Special report by epic research 31 december 2013

Page 1

DAILY REPORT 31st DECEMBER. 2013

Global markets at a glance In Asia, Japan's benchmark stock index, the Nikkei, surged to a fresh six-year high on Monday. Nikkei gained 0.69%, while China's Shanghai Composite was off 0.18%. Shares in Hong Kong were unchanged with the Hang Seng at 23,244.87. European stock indexes stayed on track on Monday to post their biggest annual gains in four years. Stock markets in London, Madrid, Paris, Amsterdam, Brussels and Lisbon will close around midday on Tuesday, while other major European markets including Italy, Germany and Switzerland will remain closed on Tuesday for the New Year holiday break.

World Indices

Wall Street Update US stocks closed mostly flat on Monday, with the Dow edging up to another record closing high and the S&P 500 index's advance stalling in response to light trading volume and weaker-than-forecast housing data. The DJI average rose 25.88 pts, or 0.16%, to end at 16,504.29, a record close. The Standard & Poor's 500 Index dipped just 0.33 of a pts, or 0.02%, to finish at 1,841.07. The Nasdaq Composite Index declined 2.40 pts, or 0.06%, to close at 4,154.20. Previous day Roundup Market recouped some of its losses in closing deals after hitting a bottom when a Reserve Bank of India (RBI) report flagged inflation and asset quality issues as key risks to financial stability. It was a volatile session that saw key indices move in narrow range for the better part of the day. Market touched its day's low in afternoon deals a Financial Stability Report by the Reserve Bank of India. The 30-share Sensex ended 50 points lower at 21,143 and the 50-unit Nifty was down 23 points at 6,291. Index stats The Bankex and Bank Nifty both declined 0.67% & 0.73% respectively. Among the sartorial indices almost all the sectors were down; Capital Goods [down 41.85pts], AUTO [down 55.72pts], PSU [down 3.21pts], Consumer Durables [down 18.26pts], Realty [down 23.07pts], TECK [down 31.95pts], IT [down 77.59pts], Power [down 3.36pts], FMCG [down pts] and Healthcare [down 42.47pts], the index advanced were Oil & Gas [up 13.20pts], Metals [up 67.45pts].

Index

Value

% Change

16,504.29

+0.16

S&P 500

1,841.07

-0.02

NASDAQ EURO STO FTSE 100

4,154.20 3,100.93 6,731.27

-0.06 -0.34 -0.29

Nikkei 225 Hong Kong

16,291.31 23,321.10

+0.69 +0.33

DJl

Top Gainers Company

CMP

Change

% Chg

BHEL

180.40

7.15

+4.13

COALINDIA

290.80

7.70

+2.72

HDFC

798.80

9.60

+1.22

RELIANCE

885.55

6.70

+0.76

HINDUNILVR

573.00

4.25

+0.75

CMP

Change

% Chg

165.60 1,093..75 52.65 1,730.55 949.20

5.80 28.70 1.25 39.50 17.95

-3.38 -2.56 -2.32 -2.23 -1.86

Prev. Close

Change

%Chg

APOLLOTYRE

102.00

1.30

+1.29

BAJAJELEC

220.10

1,15

+0.53

DIVISLAB

1,216.00

5.90

-0.48

GLAXO

2,976.50

18.40

+0.62

HCLTECH

1,252.00

5.95

+0.48

Prev. Close

Change

%Chg

CMP

Change

% Chg

6,291.10 21,143.01

22.70 50.57

-0.36 -0.24

Top Losers Company

DLF ACC JPASSOCIAT ULTRACEMCO M&M

Stocks at 52 Week’s high Symbol

Stocks at 52 Week’s Low Symbol

--

Indian Indices Company NIFTY SENSEX

YOUR MINTVISORY

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DAILY REPORT 31st DECEMBER. 2013

EQUITY CASH & FUTURE

STOCK RECOMMENDATIONS [FUTURE] 1. COAL INDIA

STOCK RECOMMENDATION [CASH] 1. KERNEX MICRO SYSTEMS

COAL INDIA FUTURE is looking strong on charts, long build up has been seen, we may see more upside, if it continues to sustain above 290. We advise buying around 288-290 levels with strict stop loss 285 for the targets of 296-300.

KERNEX MICRO SYSTEMS is looking strong on charts. We advise buying above 54 levels with strict stop loss of 50 for the targets of 58-62 levels.

