Special report by epic research 16 january 2014

Page 1

DAILY REPORT 16th JANUARY. 2013

Global markets at a glance Asian stock markets enjoyed a strong rebound on Wednesday following the previous day's sell-off after upbeat US data saw Wall Street chalk up its strongest performance of the new year. Hong Kong's Hang Seng rose 0.47 percent or 106.99 points at 22,898.27 and Japan's Nikkei gained 1.65 percent or 253.96 points at 15,676.36. Singapore's Straits Times was up 0.51 percent or 15.84 points at 3,139.59 and South Korea's Seoul Composite jumped 0.40 percent or 7.73 points at 1,953.80. Taiwan's Taiwan Weighted added 0.66 percent or 56.27 points at 8,604.41 while China's Shanghai Composite shed 0.26 percent or 5.20 points at 2,021.64.

World Indices

Wall Street Update U.S. stocks rose on Wednesday, with the S&P 500 hitting a record high after strong earnings from Bank of America and data pointed to improvement in the economy. Bank of America Corp shares climbed 2.7 percent to $17.22 and gave one of the biggest boosts to the S&P 500 after the second-largest U.S. bank said its quarterly profit surged by nearly $3 billion, as revenue increased and mortgage losses plunged in the clearest sign yet that the bank was shaking off the impact of the financial crisis. Previous day Roundup It was a spectacular rally on Dalal Street with major support by rate sensitive as December wholesale price index (WPI) eased to a 5-month low. The Nifty ended above the 6300-level, first time after January. The Nifty closed at 6320.90, up 79.05 points. The Sensex gained 256.61 points at 21289.49. About 1352 shares advanced, 1276 shares declined, and 309 shares were unchanged. Larsen, HDFC, Sesa Sterlite, BHEL and ICICI Bank are top gainers in the Sensex. Index stats The Market was UP in yesterday session where Bankex and Bank Nifty both closed almost flat (up 1.59% and up 1.61% respectively). Among the sartorial indices almost the sectors which were down are; Consumer Durables [down-42.42 pts], Healthcare [down-1.70 pts], and the index advanced were Capital Goods [up187.91 pts], AUTO [up 145.69pts], PSU [up 68.19 pts], Oil & Gas [up 32.41 pts], Metals [up 104.25 pts], Power [up 32.25 pts], IT [up 66.76pts],

YOUR MINTVISORY

Index

Value

% Change

16,481.94

+0.66

1,848

+0.52

NASDAQ EURO STO FTSE 100

4,214.88 3,168.75 6,819.88

+0.76 +1.58 +0.78

Nikkei 225 Hong Kong

15,877.07 23,085.14

+0.43 +0.80

DJl S&P 500

Top Gainers Company

CMP

Change

% Chg

ULTRACEMCO

1,710.00

62.00

3.76

BANKBARODA

643

22.55

3.63

SSLT

198.25

5.70

2.96

NMDC

142.15

3.85

2.78

PNB

616.35

2.64

2.64

CMP

Change

% Chg

420.05 326 927.85 327.25 601.95

-9.90 -4.45 -6.50 -0.95 -1.60

-2.3 -1.35 -0.7 -0.29 -0.27

Prev. Close

Change

%Chg

INFY

3,718.00

31.25

0.85

UPL

207.70

3.30

1.59

TAKE

39.95

-1.20

-3.00

886.65

-6.65

0.75

11.15

-0.10

0.90

Prev. Close

Change

%Chg

CMP

Change

% Chg

6320.90 21289.49

79.05 256.61

1.27 1.22

Top Losers Company

RANBAXY CAIRN LUPIN BPCL SUNPHARMA

Stocks at 52 Week’s high Symbol

CADILAHC HINDSYNTEX

Stocks at 52 Week’s Low Symbol

--

Indian Indices Company NIFTY SENSEX

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DAILY REPORT 16th JANUARY. 2013

EQUITY CASH & FUTURE

STOCK RECOMMENDATIONS [FUTURE] 1. BANK OF BARODA FUTURES

STOCK RECOMMENDATION [CASH] 1. BHARTI AIRTEL

BUY BANK OF BARODA FUTURE ABOVE 636 TGT 642-650 SL 628 2. ITC FUTURES

BUY BHARTI AIRTEL CASH ABOVE 335 TGT 338-343 SL 331 MACRO NEWS  Government defers Rs 15K-cr bond issue to contain fiscal

deficit government's cash position and funding requirement, it has been decided, in consultation with RBI Industry urges RBI to cut interest rate as inflation dips .WPI declined to a 5-month low of 6.16% in December, providing space to RBI to ease interest rates and prop up growth. Unitech in talks to sell 2 hotels in NCR for about Rs 600cr.the company has decided to sell two hotels and it is in talks with the potential buyers. India's fiscal deficit will be contained at 4.8 percent of the gross domestic product in the current fiscal year ending March, the finance minister said, hinting at possible cuts in government spending . China called on IMF member nations on Wednesday to stick to a commitment to give emerging markets more power at the global lender after U.S. lawmakers set back historic reforms that would give developing countries a greater say .

