TECHNICAL TREND ( NIFTY - BANK NIFTY FUTURES ) NIFTY FIFTY : - Indian Benchmark Index Nifty 50 Opened at 9193 On Monday trading session, and made a high of 9094, the Index traded in a narrow range of 70 points. Last week Nifty traded in range of 149 points from 9168 to 9019. The Market might be in celebrating mode after passage of GST in the LS, Although it is highly discounted and a July’17 roll out of the same may also be largely discounted and going forward, market may be also apprehending any probable disruption in the economy for a hurried launch of the same. The Index benchmark Nifty 50 traded on strong note in last week Supported by Positive Global cues on hopes of An Impending Tax Reform By Trump After Disappointment Of The Healthcare Bill. In the current month, FIIs and DIIs have a combined net buy figure of 17360 crore. Last month FIIs and DIIs were buyers in the market for a total value of 9639.41 crore. The post election results gap still has not been filled till 8935. But Many times such gaps remain unfilled. This gap can remain unfilled if we have a final blow out rally till 9400 or 9500 and then a 400 500 point correction. As of now Nifty is in positive momentum and we may witness further positive rally and huge volatility Once Nifty manages to breach 9150 levels then we would see new record highs for the targets of 9300-9400 for Index. Traders should hold long positions and should consider going long at every dips. The Significance Resistance levels for Nifty is 9190-9220 and Significance Support is 9140-9100. BANK NIFTY : - Bank Nifty opened at 21203 on Monday trading session, made a high of 21203, the Index closed at 21123 after making low of 20754. PSU banks rallied most after Finance Minister said he will soon announce the policy for quick settlement of Net Performing Assets in banks. Moreover the Finance Minister will also discuss with few banks heads, on allocation of excess funds, in banking system, post demonetization. As par Policymakers, the pain of India’s twin balance sheet corporate & banking stressed assets may need to be resolved first with the ongoing effort of deleveraging & various merger and acquisitions activities and India is not a market for so many weak banks and few strong banks are necessary. Thus, we may see consolidation in the banking industry. The Significance Support for Bank Nifty is 21440-21370 and Resistance is 21553-21626.
Monday, 3 April 2017
TECHNICAL VIEW (NIFTY- BANK NIFTY FUTURES ) NIFTY DAILY
WEEKLY
MONTHLY
R2
R1
PP
S1
S2
9279
9209
9174
9139
9069
R2
R1
PP
S1
S2
9622
9296
9133
8970
8644
R2
R1
PP
S1
S2
10065
9407
9078
8749
8091
R2
R1
PP
S1
S2
21876
21626
21501
21376
21126
R2
R1
PP
S1
S2
23475
22079
21381
20683
19287
R2
R1
PP
S1
S2
24966
22450
21192
19934
17418
BANK NIFTY DAILY
WEEKLY
MONTHLY
MOVING AVERAGE
21 DAYS
50 DAYS
100 DAYS
200 DAYS
NIFTY
9037
8859
8683
8504
BANK NIFTY
20976
20432
19855
19170
PARABOLIC SAR
DAILY
WEEKLY
MONTHLY
NIFTY
9195
8750
8209
BANK NIFTY
20979
19605
17458
PATTERN FORMATION ( NIFTY )
Detail of Chart - On the Above given daily Chart of Nifty has Applied Bollinger Band and Parabolic SAR both are the leading indicators. As per Bollinger Band it is about to cross over the Upper Band which is around 8300 level so it would be the crucial level to decide the trend of market for upcoming trading session. The break above the level 8300 we may witness the level of 8400-8460 in near term on the fillip side 8180 level would be crucial down side.
PATTERN FORMATION ( BANK NIFTY )
Detail of Chart -On the Above given daily Chart of Bank Nifty has Applied the Bollinger Band as well as Parabolic SAR. The Bank Nifty Chart is clearly showing up side movement the Upper Band of Bollinger Band indicating Bullish wave in the Market. If the Bank Nifty able to Sustain the 21460 level will move toward 21760-21840 levels. The support for Bank Nifty is at 21240-21120 and the resistance to the up move is at 21450-21500 levels.
