Special report by epic research 13 january 2014

Page 1

DAILY REPORT 13 JANUARY. 2013

Global markets at a glance Asian share and bond markets were in a cautious mood on Monday in the wake of surprisingly weak U.S. jobs numbers that revived speculation the Federal Reserve could keep policy loose for longer. Friday's soft report pulled down bond yields and the dollar, while lifting prices for gold and many commodities. It was also seen as beneficial for some emerging market countries that had been pressured by funds flocking to western assets.

World Indices

Wall Street Update Wall Street had a more muted reaction to the data, with the Dow .DJI off 0.05 percent, while the S&P 500 .SPX gained 0.23 percent. The S&P 500 and the Nasdaq ended modestly higher on Friday, led by gains in defensive names after a weakerthan-expected payrolls report raised new questions about both the strength of the economy and the aggressiveness of Federal Reserve stimulus.

Top Gainers

Index

Value

% Change

16,437.05

-0.05

S&P 500

1,842.37

+0.23

NASDAQ EURO STO FTSE 100

4,174.67 3,104.15 6,739

+0.44 +0.45 +0.73

Nikkei 225 Hong Kong

15,912.05 22,890.38

+0.20 +0.19

DJl

Company

CMP

Change

% Chg

INFY

3556.00

105.20

3.05

ITC

322.60

7.00

2.22

TCS

2290.00

48.05

2.14

552.00

11.10

2.05

2625.50

38.60

1.49

CMP

Change

% Chg

403.60 98.30 288.00 462.50 872.65

-13.20 -3.20 -7.65 -12.10 -21.70

-3.17 -3.15 -2.59 -2.55 -2.43

Prev. Close

Change

%Chg

623.90

31

4.97

MCDOWELL-N

2793.00

85.40

3.15

DRDEDDY

2625.50

28.60

1.49

GATI

56.55

5.10

9.91

HCL TECH

1299

13.75

1.07

Prev. Close

Change

%Chg

CMP

Change

% Chg

6171.45 20758.49

3.10 45.12

0.05 0.22

WIPRO DRREDDY

Top Losers Previous day Roundup The Sensex rose 45.12 points to close at 20,758.49, and the Nifty gained 3.10 points at 6,171.45. Declining shares outnumbered advancing ones by a ratio of 1491 to 1025 on the BSE. Caution in the market is also ahead of November industrial output data that will be announced . The IIP is expected to come in at a growth of around 0.6 percent versus a decline of 1.8 percent on a month to month basis. It was completely a mixed picture on the first day of third quarter earnings season

Company

INDUSINDBK IDFC COALINDIA RANBAXY M&M

Stocks at 52 Week’s high Symbol

BFUTILITIE Index stats The Market was very volatile in yesterday session where Bankex and Bank Nifty both closed almost flat (down193.33pts–anddown –165.15pts respectively). Among the sartorial indices almost the sectors which were down are; Capital Goods [down –122.58pts], AUTO [down53.45 pts], PSU [down-48.54 pts], Metals [down – 148.05pts], Power [down22.50 pts], [down-75.53 pts], and the index advanced were Consumer Durables IT [up197.7 pts], Healthcare [up 19.22pts], FMCG [up 92.71pts] Realty [up pts], CK [up pts]. Oil & Gas [up 49.87 pts],

Stocks at 52 Week’s Low Symbol

--

Indian Indices Company NIFTY SENSEX

YOUR MINTVISORY

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DAILY REPORT 13 JANUARY. 2013

EQUITY CASH & FUTURE

STOCK RECOMMENDATIONS [FUTURE] 1.TCS FUTURE

TRADING STRATEGY: TCS FUTURE is looking strong on charts, long build up has been seen, we may see more upside, if it sustains above 2280 levels. We advise buying above 2280 levels with strict stop loss 2250 for the sustains above 2280 levels. We advise buying above 2280 levels with strict stop loss 2250 for the targets of 2310-2340 levels. 2.ITC FUTURE

TRADING STRATEGY: ITC FUTURE is looking strong on charts, long build up has been seen, we may see more upside, if it sustains above 325 levels. We advise buying around 323-325 levels with strict stop loss 319 for the targets of 329-334 levels.