BUY ITC FUTURES ABOVE 331 TGT 334-339 SL 327

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DAILY REPORT FUTURE & OPTION

16th JANUARY. 2013

STOCKS IN NEWS  Government mulls Oil India picking up about 7% in Open IOC and ONGC picking up about 3% in IOC Interest  Coal India declares Rs 29/share interim dividend  Galena Biopharma signed agreement with Dr 73,30,000 Reddy's Labs to develop NeuVax in India: Reuters  Liberty Shoes' Q3 net profit jumps to Rs 3.2 crore 42,23,100 versus Rs 1.8 crore (YoY 55,09,800  Unitech puts hotels, land on the block for Rs 1,000 cr 2,77,625 2,40,200 NIFTY FUTURE

MOST ACTIVE PUT OPTION Symbol

Option Type

Strike Price

LTP

Traded Volume (Contracts)

NIFTY

PE

6,200

29.3

4,38,160

NIFTY

PE

6,300

58.9

3,41,468

NIFTY

PE

6,100

13.7

2,76,019

BANKNIFTY

PE

10,500

32.5

17,972

BANKNIFTY

PE

11,000

148

17,287

BANKNIFTY

PE

10,800

86.05

10,587

92,975

INFY

PE

3,600

15.8

4,992

5,53,875

TCS

PE

2,250

14

4,762

4,16,875

MOST ACTIVE CALL OPTION Symbol

Option Type

Strike Price

LTP

Traded Volume (Contracts)

Open Interest

NIFTY

CE

6,300

85.7

5,17,226 49,07,750

NIFTY

CE

6,400

38.05

4,56,818 50,17,100

NIFTY

CE

6,500

14.1

2,54,962 38,73,500

BANKNIFTY

CE

11,500

81.4

35,027

3,27,975

BANKNIFTY

CE

11,200

180.1

22,936

2,22,075

BANKNIFTY

CE

12,000

17.05

13,515

3,66,125

SBIN

CE

1,700

19.8

7,744

7,56,125

SBIN

CE

1,650

37.55

7,418

6,19,125 BUY NIFTY ABOVE 6340 TGT 6360-6390 SL 6315

TCS

CE

2,200

58.60

1,357

1,70,000

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

32439

991.12

45692

1404.54

445711

13757.15

-413.42

INDEX OPTIONS

251597

7688.01

248633

7593.83

1211765

37587.93

94.18

STOCK FUTURES

52637

1711.24

52753

1714.47

1039748

32588.36

-3.23

STOCK OPTIONS

42047

1334.65

41368

1299.13

80533

2624.74

35.52

TOTAL

286.94

INDICES NIFTY

S2

S1

PIVOT

R1

R2

6205.91

6223.88

6252.11

6270.08

6298.31

NIFTYJUNIOR

12494.51

12527.63

12571.26

12604.38

12648.01

BANK NIFTY

10836.0

10892.45

10979.05

11035.5

11122.1

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DAILY REPORT 16th JANUARY. 2013

COMMODITY MCX

RECOMMENDATIONS SILVER

COMMODITY ROUNDUP MCX GOLDPETAL January contract was trading at Rs 2960 down Rs 4, or 0.13 percent. The GOLDPETAL rate touched an intraday high of Rs 2962 and an intraday low of Rs 2955. So far 4579 contracts have been traded. GOLDPETAL prices have moved down Rs 47, or 1.56 percent in the January series so far. MCX GOLDPETAL February contract was trading at Rs 2919 down Rs 5, or 0.17 percent. The GOLDPETAL rate touched an intraday high of Rs 2923 and an intraday low of Rs 2915. So far 1740 contracts have been traded. GOLDPETAL prices have moved down Rs 46, or 1.55 percent in the February series so far. MCX GOLDPETAL March contract was trading at Rs 2904 down Rs 6, or 0.21 percent. The GOLDPETAL rate touched an intraday high of Rs 2910 and an intraday low of Rs 2900. So far 763 contracts have been traded. GOLDPETAL prices have moved up Rs 6, or 0.21 percent in the March series so far.