NSE EQUITY DAILY LEVELS COMPANY NAME
R2
R1
PP
S1
S2
ACC ADANI PORTS
EQ EQ
1467 345
1457 342
1439 339
1429 336
1411 333
AMBUJACEM ASIAN PAINT AXISBANK BAJAJ-AUTO BANKBARODA BPCL BHEL BHARTIARTL BOSCH LTD BHARTI INFRATEL CIPLA COALINDIA CAIRN INDIA LTD DRREDDY GAIL GRASIM HCLTECH HDFC HDFCBANK HEROMOTOCO HINDALCO HINDUNILVR ICICIBANK ITC INDUSIND BANK INFY IDEA CELLULAR KOTAKBANK LT M&M MRF MARUTI SUZUKI ONGC NTPC RCOM RELCAPITAL RELIANCE RELINFRA RPOWER SBIN SSLT( VEDL) SUNPHARMA TATA MOTORSDVR TCS TATAMOTORS TATAPOWER TATASTEEL UNIONBANK YES BANK LIMITED ZEEL
EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ
240 1087 507 2847 176 668 166 354 23193 331 601 297 313 2661 384 1081 899 1530 1462 3243 198 924 284 285 1438 1041 88 889 1615 1296 61930 6076 187 168 39 624 1379 582 50 299 280 698 287 2451 476 93 488 160 1566 546
238 1081 501 2831 174 661 165 352 22986 327 596 295 310 2646 380 1064 886 1516 1451 3231 197 917 281 283 1430 1033
235 1073 497 2816 173 652 163 348 22793 325 594 292 305 2630 378 1056 876 1506 1444 3215 193 912 278 280 1415 1020 86 871 1574 1281 60485 5991 185 165 38 615 1308 569 48 292 275 688 282 2426 468 90 482 156 1545 535
233 1067 491 2800 171 645 162 346 22586 321 589 290 302 2615 374 1039 863 1492 1433 3203 192 905 275 278 1407 1012 85 863 1554 1275 59975 5957 184 164 37 611 1279 563 47 289 271 682 280 2412 463 88 478 154 1534 530
230 1059 487 2785 170 636 160 342 22393 319 587 287 297 2599 372 1031 853 1482 1426 3187 188 900 272 275 1392 999 84 853 1533 1266 59940 5906 183 162 37 606 1237 556 46 285 270 678 277 2401 460 87 476 152 1524 524
87 881 1595 1290 61420 6042 186 167 38 620 1350 576 49 296 276 692 285 2437 471 91 484 158 1555 541
TOP 15 ACHIEVERS SR.NO
SCRIPT NAME
//
PREV CLOSE
CMP
% CHANGE
TOP 15 LOOSERS SR.NO
SCRIPT NAME
PREV CLOSE
CMP
% CHANGE
1
SBIN
276
293
+ 6.11 %
1
HERO MOTOCOP
3375
3321
- 4.54 %
2
ADANI PORTS
323
339
+ 5.06 %
2
ONGC
191
185
- 3.60 %
3
BHARTI INFRA
310
325
+ 4.99 %
3
TECH MAHINDRA
474
459
- 3.16 %
4
TATA POWER
86
90
+ 4.39 %
4
LUPIN LIMITED
1487
1445
-2.86 %
5
INDIABULLS
959
997
+ 4.04 %
5
SUN PHARMA
703
688
- 2.24 %
6
IOC
372
387
+ 3.85 %
6
TATASTEEL LTD
493
482
-2.13 %
7
ACC LIMITED
1396
1446
+ 3.55 %
7
AURO PHARMA
688
675
-1.97 %
8
ZEEL
518
535
+ 3.30 %
8
COAL IND LTD
297
292
- 1.75 %
9
AMBUJA CEMENT
229
236
+ 2.94 %
9
BAJA J AUTO LTD
2843
2805
- 1.32 %
10
BHARTI AIRTEL
340
350
+ 2.80 %
10
GAILIND LIMITED
381
376
- 1.14 %
11
HDFC
1462
1502
+ 2.70 %
11
TATA MO T LTD
470
465
- 0.97 %
12
RELIANCE
1286
1320
+ 2.65 %
12
BOSCH LIMTED
22972
22751
-0.96 %
13
INDUSIND BANK
1389
1425
+ 2.56 %
13
INFOSYS LIMITED
1031
1022
- 0.89 %
14
BANK OF BARODA
169
172
+ 2.31 %
14
GRASIM INDUS.