YOUR MINTVISORY

STOCK RECOMMENDATION [CASH] 1. ECLERX SERVICES LTD

ECLERX SERVICES LTD is looking strong on charts. We advice buying above 1115 levels with strict stoploss of 1080 for the targets of 1140-1180 levels. MACRO NEWS  Oil Minister M Veerappa Moily has said the government is considering increasing the quota of subsidized LPG cylinders to 12 per household per year. Mr Moily, who last week said there was no proposal to increase the quota from 9 cylinders per household to 12, on Sunday said the final decision on the issue will be taken by the Cabinet Committee on Political Affairs (CCPA)  The Reserve Bank of India, under Governor Raghuram Rajan, seems to have changed its strategy when it comes to defending the fragile rupee and managing liquidity. The central bank, which earlier used to sell dollars in the local markets, is now increasingly buying the US currency in the spot market and selling it in the forward market. The revised strategy seems to be having a bearing on the non-deliverable forwards, or NDF, market.  the Cabinet Committee on Investment's threshold limit by half to Rs 500 crore to get more stalled projects moving again as the government's term nears its end.

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DAILY REPORT 13 JANUARY. 2013

FUTURE & OPTION

STOCKS IN NEWS  Infosys' adjusted net profit rose 19.4%, higher-thanexpected, QoQ to Rs 2875 cr in Q3  Manappuram Bank of America Merrill Lynch has upgraded the stock to buy and upped target by 91% to Rs 25/share  Larsen CLSA has an outperform rating on stock and raises target to Rs 1,150  MSCI deletes Jubilant Food Works from Small cap index w.e.f January 14  Goa Carbon Operations at co’s Chattisgarh plant has temporarily shut down due to non-availability of raw material NIFTY FUTURE

MOST ACTIVE PUT OPTION Symbol

Option Type

Strike Price

LTP

Traded Volume (Contracts)

Open Interest

NIFTY

PE

6,200

91.95

4,81,281

43,80,400

NIFTY

PE

6,100

51.95

4,51,059

51,91,750

NIFTY

PE

6,000

27.50

3,07,456

55,41,500

BANK NIFTY

PE

10,500 112.00

25,517

2,39,525

SBIN

PE

1,600

44.85

5,704

2,33,000

INFY

PE

3,500

34.10

24,033

5,18,875

BANK NIFTY

PE

10,800 213.35

14,297

64,625

INFY

PE

26,648

8,47,625

3400

14.00

MOST ACTIVE CALL OPTION Symbol

Option Type

Strike Price

LTP

Traded Volume (Contracts)

Open Interest

NIFTY

CE

6,300

31.60

5,45,480

53,15,050

NIFTY

CE

6,400

12.20

3,39,134

49,12,750

NIFTY

CE

6,200

68.95

4,34,186

40,95,850

BANKNIFTY

CE

11,500

46.80

42,046

3,50,600

SBIN

CE

1,700

15.85

9,186

7,32,125

RELIANCE

CE

900

7.00

7,158

15,44,000

SBIN

CE

1,700

15.85

9,186

7,32,125

RELIANCE

CE

860

19.00

6,369

5,84,750

INFY

CE

3,600

42.25

28,973

6,01,125

Nifty Future closed in the red in the last trading session after a choppy session. We buying around 6150-6160 levels with strict stop loss of 6100 for the targets of 6190 -6240 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

40292

1212.50

55266

1664.66

425906

13030.51

-452.16

INDEX OPTIONS

295953

8952.98

297903

9064.18

1151282

35345.28

-111.20

STOCK FUTURES

51552

1672.86

51245

1713.28

1003181

31418.30

-40.42

STOCK OPTIONS

44864

1477.21

45648

1518.12

70261

2270.90

-40.91

TOTAL

-644.68

INDICES NIFTY

S2

S1

PIVOT

R1

R2

6128.41

6148.38

6168.21

6188.18

6208.01

NIFTYJUNIOR

12478.91

12541.83

12640.71

12703.63

12802.51

BANK NIFTY

10830.18

10900.31

10995.28

11065.41

11160.38

YOUR MINTVISORY

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DAILY REPORT 13 JANUARY. 2013

COMMODITY MCX

RECOMMENDATIONS SILVER

COMMODITY ROUNDUP Spot gold prices rose around 0.5 percent today ahead of the jobs data from the US in the evening session. However, declining trend in SPDR gold holdings, mixed market sentiments along with strength in the DX capped sharp gains in prices. In the Indian markets, prices fell by around 0.1 percent owing to Rupee appreciation. Spot Silver prices jumped by more than 1 percent today taking cues from gains in gold prices and base metals complex. Strength in the DX coupled with mixed market sentiments could not cap gains in silver prices.