TRADING STRATEGY: BUY SILVER ABOVE 44950 TGTS 45150/45450 SL 44600 SELL SILVER BELOW 44600 TGTS 44350/44000 SL 45000 GOLD

MCX Gold futures are in red, falling under Rs 29000 per 10 grams amid bearish global cues. The COMEX Gold futures have eased, failing to extend their recent gains. The yellow metal had topped a one-month high above $1250 per ounce but failed to hold on to these levels and dropped back today. The metal currently trades at $1248.90, down $2.20 per ounce on the day. The surge in US stocks overnight and gains in Asian and European indices today has pulled the yellow metal lower and the COMEX Gold is quoting at $1238.10, down $7.30 per ounce on the day. The MCX Gold futures are trading at Rs 28935, down Rs 161 per 10 grams on the day. The US Commerce Department said on Tuesday that retail sales gained 0.2% last month. For all of 2013, sales increased 4.2%. Sales excluding automobiles, gasoline, building materials and food services, increased 0.7% after a 0.2% rise in November. This boosted the US stocks as DOW added 100 points and also supported the US currency. The dollar gained from a near two week low of 1.3700 against the Euro.

TRADING STRATEGY: BUY GOLD ABOVE 29040 TGTS 29120/29220 SL 28920 SELL GOLD BELOW 28980 TGTS 28900/28800 SL 29100

YOUR MINTVISORY

The Dow Jones Industrial Average jumped nearly 16% while the broader S&P 500 index soared by nearly 30%- recording its biggest annual gain in 16 years. Japan's Nikkei 225 index soared by nearly 52% while UK's FTSE jumped 14% and Germany's DAX added an impressive 23%. India's S&P BSE Sensex soared to fresh all time highs above 21000 and ended the year with a handsome gain of 9% .

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DAILY REPORT 16th JANUARY. 2013

NCDEX

RECOMMENDATIONS CASTORSEED

NCDEX INDICES Index

Value

% Change

Castor Seed

4387

+3.98

Chana

3066

+0.99

Coriander

7753

+4.00

Cotton Seed Oilcake

1486

+2.84

12542.5

+0.10

Maize– Feed/ Industrial grade

1195

+0.67

Mustard seed

3505

-0.68

Soy Bean

3776

-0.36

Sugar M Grade

2806

+0.11

Turmeric

6352

+0.44

Jeera

BUY CASTORSEED FEB ABOVE 4480 TGTS 4510/ 4560 SL4430 SELL CASTORSEED FEB BELOW 4400 TGTS 4380/4330 SL4450

DHANIYA

NCDEX ROUNDUP Agriculture Minister Sharad Pawar on Wednesday said the country's foodgrain production this year is likely to surpass the previous record of 259.29 million tonnes achieved in the 2011-12 crop year. Jeera futures jumped on Wednesday lead by short covering at lower side. The NCDEX Jeera for the March delivery ended the day at Rs 12,535, up Rs 60 or 0.48% over the last close. Latest data indicates that the acreage under Jeera stands at 397,300 hectares in Gujarat- the prominent producing state. This is up nearly 50% compared to last year when the crop suffered a setback. Traders estimated that the current year Jeera production is estimated to be around 45 lakh bags in the current year, up almost 10 lakh bags from the year.

BUY DHANIYA FEB ABOVE 8150 TGTS 8180 / 8230 SL 8100 SELL DHANIYA FEB BELOW 8010 TGTS 7980 / 7930 SL 8060

YOUR MINTVISORY

The latest data compiled by commodityinsights.com on 15th January 2014 estimated that the Jeera stocks at 7 lakh bags against 9-10 lakh bags in the same period of last year. Traders are expecting that exports of the commodity should rise in coming months amidst reports of lower production in Turkey and Syria. Call us at +91-731-6642300


DAILY REPORT 16th JANUARY. 2013

CURRENCY

RBI Reference Rate Currency

Rate Currency

Rupee- $

61.5885 Yen-100

Euro

83.9915 GBP

USD/INR

Rate

58.9900 101.0914

CURRENCY ROUNDUP The greenback moved higher against most major currencies on Wednesday after better-than-expected U.S. economic indicators and an upbeat take on the economy from the Federal Reserve fueled expectation for monetary stimulus programs to continue unwinding this year. In U.S. trading on Wednesday, EUR/USD was down 0.56% at 1.3602. The dollar firmed against the euro and most other major currencies after data revealed that manufacturing activity in the New York State expanded at the fastest pace since May 2012 this month. The Federal Reserve Bank of New York said that its general business conditions index jumped to 12.51 in January from an upwardly revised 2.22 in December. Analysts were expecting the index to rise to only 3.75.