1058
1049
-0.88 %
15
L&T
1551
1574
+ 1.53 %
15
KOTAK BANK
879
872
- 0.81 %
3 2 2 1 1 0 0
OPEN INTEREST INDEX F&O AND CASH SEGMENT ACTIVITY
NSE - WEEKLY NEWS LETTERS � TOP NEWS OF THE WEEK
GST rollout, tackling NPAs to dominate new fiscal - An eventful financial year nears its end on March 31. It was a year of tumultuous ups and downs that witnessed a couple of historic economic moments. The year began with a hopeful resolution of the Greek financial crisis followed by a shocking exit of Britain from the European Union. Post-Brexit, the EU's future was put in doubt and the world braced for its aftershocks. However, the fears did not materialise in terms of any economic upsets and it was business as usual almost immediately. Meanwhile, amidst an uncertain global economic environment, the Indian economy was considered to be a "bright spot" until the government threw a spanner in the works on November 8, 2016, with its demonetisation gamble. Again, ominous predictions about its effects on the economy proved modest at best, as far as official figures are concerned. The Index of Industrial Production, which measures the country's factory output, grew at 2.7 percent in January after contracting by 0.1 percent in December. By now, most of the demonetisation-induced sluggishness has worn off in almost all sectors and even consumer demand is showing signs of revival as evidenced by an increase in imports in latest figures. However, as the world and Indian economy put their fears of Brexit and demonetisation-induced after-effects to rest, there are two problems the latter has not been able to allay during this financial year. One is the issue of reviving private sentiment. When the current financial year began, calls were loud for the RBI to slash rates as its hawkish stance was seen as inimical to investment in the country. Government to borrow Rs 3.72Lakh-crore in first half of FY2018 - The government will borrow Rs. 3.72 lakh crore from the market in the first six months of the next fiscal beginning April. The borrowing represents 64% of the full-year borrowing target. The April-September borrowing is slightly more than previous year because the finance ministry and the Reserve Bank of India expect spending to pick up pace early. The redemption pressure of the previous year’s borrowings will also be more in the first half. The government had advanced the budget presentation by a month this year, allowing the process to be completed before the start of the new fiscal. This will allow spending to continue seamlessly as opposed to a lull earlier when the budget process used to be completed well after the start of new fiscal. Ninety percent of the total redemptions (in
FY18) will happen in first half. Budget has been passed and money will be available fully from the beginning of the year,� economic affairs secretary Shaktikanta Das said . GST rates will have no inflationary impact: Arun Jaitley - Allaying apprehension of spike in prices of goods and commodities after the roll out of the GST, Finance Minister Arun Jaitley today said the tax rates will be kept at the current levels so as not to have any inflationary impact. Introducing four bills to give effect to the Goods and Services Tax , Jaitley said the legislations will have to be passed by Parliament and one by each of the state assemblies to turn India into one market with a single tax rate. The Finance Minister said the aim of the GST Council is to decide everything relating to the tax structure with consensus and this is for the first time that such an arrangement has been made, based on the principle of shared sovereignty of both the Centre and the state governments. "These are revolutionary bills which will benefit all. ...States have pooled in their sovereignty into the GST council, and Centre has done the same," he said. RBI to hold rates this year, may tighten in 2018: Goldman Sachs - The Reserve Bank is expected to keep policy rates on hold this year but there are risks tilted towards a hike in 2018, a Goldman Sachs report says. According to the global financial services major, inflation is likely to remain within the RBI's target range of 2-6 per cent, but India is still some time away from bringing inflation to its 4 per cent target sustainably. We expect headline inflation to pick up in the next few months as the effects of demonetisation on food prices fade and oil prices trend higher," Goldman Sachs said in a research note. The report noted that headline inflation is likely to stabilise around the 5 per cent mark from July-September 2017 onwards, with lower household expectations offsetting upward pressures from the civil service housing rent allowance increase. Key risk for price rise is the 'deficient' monsoon, that could lead to a pick-up in inflation expectations. More Indians want 'big picture' tax policymaking: Survey - Most Indians want 'big picture' tax policymaking and believe that it is appropriate to offer tax incentives to attract overseas investment, says a survey by the Association of Chartered Certified Accountants. According to the findings, people want their governments to cooperate for a more coherent international tax system, they trust professionals, but have developed a deep distrust of politicians when it comes to tax. Indians, in particular, have a higher level of trust in multinationals and professional accountants in India, in comparison to much of the G20 countries, to create a fair and appropriate tax system," said Sajid Khan, Head of
international development at ACCA. Note ban effects fading, growth likely to return to pre-November levels: S&P - The effect of demonetisation is fading and growth is likely to return to the pre-note ban stage, but a clearer picture of the economy will be available by June-end, S&P Global Ratings said today."India's effects from demonetisation are fading and a return to the growth path prevailing before the currency note swap looks to be increasingly likely. This should be a two-quarter event, meaning things will become clear by mid-2017," S&P said. India had demonetised 500 and 1,000 rupee notes on November 8, 2016, and asked holders of such notes to deposit them in banks. The Central Statistical Office last month had projected GDP growth to be 7 per cent in the October-December quarter, belying fears of slowdown post demonetisation. For the full year, it projected India to grow at 7.1 per cent
✍ TOP ECONOMY NEWS
The most talked about topic in India’s economy currently is, GST. All are waiting for the biggest tax reforms in the history of India. The government is burning the oil till mid night for the roll out of GST as of July 1, 2017. As per experts opinion, implementation of GST can add up to 2% to the India’s economic growth
Manufacturing improved in March after a three month decline, while various government measures are likely to push up activity in the infrastructure sector going forward, : Report. The yearly SBI Composite Index, one of leading indicator for manufacturing activity in the Indian economy, bounced back to above 50-mark level to 50.3 after 3-months of decline.