TRADING STRATEGY: BUY SILVER ABOVE 45100 TGTS 45350/45700 SL 44800 SELL SILVER BELOW 44600 TGTS 44350/44000 SL 44900 GOLD

MCX Silver prices gained around 0.2 percent but Rupee appreciation capped sharp positive movement. Base metals pack on the LME traded on a positive note on the back of rise in Chinese metal imports. Also, decline in LME inventories coupled with positive data from the Euro Zone acted as supportive factors. However, strength in the DX restricted sharp negative movement. In the Indian markets, base metals traded lower owing to Rupee appreciation LME Copper rose by around 0.4 percent taking cues from positive import figures from China. Also, decline in LME copper inventories for the 47thconsecutive session by 1.3 percent to 343,875 tones along acted as positive factors. In the Indian markets, prices gained 0.1 percent. Nymex crude oil prices gained around 1 percent today as China, the second biggest oil consumer boosted net crude imports to a record high of 6.31 million barrels a day in Dec’13 as two new refineries prepared to begin operations. MCX crude prices rose by around 0.6 percent touching an intra-day high of Rs.5716/bbl till 4:00pm IST.

TRADING STRATEGY: BUY GOLD ABOVE 29100 TGTS 29180/29300 SL 29000 SELL GOLD BELOW 28850 TGTS 28770/28650 SL 28950

YOUR MINTVISORY

India has exported 851.000 tons of rice to Iran, its biggest rice importer, according to Iran Daily. Figures showed that India's rice exports to Iran have boosted by 77 percent in the first six months of the current Iranian year. Indian trade sources expect the country to export 4 million tons of rice in the current Indian fiscal year (April 2013-March 2014).

Call us at +91-731-6642300


DAILY REPORT 13 JANUARY. 2013

NCDEX

RECOMMENDATIONS CASTORSEED

NCDEX INDICES Index

Value

% Change

Castor Seed

4385

-0.34

Chana

3005

0.3

Coriander

7783

-2.11

Cotton Seed Oilcake

1545

0

12555

0.26

Maize– Feed/ Industrial Grade

1185

-0.84

Mustard seed

3578

-0.28

Soy Bean

3597

-1.65

Turmeric

6832

1.67

Turmeric

6352

+0.44

Jeera

TRADING STRATEGIES BUY CASTORSEED FEB ABOVE 4500 TGTS 4530,4580 SL 4450 SELL CASTORSEED FEB BELOW 4395 TGTS 4365,4315 SL 4445 DHANIYA

NCDEX ROUNDUP Jeera futures closed the day lower on weak spot market triggered by reports of improving sowing. The NCDEX Jeera March delivery ended the day at Rs 12,540, down Rs 25 or 0.20% over last close. Jeera slipped further at major mandies today amid dearth of upcountry orders. Prices had dropped in last week of December as latest reports suggested that the Jeera sowing is turning normal after weather disturbances in Gujarat and some southern states. Pepper futures slipped for the six trading sessions on the back of reports of Vietnam easing the prices of new crops and arrivals of Indian crops in the local market. The NMCE pepper for the February delivery ended the day at Rs 51200, down Rs 250 or 0.49% over Friday's close.

TRADING STRATEGIES BUY DHANIYA FEB ABOVE 8150 TGT 8180,8130 SL 8100 SELL DHANIYA FEB ABOVE 8050 TGT 8020,7970 SL 8100

YOUR MINTVISORY

India has exported 851.000 tons of rice to Iran, its biggest rice importer, according to Iran Daily. Figures showed that India's rice exports to Iran have boosted by 77 percent in the first six months of the current Iranian year. Indian trade sources expect the country to export 4 million tons of rice in the current Indian fiscal year (April 2013-March 2014).