USD/INR SELL BELOW 61.56 TGTS 61.43, 61.30 SL 61.91 USD/INR BUY ABOVE 61.95 TGTS 62.10, 62.25 SL 61.60 EUR/INR

EUR/INR SELL BELOW 83.95 TGTS 83.82, 83.67 SL 84.30 EUR/INR BUY ABOVE 84.33 TGTS 84.50, 84.66 SL 83.98

YOUR MINTVISORY

The U.S. producer price index rose 0.4% in December, the biggest increase since June, recovering from a 0.1% decline in November and was 1.2% higher from a year earlier. Core PPI was up 0.3% in December and rose 1.4% on a year-over year basis, compared to expectations for a monthly increase of 0.1% and an annual gain of 1.3%. The solid data convinced investors that the Federal Reserve will continue winding down its USD75 billion in monthly bond purchases in the coming months. Bond purchases weaken the dollar by driving down long-term interest rates, and talk of their dismantling tends to strengthen the greenback. Wednesday's economic indicators were the latest convincing investors that the poor December jobs report was likely a hiccup on the road to recovery. On Tuesday, the Commerce Department reported that U.S. retail sales rose 0.2% in December, beating expectations for a 0.1% increase. Core retail sales, which exclude automobile sales, expanded by 0.7% in December, well above forecasts for a 0.4% increase. The figure convinced investors to look past data revealing the U.S. economy added 74,000 jobs in December, well below expectations for a 196,000 increase. Also giving the dollar support, the Federal Reserve released its Beige Book earlier, which said the U.S. economy continues to expand at a moderate pace

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DAILY REPORT 16th JANUARY. 2013

CALL REPORT PERFORMANCE UPDATES

Date

Commodity/ Currency Pairs

Contract

Strategy

Entry Level

Target

Stop Loss

Remark

15/01/14

MCX GOLD

FEB.

BUY

29250

29330-29430

29150

NOT EXECUTED

15/01/14

MCX GOLD

FEB.

SELL

28980

28900-28800

29100

BOOKED PROFIT

15/01/14

MCX SILVER

MAR.

BUY

45250

45450-45750

44850

NOT EXECUTED

15/01/14

MCX SILVER

MAR.

SELL

44600

4350-44000

45000

BOOKED PROFIT

15/01/14

NCDEX CASTOR SEED

FEB.

BUY

4410

4440-4500

4360

BOOKED PROFIT

15/01/14

NCDEX CASTOR SEED

FEB.

SELL

4310

4280-4230

4460

NOT EXECUTED

15/01/14

NCDEX DHANIYA

FEB.

BUY

7930

7960-8010

7880

SL TRIGGERED

15/01/14

NCDEX DHANIYA

FEB.

SELL

7820

7790-7740

7930

NOT EXECUTED

15/01/14

EUR/INR

JAN.

SELL

84.09

8394-83.72

84.44

BOOKED PROFIT

15/01/14

EUR/INR

JAN.

BUY

84.57

84.72-84.94

84.44

NOT EXECUTED

15/01/14

USD/INR

JAN.

SELL

61.50

61.38-61.18

61.85

NOT EXECUTED

15/01/14

USD/INR

JAN.

BUY

62.04

62.20-62.40

61.90

NOT EXECUTED

Date

Scrip

CASH/ FUTURE/ OPTION

Strategy

Entry Level

Target

Stop Loss

Remark

06/01/14

NIFTY

FUTURE

BUY

6230

6280-6320

6200

BOOKED FULL PROFIT

15/01/14

ADANIENT.

FUTURE

BUY

245

250-255

241

BOOKED PROFIT

15/01/14

CESC

FUTURE

BUY

460

465-472

455

BOOKED PROFIT

15/01/14

SKS MICRO

CASH

BUY

186

192-198

180

CALL OPEN

14/01/14

NIFTY

FUTURE

BUY

6250

6300-6350

6200

BOOKED PROFIT

14/01/14

APPOLO TYRE

FUTURE

BUY

117

120-122

115

CALL OPEN

14/01/14

BHARAT FORGE

FUTURE

BUY

345

352-358

337

SL TRIGGERED

09/01/14

GRAVITA

CASH

BUY

46

50-54

41

CALL OPEN

YOUR MINTVISORY

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DAILY REPORT 16th 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

JAN.

85.0

82.5

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