One nation one tax regime is going to fill the pockets of the Centre at the end of 5 years after implementation of GST, as the tax regime suggests that both the State and the Centre are to get similar proportion of tax from the sale of goods and services. The Bill was made public in November 2016, and the provision of the draft says any residual amount left in the Compensation Fund will be shared equally by the Centre & the States.
The examination of the 7th pay commission recommendations on allowances is likely to reach its final fruition, as the panel led by Ashok Lavasa, the former Finance Secretary, is expected to hold its final meeting over the matter on March 28, 2017. Following which,
the cited subject is expected to be scrutinised by the Finance Minister and the Union Cabinet. The revised allowances will be applicable from early 2017-18.
Comptroller and Auditor General plans to audit the effect of note ban and the impact it has on the government’s tax revenues. The CAG is gearing up to audit the tax revenues under the one tax regime, and has already started capacity building while and reorienting its methodologies. CAG has full authority of jurisdiction over any body or any authority related to government revenues and expenditures. CAG audit may peek into expenditure of printing new notes, banking transaction data & RBI dividend data.
The review done in the shadow of demonetisation indicates that the December quarter Current Account Deficit was affected by this massive reform move, carried out to flush out black money. The research report said massive jump in travel receipts and the lower outward remittances have attributed to this. In a statement, the report said, "There are two distinct trends in the current account deficit data print - lower outward remittances and higher travel receipts - and this could be attributed to note ban". demonetisation indicates that the December quarter CAD was affected by this massive reform move, carried out to flush out black money.
The Finance Ministry, on Friday, held a meeting with bankers to mull over the issue of excess liquidity in the economic cycle, and its channelisation. Introduction of the standing deposit facility was also discussed in the meeting. SDF is also known as a tool for absorbing surplus liquidity without any collateral.
Dismissing speculations of inflationary trends as an effect of the imposition of GST, the FM Arun Jaitley announced on March 29, 2017, that the tax rate applicable will remain unchanged even after the imposition of GST.
The Reserve Bank is likely to keep key interest rates unchanged on April 6, while there is scope for a rate cut in the August meet on slow growth and benign inflation, says a report. The RBI shifted to a neutral stance from accommodative in February and this, in turn, may prompt the central bank to hold rates in the ensuing meet early next month.