Call us at +91-731-6642300


DAILY REPORT 13 JANUARY. 2013

CURRENCY

RBI Reference Rate Currency

Rate Currency

Rupee- $

61.936. Yen-100

Euro

84.3050 GBP

EUR/INR

Rate

59.0100 102.06

CURRENCY ROUNDUP The Indian rupee strengthened to its highest against the dollar in more than a week on Friday on bets that data will show an improving economy and faltering inflation, boosting confidence in the country's outlook. India is due to post industrial output later in the day, with analysts expecting a return to modest growth, and is due to post wholesale and consumer prices data next week amid expectations vegetable prices have eased. That is helping raise confidence about the economy, thus supporting foreign inflows and domestic shares, both key factors for the rupee.

SELL EUR/INR BELOW 84.28 TGTS 84.14, 84.00 SL 84.64. BUY EUR/INR ABOVE 84.69 TGTS 84.83, 85.01 SL 84.33. GBP/INR

Data showing India's trade deficit widened to $10.14 billion in December compared with $9.22 in November had little impact given it came within expectations. If inflation data is better than expectations and rupee breaks 61.80 levels strongly then it could head towards 61.40 but I don't see it breaching 61 soon The partially convertible rupee closed at 61.89/90 per dollar compared with 62.07/08 on Thursday. The unit rose as high as 61.83, its strongest since Jan. 2. Indian shares provisionally edged up on Friday after touching their highest intraday level in nearly a week as software services exporters rose after Infosys Ltd's quarterly earnings beat market expectations. In the offshore non-deliverable forwards, the one-month contract was at 62.27 while the three-month was at 63.

SELL GBP/INR BELOW 101.70 TGTS 101.55, 101.38 SL 102.09. BUY GBP/INR ABOVE 102.54 TGTS 102.71, 102.91 SL 102.15.

YOUR MINTVISORY

apan and India on Friday expanded an arrangement for swapping their local currencies against the US dollar, raising the size to as much as USD 50 billion from the original USD 15 billion. The expanded swap arrangement, signed by Bank of Japan Governor Haruhiko Kuroda and his Indian counterpart Raghuram Rajan, will be effective until December 2015, the BOJ said in a statement on Friday The swap arrangement aims to counter any short-term liquidity problems the two countries may face in future

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DAILY REPORT 13 JANUARY. 2013

CALL REPORT PERFORMANCE UPDATES Date

Commodity/ Currency Pairs

Contract

Strategy

Entry Level

Target

Stop Loss

Remark

10/01/14

MCX GOLD

FEB.

BUY

28900

28980-29080

28780

BOOKED FULL PROFIT

10/01/14

MCX GOLD

FEB.

SELL

28690

28610-28510

28800

NOT EXECUTED

10/01/14

MCX SILVER

MAR.

BUY

44260

44460-44760

43860

BOOKED FULL PROFIT

10/01/14

MCX SILVER

MAR.

SELL

43650

43450-43150

44050

NOT EXECUTED

10/01/14

NCDEX CASTOR SEED

JAN.

BUY

4500

4530-4580

4450

NOT EXECUTED

10/01/14

NCDEX CASTOR SEED

JAN.

SELL

4410

4380-4330

4460

SL TRIGGEDED

10/01/14

NCDEX DHANIYA

JAN.

BUY

8350

8380-8430

8300

NOT EXECUTED

10/01/14

NCDEX DHANIYA

JAN.

SELL

8110

8080-8030

8160

BOOKED FULL PROFIT

10/01/14

USD/INR

JAN.

SELL

62.15

62.02-61.89

62.51

BOOKED PROFIT

10/01/14

USD/INR

JAN.

BUY

62.47

62.61-62.79

62.12

NOT EXEXCUTED

10/01/14

JPY/INR

JAN.

SELL

59.21

59.08-58.90

59.56

BOOKED PROFIT

10/01/14

JPY/INR

JAN.