2. BHEL

MACRO NEWS  The Department of Telecom is hoping to announce the new M&A guidelines next month as it attempts to infuse life into a sector battered by controversies.  The Foreign Investment Promotion Board yesterday approved UK-based Tesco Plc's proposal to enter the Indian multi-brand retail segment in joint venture with Tata Group company with an initial investment of US$ 110 million (about Rs 680 cr.).  Financial Stability Report by RBI flagged concerns over continuing high inflation amid slowdown in growth. The report also raised a red flag on asset quality of commercial banks sending banking stocks tumbling. Reserve Bank has said the country is ready for the US Federal Reserve's tapering, and has pegged the current account deficit at below 3 percent for this fiscal in its eighth Financial Stability Report.  RBI hopes a positive impact on the energy import bill, on the account of the increased availability of alternative energy sources like shale gas.

BHEL FUTURE is looking strong on charts, long build up has been seen, we may see more upside, if it continues to sustain above 170. We advise buying on dips around 168-170 levels with strict stop loss 165 for the targets of 175-180.

YOUR MINTVISORY

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DAILY REPORT FUTURE & OPTION

31st DECEMBER. 2013

STOCKS IN NEWS  FIPB clears Voda's Rs 10,141 cr & Tesco's $110 mn FDI proposals.  GMR inks pact with MAHB to divest stake in Istanbul airport  JSW Steel promoter hikes stake in company to 4.74%  Jain Irrigation bags Rs 385 crore project from Karnataka government.  Cooper Tire terminates $2.5bn deal with Apollo Tyres.  Vedanta Resources Starts Mining Operation In Sesa Sterlite Mine.

MOST ACTIVE PUT OPTION Symbol

Option Type

Strike Price

LTP

Traded Volume (Contracts)

Open Interest

NIFTY

PE

6,.300

87.50

1,80,467

34,37,550

NIFTY

PE

6,200

54.25

1,14,224

34,40,250

NIFTY

PE

6,100

32.70

85,671

30,18,450

BANK NIFTY

PE

11,000 140.00

7,157

1,33,575

SBIN

PE

1,750

45.00

2,095

97,125

RELIANCE

PE

880

16.80

1,404

1,69,750

INFY

PE

3,400

87.50

820

1,09,125

ICICIBANK

PE

1,100

35.80

771

1,14,250

NIFTY FUTURE

MOST ACTIVE CALL OPTION Symbol

Option Type

Strike Price

LTP

Traded Volume (Contracts)

Open Interest

NIFTY

CE

6,400

73.00

1,63,743

35,33,650

NIFTY

CE

6,500

38.95

1,41,544

44,10,350

NIFTY

CE

6,600

17.95

91,601

27,80,200

BANKNIFTY

CE

12,000

114.75

11,858

2,03,275

SBIN

CE

1,800

43.05

3,897

3,66,250

RELIANCE

CE

900

19.45

3,070

6,59,750

BHEL

CE

180

4.45

1,458

10,40,000

DLF

CE

180

3.50

1,413

19,80,000

TCS

CE

2,200

58.60

1,357

1,70,000

Nifty Future closed in the red in the last trading session. We advise selling around 6370-6390 with strict stop loss of 6420 for the targets of 6320-6280 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

30336

950.70

31561

992.50

427066

13426.44

-41.80

INDEX OPTIONS

189280

5923.42

167599

5229.28

953253

29948.95

694.14

STOCK FUTURES

33481

1147.60

32752

1112.84

940941

30172.28

34.76

STOCK OPTIONS

15683

481.19

16622

508.76

15157

445.39

-27.57

TOTAL

659.54

INDICES NIFTY NIFTYJUNIOR BANK NIFTY YOUR MINTVISORY

S2

S1

PIVOT

R1

R2

6231.86

6261.48

6302.76

6332.38

6373.66

631.05

633.41

636.95

639.3

642.84

11230.46

11303.23

11427.81

11500.58

11625.16

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DAILY REPORT 31st DECEMBER. 2013

COMMODITY MCX

RECOMMENDATIONS SILVER

COMMODITY ROUNDUP The GOLD rate touched an intraday high of Rs 28551 and an intraday low of Rs 28331. 9367 contracts had been traded. Gold Price was taking support at 28250 and traded in sideways range all day. In evening session gold price breached the nearest support 28360 and made low of 2833. a weak trend in the overseas markets as investor holdings extended declines to the lowest since 2009, mainly put pressure on the gold prices at futures trade here. The SILVER rate touched an intraday high of Rs 44879 and an intraday low of Rs 44127. 19465 contracts had been traded. Silver opened at morning with gap down and made day high. In mid session Silver traded in narrow range and made night low 44127 . After evening there had seen more selling pressure in Silver and it will helpful to break the nearest support 43900.