Hailing the passage of four GST Bills in the Lok Sabha as a step closer to the implementation, industry stakeholders on Thursday said that the government needs to step
up work on fitment of commodities in tax slabs to ensure a smooth roll-out by July 1 � TOP CORPORATE NEWS -
Jindal Steel and Power Limited board is planning to consider various modes of fund raising by way of preferential allotment of securities to different entities including the promoter or promoter group entities. Engineering conglomerate, Larsen & Toubro, on Tuesday, said that its construction arm L&T Construction, has bagged a major design and build order worth Rs. 2903 crore. The order is for the Maharashtra Housing and Area Development Authority. National Thermal Power Corporation Limited , has announced that the Company’s board of directors, have approved an investment of estimated Rs. 3004 crore in the Talaipalli Coal Mining project. By issuing bonds, compliant with Basel III standards, the government owned venture, Bank of India, has raised a humongous amount of Rs 1,000 crore. The tier-II bonds, rated AA plus by Brickwork and India Ratings, are likely to generate an interest rate of 8% per annum against the principal. Bharat Heavy Electricals Limited has commissioned a 250 MW Eco-friendly based on Circulating Fluidized Bed Combustion technology by using lignite as a primary fuel. The 250 MW lignite based unit is the 2nd unit to be commissioned at Bhavnagar Energy Company Ltd., in Gujarat. Motherson Sumi Systems Limited today said it has acquired Finland based global auto component major PKC Group Plc for approximately Euro 571 million., a move that will help Mr. Vivek Chaand Sehgal led group to expand its footprint significantly in American and European commercial vehicle market segment Glenmark Pharmaceuticals, a global pharmaceutical company, announced positive results for GSP 301, an investigational fixed-dose combination of mometasone furoate and olopatadine hydrochloride administered twice-daily as a nasal spray being studied for the treatment of seasonal allergic rhinitis.
Rajesh Exports Limited has bagged order for its products, worth Rs. 887 crore . The order has been procured from a global competition after beating an importer from UAE. Minda Industries Limited, an auto component maker, has raised Rs. 300 crore via Qualified Institutional Placement. The firm is a flagship company of Uno Minda Group. The Company exercised its green shoe option, and upsized the issue to Rs. 300 crore, as the proposed initial issue size of Rs. 275 crores was oversubscribed 2x times. Aurobindo Pharma Limited has announced that the company has received final approval from the US Food & Drug Administration to manufacture Abacavir Sulfate and Lamivudine tablets, 600 mg/300 mg. Reliance Industries announced the complete sale of its aggregate stakes of 76% in the East African company, GAPCO, to Total SA of France, on March 29, 2017. However, the sale considerations were not disclosed by the Company. Kalpataru Power Transmission Limited during market hours has announced that it has secured new orders worth Rs 1200 crore. Berger Paints Limited own to a bulk deal and block deal that took place in Tuesday’s trading session. The major promoter in the company, U K Paints India, has increased its stake, in a rejig of promoter holding via a bulk deal mechanism on the stock exchanges. Reliance Infrastructure Limited InvIT fund, which is planning a Rs. 3,000 crore issue in the upcoming month, has got sanction from the National Highway Authority of India. The board of Kotak Mahindra Bank, on Thursday, unanimously approved issue of equity shares, Global Depository Receipts, American Depository Receipts and other permissible securities, to raise capital, upto an aggregate issuance of 6.20 crore equity shares of Rs. 5 each. India’s largest automobile company, Tata Motors, on Friday, announced the launch of JT Special Vehicles Pvt. Ltd., a 50:50 joint venture with Jayem Automotives Pvt. Ltd., for the development of special performance vehicles based on the latest series of products
� TOP BANKING AND FINANCIAL NEWS OF THE WEEK
Axis Bank Limited said its board has approved raising USD 10 million by allotting debt securities through MTN programme to be launched from Dubai international centre. The board of directors of the bank has passed a resolution approving the allotment of 3 year senior floating rate notes aggregating to USD 10 million under the MTN programme. The Supreme Court dismissed the plea of Nashik District Central Cooperative Bank Limited seeking quashing of the RBI letter barring it from exchanging Rs. 371 crore it had deposited in demonetised currency. Falling growth in loans is making banks to look at the possibility of lowering the interest rates on savings bank accounts so as to improve their pre-provision operating profits, investment banking firm Jefferies said. State Bank of India, which would start merger process of five associates and Bharatiya Mahila Bank from April 1, expects integration to be completed in three months. The Centre is set to clear an estimated Rs. 10,000 crore relief package for banks, which are facing the prospect of loans to 25 mega power projects turning sour, because promoters are unable to find buyers for their capacity in the current surplus market condition. Axis Bank Limited has tied up with Wells Fargo, the third largest American bank by assets, to offer real time remittances from the Indian diaspora to their relatives back home. Under the arrangement between the two banks, any member of the Indian diaspora with an account with the Wells Fargo will be able to transfer money to their relatives back home and there will be no transaction fee applicable to the money transfers from USA. The Reserve Bank of India today barred depositors of The Kapol Co-operative Bank from withdrawing more than Rs. 3000 from their savings and current bank account. The regulator also said the troubled co-operative bank will also not be able to grant or renew any loans or advances without prior approval in writing from the Reserve Bank.
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