEED BELOW 4430 TGTS 4400/4350 SL 4480 DHANIYA

NCDEX ROUNDUP According to The US Department of Agriculture India's rice output is likely to decline to 103 million tonnes in 2013-14 on crop damage and exports are also expected to be lower at 10 million tones. The outbound shipments are expected to decline to 10 million tonnes in the 2013-14 marketing year (October-September), from the estimated 10.9 million tonnes last year. Coriander prices rose by 2.63% to Rs 7,854 per quintal in futures trade yesterday as speculators enlarged their positions supported by rising demand in spot markets. At the NCDEX, coriander for January delivery gained Rs 201, or 2.63%, to Rs 7,854 per quintal with an open interest of 24,720 lots. Similarly, the spice for delivery in December traded higher by Rs 184, or 2.50%, to Rs 7,540 per quintal, with an open interest of 9,360 lots.

BUY DHANIYA ABOVE 4490 TGTS 4520/4570 SL 4440 SELL DHANIYA BELOW 7470 TGTS 7440,7390 SL 7520

YOUR MINTVISORY

Cardamom futures fell by 2.60% to Rs 616 per kg yesterday, as traders reduced their holdings amid sluggish spot demand. Besides, sufficient stocks holdings in the physical market also influenced cardamom prices. At the MCX, cardamom for December contract declined by Rs 16.50, or 2.60%, to Rs 616 per kg with a business turnover of 106 lots.

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DAILY REPORT 10th DECEMBER. 2013

CURRENCY

RBI Reference Rate Currency

Rate Currency

Rupee- $

61.1785 Yen-100

Euro

83.8195 GBP

EUR/INR

Rate

59.3800 100..0146

CURRENCY ROUNDUP The euro rose to a near six-week high against the dollar and close to a five-year peak versus the yen on Monday, after strong U.S. payrolls data and Chinese trade figures bolstered risk appetite. USD/INR (SPOT) has given a gap down opening. The Indian rupee rose to a four-month high on Monday, boosted by record-high stock markets after the main opposition party, widely seen by investors as being more business friendly, swept three out of five key state elections held since last month.

SELL EUR/INR BELOW 83.70 TGTS 83.56, 83.41 SL 84.10. BUY EUR/INR ABOVE 84.42 TGTS 84.62, 84.85 SL 84.02. JPY/INR

The partially convertible rupee closed at 61.13/14 per dollar compared with 61.41/42 on Friday. The unit rose as high as 60.84 at open, its strongest since Aug. 12. Good dollar demand from importers including oil companies was seen at stronger rupee levels, limiting any further gains. Gains in other Asian currencies further aided the rupee. In the offshore non-deliverable forwards, the one-month contract was at 61.46, while the three-month was at 62.32. The euro has been gaining ground since the ECB last week refrained from following up November's surprise rate cut and said it has yet to come up with a detailed plan of which policy tools to use and when.

SELL JPY/INR BELOW 59.01 TGTS 58.84, 58.68 SL 59.30. BUY JPY/INR ABOVE 60.35 TGTS 60.51, 60.74 SL 59.95.

YOUR MINTVISORY

The Japanese currency continues to be the funding currency of choice thanks to the BOJ's ultra-loose monetary policy and expectations of more easing next year when tax hikes kick in. The yen was down against the pound and down against the euro, with GBP/JPY up 0.83% and trading at 169.55 and EUR/JPY trading up 0.62% at 141.82. The dollar firmed against the yen on Monday after better-thanexpected U.S. jobs and consumer-sentiment reports cemented expectations for the Federal Reserve to begin tapering its monthly asset-purchasing program in the near future. In U.S. trading on Monday, USD/JPY was trading at 103.24, up 0.38%, up from a session low of 102.89 and off a high of 103.32.

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DAILY REPORT 10th DECEMBER. 2013

CALL REPORT PERFORMANCE UPDATES

Date

Commodity/ Currency

Contract

Strategy

Entry Level

Target

Stop Loss

Remark

FEB

BUY

29100

29200-29350

29000

NOT EXECUTED

MCX GOLD

FEB

SELL

28850

28750-28600

29000

SL TRIGGERED

MCX SILVER

MAR

BUY

44500

44750-45050

44200

NOT EXECUTED

09/12/13

MCX SILVER

MAR

SELL

43850

43600-43300

44150

SL TRIGGERED

09/12/13

NCDEX CASTOR SEED

JAN.

SELL

4370

4340-4290

4420

NOT EXECUTED

09/12/13

NCDEX CASTOR SEED

JAN.

BUY

4480

4500-4520

4390

SL TRIGGERED

09/12/13

NCDEX DHANIYA

DEC.

BUY

7440

7470-7510

7380

BOOKED FULL PROFIT

09/12/13

NCDEX DHANIYA

DEC.

SELL

7300

7270-7220

7350

NOT EXECUTED

09/12/13

JPY/INR

DEC.

SELL

60.45

60.30-60.14

60.80

NOT EXECUTED

09/12/13

JPY/INR

DEC.

BUY

60.95

61.13-61.30

60.60

NOT EXECUTED

09/12/13

EUR/INR

DEC.

SELL

84.4

84.25-84.09

84.78

NOT EXECUTED

09/12/13

EURINR

DEC.

BUY

84.75

84.96-85.16

84.30

NOT EXECUTED

09/12/13

MCX GOLD

09/12/13 09/12/13

Date

Scrip

CASH/FUTURE

Strategy

Entry Level

Target

Stop Loss

Remark

09/12/13

NIFTY

FUTURE

BUY

6270-6290

6320-6350

6250

NOT EXECUTED

09/12/13

AXIS BANK

FUTURE

BUY

1280-1290

1320-1340

1260

NOT EXECUTED

09/12/13

TATA POWER

FUTURE

BUY

87-88

90-92

85

NOT EXECUTED

09/12/13

HITACHI HOME

CASH

BUY

156

164-170

148

BOOKED FULL PROFIT

US ECONOMIC REPORT TIME (ET)

REPORT

7:30 am 10 am 10 am

NFIB small business index Job openings Wholesale inventories

2 pm

Federal budget

8:30 am 8:30 am 8:30 am 8:30 am 10 am

Weekly jobless claims Retail sales Retail sales ex-autos Import price index Business inventories

8:30 am 8:30 am

Producer price index Core PPI

PERIOD

ACTUAL

TUESDAY, DEC. 10 Nov. Oct. Oct. WEDNESDAY, DEC. 11 Nov. THURSDAY, DEC. 12 12/7 Nov. Nov. Nov. Oct. FRIDAY, DEC. 13 Nov. Nov.

CONSENSUSFORECAST

PREVIOUS

----

91.6 3.9 mln 0.4%

--

-$172 bln

N/A 0.3% 0.2% -0.8% 0.3%

N/A 0.4% 0.2% -0.7% 0.6%

0.1% 0.1%

-0.2% 0.2%

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