INDEX PULLERS & DRAGGERS

Transcription

1 Market Recap There was a roller coaster ride in the domestic markets on the back of tug of war between the bulls and the bears. Ultimately the bulls succeeded in breaking the losing streak as the benchmark indices closed the session with decent gain. The index NIFTY spot managed to close above the 7400 mark. Although the session was extremely volatile but the broader trend remain positive for the day on the hopes that US interest rates may not rise soon and a sharp recovery in the crude oil prices aided the sentiments. Throughout the day NIFTY travelled almost 300 points considering all the swings on the intraday chart. The overall market breadth turned negative as the day progressed. On the global front, European indices like FTSE (+1.23%), CAC (+0.33%) and DAX (+0.48%) were trading with marginal gains while the time the report was made. The Asian Indices like NIKKIE (-0.86%), HANGSENG (+1.00%) and SHANGHAI (+1.53%) closed with mixed trend. On the sectoral front, NIFTY PHARMA (-1.13%) remained under sheer pressure which were followed by NIFTY MEDIA (-1.20%) and NIFTY PSU BANK (-0.79%) stocks. From the list of gainers, NIFTY METAL (+2.75%) stocks were the biggest gainers. Indices like NIFTY INFRA (+1.03%) and NIFTY CPSE (+1.02%) too supported the markets. The broader markets again suffered heavily as the MIDCAP (-0.81%) and SMALLCAP (-1%) indices closed in red. In the money market, except USDINR most of the other currency pairs closed in green due to weakness in the greenback. Key Market Data Points Name High Low Range Sensex Nifty Spot Nifty Future VIX Name Sentiment Indicators Day Prm/Disc PCR () PCR (Vol) On the stock front, Hexaware Technologies jumped more than 7% after the company reported Q4 December 2015 after trading hours yesterday. On the other hand, most of the pharma stocks remained under pressure after the United States government reportedly made it mandatory for Active Pharmaceutical Ingredients to be manufactured locally. Pullers CMP INDEX PULLERS & DRAGGERS Weightage INFY HUL (1.19) Tata Mot (4.14) Draggers CMP Weightage Lupin (3.02) (5.83) ITC (0.09) (3.34) Reliance (0.58)

2 MARKET BREADTH SECTORAL ANALYSIS NSE Today % Highest Performer % Lowest performer % Advance % Declines % A/D Ratio % CNXMET Index CNXMED Index CNXMNC Index CNXPHRM Index CNXINFR Index CNXSMCP Index Key Takeaways Today advancing counters have increased significantly while declining stocks dropped marginally. However overall market breadth has remained weak. On the sectoral front Metal sector can witnessed short covering rally, on the flipside Media sector has become weak.. During the second half we witnessed that, Metal 0.71%, MNC 0.04% were positive, on the contrary Media %, Smallcap % & Midcap % sectors were under pressure. **(the above mentioned % change are just for second half i.e. after 1PM) On the F&O stocks front stocks like, VEDL 2.54%, Pidilite 1.80% & JSW Steel 1.74% outperformed the markets. On the other hand, Wockhardt -6.39%, Rel Infra 6.14% & KSCL 6.14% went through some correction. **(the above mentioned % change are just for second half i.e. after 1PM) OPEN INTEREST (`000) Openinterest Nifty 30,000 25,000 20, Key Takeaways The Nifty February Fut. closed at , with a premium of against premium of 21.7 points. The open interest tripped over 2.10% with a rise in price, indicating short covering. 15,000 10,000 5, The total volumes in futures & options is positioned at Lakh contracts with a turnover of Rs. 2,18,997 cr., with a drop of 10%. Today VIX closed flat at levels.,0 1/6 1/8 1/12 1/14 1/18 1/20 1/22 1/27 1/29 2/2 2/4 5100

3 NIFTY OPTION OPEN INTEREST CE PE On the option front highest call base for the Feb series is at 7600 strike with Lakh shares. On the other hand highest PUT base is at 7400 strikes with Lakh shares. Long Build-Up HEXAWARE ,768, L , JISLJALEQS ,896, NIFTYIT , Short Build-Up TORNTPHARM , ARVIND ,090, SAIL ,401, NTPC ,620, Short Covering UBL , APOLLOTYRE ,019, TATAPOWER ,120, HEROMOTOCO ,064, Liquidation BAJFINANCE , HAVELLS ,194, LUPIN ,705, AJANTPHARM , Long Build Up:- Rise in Price & Rise in Short Build Up:- Fall in Price & Rise in Liquidation:- Fall in Price & Fall in Short Covering:- Rise in Price & Fall in