TRADING STRATEGY: BUY SILVER ABOVE 44480 TGTS 44680/44980 SL 44080 SELL SILVER BELOW 43900 TGTS 43700/43400 SL 44250 GOLD

Tracking a weak trend in the precious metals overseas, silver prices fell 0.66% to Rs 44,856 per kg in futures trade yesterday as speculators reduced their exposures. At the MCX silver for delivery in March fell by Rs 298, or 0.66%, to Rs 44,856 per kg in business turnover of 683 lots. Similarly, the white metal for delivery in May declined by Rs 260, or 0.56%, to Rs 45,830 per kg in business volume of 7 lots. A subdued trend overseas as some investors lost faith in the precious metals as a safe haven investment amid a rally in US equities and an improving economy, which prompted the Federal Reserve to pare its $85 billion in monthly bond purchases, attributed fall in silver prices at futures trade. Nickel prices rose 0.33% to Rs 888.90 per kg in futures trading yesterday as participants enlarged positions even as metal weakened at the LME. At the MCX nickel for delivery in January traded Rs 2.90, or 0.33% higher at Rs 888.90 per kg in business turnover of 31 lots.

TRADING STRATEGY: BUY GOLD ABOVE 28480 TGTS 28560/28660 SL 28380 SELL GOLD BELOW 28250 TGTS 28170/28070 SL 28350

YOUR MINTVISORY

Aluminium futures prices rose by 0.14% to Rs 109.70 per kg yesterday as speculators covered up their short positions on rising demand in spot markets even as metal weakened in the global markets. At the MCX Aluminium for delivery in current month up by 15 paisa, or 0.14%, to Rs 109.70 per kg, with a business turnover of 27 lots.

Call us at +91-731-6642300


DAILY REPORT 31st DECEMBER. 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 SL 4430 SELL CASTORSEED FEB BELOW 4350 TGTS 4320 / 4270 SL 4400 DHANIYA

BUY DHANIYA JAN ABOVE 7805 TGTS 7835 / 7885 SL 7755 SELL DHANIYA JAN BELOW 7670 TGTS 7640 /7590 SL 7720

YOUR MINTVISORY

NCDEX ROUNDUP Coriander prices surged by 3.42% to Rs 7,710 per quintal in futures trading yesterday as speculators indulged in creating fresh positions at existing lower levels, driven by strong demand in the spot market. At the NCDEX, coriander for delivery in January surged by Rs 255, or 3.42% to Rs 7,710 per quintal with an open interest of 17,700 lots. Similarly, the spice for delivery in February shot up by Rs 249, or 3.15% to Rs 8150 per quintal in 17,800 lots. Fresh positions created by speculators driven by strong demand in the spot market demand against limited arrivals from producing belts, led to an upsurge in coriander prices at futures trade. Refined soya oil prices gained 0.34% to Rs 685.55 per 10 kg in futures trading yesterday after speculators created fresh positions, supported by a rise in demand in the spot market. At the NCDEX, refined soya oil for delivery in delivery in February rose by Rs 2.35, or 0.34% to Rs 685.55 per 10 kg with an open interest of 1,07,020 lots. Likewise, the oil for delivery in January traded higher by Rs 1.75, or 0.25% to Rs 694.70 per 10 kg in 57,130 lots. Speculators created fresh positions supported by a rise in demand in the spot markets helped refined soya oil prices to trade higher at futures Call us at +91-731-6642300


DAILY REPORT 31st DECEMBER. 2013

CURRENCY

RBI Reference Rate Currency

Rate Currency

Rupee- $

62.0028 Yen-100

Euro

85.1855 GBP

USD/INR

USD/INR SELL BELOW 62.15 TGTS 61.99, 61.79 SL 62.51. USD/INR BUY ABOVE 62.59 TGTS 62.73, 62.99 SL 62.14 GBP/INR

SELL GBP/INR BELOW 102.38 TGTS 102.20,101.99 SL 102.78. BUY GBP/INR ABOVE 103.10 TGTS 103.29,103.51 SL 102.70.

YOUR MINTVISORY

Rate

58.8600 102.1682

CURRENCY ROUNDUP The Indian rupee remained weak due to dollar demand by oil importers. The rupee was trading at Rs 61.99 compared to previous close of Rs 61.85 per dollar. Currency rupee was seen trading in the range of Rs 61.80 to Rs 62.20 during the day. The Indian rupee stood at 62.02 against the US dollar during early trade on Monday. The rupee closed at 61.85 per dollar on Friday. The rupee today lost 17 paise to 62.02 against the dollar in early trade on the Interbank Foreign Exchange market due to month-end demand of the US currency from importers Forex dealers said dollar strengthening against other currencies in the global market also put pressure on the rupee but sustained rise in domestic equities capped the fall. The domestic currency had closed higher by 31 paise at 61.85 on Friday after a rally in local equities and fresh sales of the US currency by exporters. The dollar was little changed against the other major currencies in subdued trade on Monday, as risk appetite strengthened ahead of the year end, while demand for the greenback remains supported by the Federal Reserve's decision to taper stimulus. Trading volumes were thin as many investors already closed books before the end of the year, reducing liquidity in the market and increasing volatility, which helped exaggerate market moves. During European morning trade, EUR/USD edged up 0.07% to 1.3754. The euro remained mildly supported after European Central Bank Governing Council member Jens Weidmann on Friday said keeping interest rates low may endanger political reforms. The pound was steady against the dollar, with GBP/USD eased up 0.05% to 1.6486. Elsewhere, the greenback hit fresh five-year highs against the yen, with USD/JPY up 0.10% to 105.28 and was steady against the Swiss franc, with USD/CHF down 0.05% to 0.8911. The yen continued to weaken amid speculation the Bank of Japan will have to expand its stimulus program in the coming months in order to meet its target of 2% inflation by 2015.