BUY

56.67

59.82-60.01

59.32

NOT EXECUTED

Date

Scrip

CASH/ FUTURE/ OPTION

Strategy

Entry Level

Target

Stop Loss

Remark

10/01/14

NIFTY

FUTURE

BUY

6150

6200-6250

6100

BOOKED FULL PROFIT

09/01/14

NIFTY

FUTURE

SELL

6170

6140-6120

6200

SL TRIGGRED

07/01/14

NIFTY

FUTURE

SELL

6200

6150-6110

6250

SL TRIGGRED

10/01/14

SUNPHARMA

FUTURE

BUY

610

620-630

600

CALL OPEN

08/01/14

TATASTEEL

FUTURE

SELL

395-400

388-382

408

BOOKED PROFIT

10/01/14

MUTHOOTFIN

CASH

BUY

130

137-145

123

BOOKED FULL PROFIT

09/01/14

GRAVITA

CASH

BUY

46

50-54

41

CALL OPEN

YOUR MINTVISORY

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DAILY REPORT 13 JANUARY. 2013

ECONOMIC CALENDAR

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

REPORT

PERIOD

ACTUAL

CONSENSUS FORECAST

PREVIOUS

MONDAY, JAN .13 2 PM

FEDERAL BUDGET

DEC.

--

-$1 BLN

10 am

Factory orders

Nov.

1.6%

-0.9%

TUESDAY,JAN .14 8:30 AM

RETAIL SALES

DEC.

-0.1%

0.7%

8:30 AM

RETAIL SALES EX-AUTOS

DEC.

0.4%

0.4%

8:30 AM

IMPORT PRICE INDEX

DEC.

0.5%

-0.6%

10 AM

BUSINESS INVENTORIES

NOV.

0.3%

0.7%

0.4%

-0.1%

WEDNESDAY, JAN.15 8:30 AM

PRODUCER PRICE INDEX

DEC

.

8:30 AM

CORE PPI

DEC.

0.2%

0.1%

8:30 AM

EMPIRE STATE INDEX

JAN.

4.3

1.0

THURSDAY, JAN.16 8:30 AM

WEEKLY JOBLESS CLAIMS

1/11

N/A

330,000

8:30 AM

CONSUMER PRICE INDEX

DEC.

0.3%

0.0%

8:30 AM

CORE CPI

DEC.

0.1%

0.2%

10 AM

HOME BUILDERS' INDEX

JAN.

N/A

58

10 AM

PHILLY FED

JAN.

9.4

7.0

FRIDAY, JAN.17 8:30 AM

HOUSING STARTS

DEC.

1.01 MLN

1.091 MLN

9:15 AM

INDUSTRIAL PRODUCTION

DEC.

0.2%

1.1%

9:15 AM

CAPACITY UTILIZATION

DEC.

79.0%

79.0%

9:55 AM

UMICH CONSUMER SENTIMENT INDEX

85.0

82.5

JAN. Disclaimer

The information and views in this report, our website & all the service we provide are believed to be reliable, but we do not accept any responsibility (or liability) for errors of fact or opinion. Users have the right to choose the product/s that suits them the most. Sincere efforts have been made to present the right investment perspective. The information contained herein is based on analysis and up on sources that we consider reliable. This material is for personal information and based upon it & takes no responsibility. The information given herein should be treated as only factor, while making investment decision. The report does not provide individually tailor-made investment advice. Epic research recommends that investors independently evaluate particular investments and strategies, and encourages investors to seek the advice of a financial adviser. Epic research shall not be responsible for any transaction conducted based on the information given in this report, which is in violation of rules and regulations of NSE and BSE. The share price projections shown are not necessarily indicative of future price performance. The information herein, together with all estimates and forecasts, can change without notice. Analyst or any person related to epic research might be holding positions in the stocks recommended. It is understood that anyone who is browsing through the site has done so at his free will and does not read any views expressed as a recommendation for which either the site or its owners or anyone can be held responsible for . Any surfing and reading of the information is the acceptance of this disclaimer. All Rights Reserved. Investment in equity & bullion market has its own risks. We, however, do not vouch for the accuracy or the completeness thereof. We are not responsible for any loss incurred whatsoever for any financial profits or loss which may arise from the recommendations above epic research does not purport to be an invitation or an offer to buy or sell any financial instrument. Our Clients (Paid or Unpaid), any third party or anyone else have no rights to forward or share our calls or SMS or Report or Any Information Provided by us to/with anyone which is received directly or indirectly by them. If found so then Serious Legal Actions can be taken.

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