4 F&O Price Gainers & Losers VEDL ,252, HEXAWARE ,768, MOTHERSUMI ,276, CAIRN ,807, WOCKPHARMA ,036, RELINFRA ,044, JETAIRWAYS ,673, KSCL ,698, FII Derivatives Statistics BUY SELL at the end of the day. of contracts Amt (in Cr.). of Contracts Amt (in Cr.). of Contracts Amt (in Cr.) INDEX FUTURES INDEX OPTIONS STOCK FUTURES STOCK OPTIONS Volume and Turnover News Updates Product. of contracts Turnover (in Cr.) Sensex ends higher by 115 points; metal, capital goods stocks shine. Index Futures 2,91,534 15, Stock Futures 6,37,809 28, Index Options 29,12, , Stock Options 3,51,109 16, F&O Total 41,92, , China stocks rebound as dollar tumble eases yuan depreciation fears. Lafarge to quit India, puts entire 11 mtpa on the block. MphasiS rallies 6% as PE investors look to buy stake. Pfizer surges 5% as Q3 net profit rise over two-fold. Tata Motors gains after JLR US sales rise in January.

5 Stocks In Action Stock View CMP TGT Rationale M&M FUT Bearish On January 07, 2016 we witnessed a breakdown from a rising trend line on the daily chart of M&M Fut below the 1220 mark. Later on the stock tumbled and registered the recent low of 1102 and recovered sharply. At this point in time the stock is back to 1200 mark but facing strong resistance at the extension of that same trend line. In addition, the stock is facing resistance formed by the placement of 89 Day EMA. A move below 1190 can bring back the downside momentum. Therefore we advise traders to go short in M&M Fut below 1190 for the downside target of On the upside, the stop loss should be placed above 1225 mark. CONCLUSION Throughout the day Nifty recorded choppy moves and ultimately closed above 7400 mark. The optimistic point to note is that Nifty FUT. filled up yesterday s negative GAP and respected key support of 7380 level. Today s volatile move resulted into a formation of Doji candlestick pattern on the daily chart, suggesting indecisiveness. Nifty FUT. hold important support at range. Till it continues to hold above these levels, the short term trend is likely to remain sideways to positive. Whereas on the upside, buying strength could emerge in the market above 7490 levels on a sustained basis and can see more momentum towards 7600 / levels. Caution is advised below 7320 levels. Even Bank Nifty has taken support at swing low of levels. Going forward, Bank Nifty need to fill the negative GAP (recorded in last sessions) placed in the range of levels. Only then we can see pullback in Bank Nifty towards / levels. On the other hand support can be seen at levels. Even today FII s remained bearish in the cash market, they sold 196 Cr. while DII s bought 476 cr. On the F&O front FII s were buyer, they bought to the tune of 1502 Cr. They bought 890 cr. in the Index Futures, 579 cr. in Index Option, with a rise in open interest, suggesting long build up. On the derivative front, highest activity was seen in 7500 CE to 7700 CE, while on the PUT side activity was seen in 7400 PE PE. The 7600, 7700 & 7500 strikes Call added 8.99, 6.42 & 5.46 lakh shares respectively. Whereas, 7400 & 7200 PE added 3.97 & 3.56 lakh shares respectively. On the flipside unwinding was seen in 7900 CE & 7500 PE. Nifty appears to have taken breather at lower levels. Going ahead Nifty Fut. is likely to confine within the range of 7380 on the downside & 7620 on the upside. Anticipating high volatility in coming sessions, in last session we had initiated short on Nifty 7400 Straddle with an inflow of 245 which is on hold. We further advice traders to remain light on their positions and wait for further development to initiate a positional trade. Till then keep a stock centric approach. Forthcoming Results 3MINDIA BI DYNAVSN INRADIA MUNJALSHOW PRECISIO SAPL SUNDRMBRAK WHIRLPOOL AARTIDRUGS BIRLAPREC EICHERMOT INTECCAP NATNLSTEEL PRIMAPLA SDBL TAIIND YASHPPR AARTIIND BOMBCYC EKAMLEA JENSONICOL NDTV PROZONINTU SEL TAKE YUKEN ABHICAP BOSCHLTD ELGIEQUIP KANANIIND NENFRA PTC SHARDA TATAINVEST ZHEMHOLD AIL CADILAHC EMMESSA KANSAFB NIMBSPROJ QPRO SHRIDINE TATAPOWER ZSOUTGAS AMBARPIL CAPPL ENKEIWHEL KGDENIM NITCO RADICO SINGER TOKYOFIN ZUARI ARISINT CAPRIHANS GANONTR KHAICHEM NKIND RAMAVISION SMLISUZU TOKYOPLAST ZUARIGLOB ASHIMASYN CARBORUNIV GAYATRI LANDMARC NORTHPR RATNAMANI SOBHA TRIL BENGALS DIVISLAB ASUTENT CAREERP GOKAKTEX LIBORD NRBBEARING RBGUPTA SONASTEER TTL MERCANTILE AURUMSOFT CLARIS GOODYEAR LIBORDFIN OCTAVE RELCHEMQ SPECIALITY UBHOLDINGS INDICAP AUTOPINS COX&KINGS GOPALA LUPIN ORIENTREF RESPONIND SPTRSHI UNQTYMI PRABHAT BAGADIA CPL GTNINDS MADHUDIN OSCAR RICOAUTO SRGHFL V2RETAIL SANGHVIMOV BAGALKOT DEEPAKNI GUJPETR MANINFRA POLYCON RJL SSDUNC VIJAYABANK STERPOW BALLARPUR DICIND HOWARHO MCCHRLS-B PONDYOXIDE RUCHISTR SSLEL WATERBASE WESTLIFE BAPACK DISHMAN INDIAHOME MCDHOLDING PONNIERODE SADBHIN STEELCO WELENT