Call us at +91-731-6642300


DAILY REPORT 31st DECEMBER. 2013

CALL REPORT PERFORMANCE UPDATES

Date

Commodity/ Currency Pairs

Contract

Strategy

Entry Level

Target

Stop Loss

Remark

30/12/13

MCX GOLD

FEB.

BUY

28650

28720-28820

28550

NOT EXECUTED

30/12/13

MCX GOLD

FEB.

SELL

28420

28350-28250

28520

BOOKED PROFIT

30/12/13

MCX SILVER

MAR.

BUY

45250

45450-45750

44900

NOT EXECUTED

30/12/13

MCX SILVER

MAR.

SELL

44880

44680-44580

45250

BOOKED FULL PROFIT

30/12/13

NCDEX CASTOR SEED

FEB.

SELL

4230

4200-4150

4280

NOT EXECUTED

30/12/13

NCDEX CASTOR SEED

FEB.

BUY

4525

4555-4595

4475

NOT EXECUTED

30/12/13

NCDEX DHANIYA

JAN.

BUY

7500

7530-7580

7450

BOOKED FULL PROFIT

30/12/13

NCDEX DHANIYA

JAN.

SELL

7370

7340-7290

7420

NOT EXECUTED

30/12/13

JPY/INR

JAN.

SELL

59.50

59.37-59.18

59.91

NOT EXECUTED

30/12/13

JPY/INR

JAN.

BUY

59.93

60.10-60.27

59.52

NOT EXECUTED

30/12/13

EUR/INR

JAN.

SELL

85.60

85.45-85.25

86.01

NO PROFIT NO LOSS

30/12/13

EURINR

JAN.

BUY

86.21

86.36-86.53

85.80

NOT EXECUTED

Date

Scrip

CASH/ FUTURE/ OPTION

Strategy

Entry Level

Target

Stop Loss

Remark

30/12/13

NIFTY

FUTURE

BUY

6300-6320

6350-6370

6250

NOT EXECUTED

30/12/13

PNB

FUTURE

BUY

640-645

655-665

630

SL TRIGGERED

30/12/13

TCS

FUTURE

BUY

2160-2170

2190-2220

2140

CALL OPEN

30/12/13

KOTLE PATIL

CASH

BUY

95

100-105

95

CALL OPEN

27/12/13

KTKBANK

FUTURE

BUY

110-112

114-118

106

BOOKED PROFIT

27/12/13

TATA STEEL

FUTURE

BUY

428

434-438

422

CALL OPEN

24/12/13

DLF

FUTURE

BUY

170-171

174-178

167

SL TRIGGERED

24/12/13

LICHOUSING

FUTURE

BUY

215-216

225-225

210

CALL OPEN

23/12/13

RELIANCE

FUTURE

BUY

895-900

915-935

878

CALL OPEN

YOUR MINTVISORY

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DAILY REPORT 31st DECEMBER. 2013

ECONOMIC CALENDAR

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

REPORT

PERIOD

ACTUAL

CONSENSUS FORECAST

PREVIOUS

--

-0.6%

MONDAY, DEC. 30 10 am

Pending home sales

Nov. TUESDAY, DEC. 31

9 am 9:45 am 10 am

Case-Shiller home prices

Oct.

--

13.3% y-o-y

Chicago PMI

Dec.

61.8

63.0

Consumer confidence

Dec.

75.0

70.4

12/28

N/A

338,000

WEDNESDAY, JAN. 01 New Year's Day None scheduled THURSDAY, JAN. 02 8:30 am

Weekly jobless claims

9 am

Market PMI

Dec.

--

54.4

10 am

ISM

Dec.

56.9%

57.3%

10 am

Construction spending

Nov.

0.9%

0.8%

16.0 mln

16.3 mln

FRIDAY, JAN. 03 TBA

Motor vehicle sales

Dec. 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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