6 Disclaimer: This document has been prepared by IndiaNivesh Securities Limited ( INSL ), for use by the recipient as information only and is not for circulation or public distribution. INSL includes subsidiaries, group and associate companies, promoters, employees and affiliates. This document is published in accordance with Regulation 18 of the Securities and Exchange Board of India (Research Analysts) Regulations, INSL researches, aggregates and faithfully reproduces information available in public domain and other sources, considered to be reliable and makes them available for the recipient, though its accuracy or completeness has not been verified by INSL independently and cannot be guaranteed. This document is not to be altered, transmitted, reproduced, copied, redistributed, uploaded or published or made available to others, in any form, in whole or in part, for any purpose without prior written permission from INSL. This document is solely for information purpose and should not to be construed as an offer to sell or the solicitation of an offer to buy any security. Recipients of this document should be aware that past performance is not necessarily a guide for future performance and price and value of investments can go up or down. The suitability or otherwise of any investments will depend upon the recipients particular circumstances. INSL does not take responsibility thereof. The information contained in this document has been obtained from sources that are considered as reliable though its accuracy or completeness has not been verified by INSL independently and cannot be guaranteed. INSL has not independently verified all the information contained within this document. The research analysts of INSL have adhered to the code of conduct under Regulation 24 (2) of the Securities and Exchange Board of India (Research Analysts) Regulations, thing in this document constitutes investment, legal, accounting and/or tax advice or a representation that any investment or strategy is suitable or appropriate to recipients specific circumstances. INSL does not accept any responsibility or whatever nature for the information, assurances and statements given or made available herein or for any omission or for any liability arising from the use of this document. Information mentioned is the current information as of the date appearing on this document only. INSL directors/ employees and its clients may have holdings in the stocks mentioned in the document. This report is based on technical and derivative analysis on studying charts of a stock's price movement, outstanding positions and trading volume, as opposed to focusing on a company's fundamentals and, as such, may not match with a report on a company's fundamentals. Following table contains the disclosure of interest in order to adhere to utmost transparency in the matter. Disclosure of Interest Statement 1. Details of business activity of IndiaNivesh Securities Limited (INSL) INSL is a Stock Broker registered with BSE, NSE and MSEI in all the major segments viz. Cash, F & O and CDS segments. INSL is also a Depository Participant and registered with both Depository viz. CDSL and NSDL. Further, INSL is a Registered Portfolio Manager and is registered with SEBI. 2. Details of Disciplinary History of INSL disciplinary action is / was running / initiated against INSL 3. Whether Research analyst or INSL or its relatives /associates is holding the securities of the subject company Please refer to the important 'Stock Holding Disclosure' report on the IndiaNivesh website (Investment Research Section link). Also, please refer to the latest update on respective stocks for the disclosure status in respect of those stocks. INSL and its affiliates may have investment positions in the stocks recommended in this report. 4. Research analyst or INSL or its relatives /associates financial interest in the subject company and nature of such financial interest 5. Research analyst or INSL or its relatives /associates actual/beneficial ownership of 1% or more in securities of the subject company, at the end of the month immediately preceding the date of publication of the document. Please refer to the important 'Stock Holding Disclosure' report on the IndiaNivesh website (Investment Research Section link). Also, please refer to the latest update on respective stocks for the disclosure status in respect of those stocks. INSL and its affiliates may have investment positions in the stocks recommended in this report. 6. Research analyst or INSL or its relatives /associates any other material conflict of interest at the time of publication of the document 7. Has research analyst or INSL or its associates received any compensation from the subject company in the past 12 months 8. Has research analyst or INSL or its associates managed or co-managed public offering of securities for the subject company in the past 12 months 9. Has research analyst or INSL or its associates received any compensation for investment banking or merchant banking or brokerage services from the subject company in the past 12 months 10. Has research analyst or INSL or its associates received any compensation for products or services other than investment banking or merchant banking or brokerage services from the subject company in the past 12 months 11. Has research analyst or INSL or its associates received any compensation or other benefits from the subject company or third party in connection with the document. 12. Has research analyst served as an officer, director or employee of the subject company 13. Has research analyst or INSL engaged in market making activity for the subject company 14. Other disclosures INSL, its affiliates, directors, its proprietary trading and investment businesses may, from time to time, make investment decisions that are inconsistent with or contradictory to the recommendations expressed herein. The views contained in this document are those of the analyst, and the company may or may not subscribe to all the views expressed within.