Market Recap It was a complete alarming kind of session for the traders on the D Street. After a stable opening, the index NIFTY remained flat during the first half with the individual stocks outperforming the markets. However, the sturdy supply zone of 7510 made all the efforts by the bulls go in vain since the index tumbled more than 100 points in the later part of the session. The selloff came mainly from the European indices which were trading with heavy loss and also from the US futures DOW JONES which turned -200 from +60 points in few moments. In addition, the participants turned careful ahead of the crucial GDP data, which is due later in the day. As a result, NIFTY closed below 7400 mark with a loss of 102 odd points. On the global front, European indices like FTSE (-1.93%), CAC (-2.69%) and DAX (-2.85%) were trading with heavy loss while the time the report was made. The Asian Indices like NIKKIE (+1.09%), HANGSENG (closed) and SHANGHAI (closed) ended with decent gains in the absence of the Chinese markets which are shut due to Lunar New Year. On the sectoral front, almost all the sectors which were trading in green during the first half unfortunately closed with heavy loss in the end. From the list of gainers, PSU BANK (+2.10%) stocks managed to preserve some of their gains along with the REALTY (+0.20%) counters. The broader markets too reversed their gains as the MIDCAP (-0.36%) and SMALLCAP (-0.02%) indices closed with marginal loss. In the money market, most of the currency pairs turned green indicating severe pressure in the INR. On the stock front, government's latest efforts to boost domestic steel sector augur well for PSU banks as they have significant exposure to the steel sector. As a result, most of the PSU BANK stocks ended with superior gains. On the other hand, NIFTY IT (-2.01%) stocks underwent correction due to profit booking. Pullers CMP INDEX PULLERS & DRAGGERS Weightage Bosch 16384.30 1.73 11.22 (2.76) Axis Bank 408.90 2.05 1.72 (5.64) SBIN 172.35 1.98 1.50 (6.55) Key Market Data Points Name High Low Range Sensex 24699 24197 502 24287 24617 Nifty Spot 7513 7363 149 7387 7489 Nifty Future 7535 7370 165 7393 7519 Draggers VIX 20.45 17.36 3.09 20.26 18.12 Name Sentiment Indicators Day Prm/Disc 6.2 30.1-23.90 PCR () 0.79 0.83-0.04 PCR (Vol) 0.90 0.78 0.12 CMP Weightage TCS 2366.95 (2.69) -28.95 1.85 INFY 1150.10 (2.50) -25.35 0.44 Tata Mot 324.65 (4.15) -22.07 4.31
MARKET BREADTH SECTORAL ANALYSIS NSE Today % Highest Performer % Lowest performer % Advance 729-31.36% Declines 822 67.76% A/D Ratio 0.89-59.08% CNXPSBK Index 2.1 3.63 CNXIT Index -2.01 0.12 CNXREAL Index 0.2 1.2 CNXFMCG Index -1.44 0.99 CNXSMCP Index -0.02 1.88 CNXNRG Index -1.37-0.07 Key Takeaways Today advancing counters have tumbled while declining stocks risen. Therefore overall market breadth has turn into negative. With today s price action FMCG & Energy sector has become weak and likely to plunge further. During the second half we witnessed that, all sectors were in red lead by PSU Bank -3.56%, Bank Nifty -2.33% & Financial Servcies -1.98% 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, Adani Ent 0.87%, M&M Fin 0.46% & Godrej CP 0.31% outperformed the markets. On the other hand, Can Bank -4.77%, DLF -4.38% & DHFL 4.24% 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 20,000 8100 7600 7100 Key Takeaways The Nifty February Fut. closed at 7393, with a premium of 6.2 against premium of 37.90 points. The open interest tripped over 4.36% with a fall in price, indicating short build-up. 15,000 10,000 6600 6100 The total volumes in futures & options is positioned at 42.01 Lakh contracts with a turnover of Rs. 2,21,963 cr., with a fall of 4%. 5,000,0 1/7 1/11 1/13 1/15 1/19 1/21 1/25 1/28 2/1 2/3 2/5 5600 5100 Today VIX closed flat at 20.26 levels, up by 12%. The current move of VIX is suggesting that it can head towards 22-23.6, indicating weakness in the market.
6800 6850 6900 6950 7000 7050 7100 7150 7200 7250 7300 7350 7400 7450 7500 7550 7600 7650 7700 7750 7800 7850 7900 7950 8000 Monday, February 08, 2016 NIFTY OPTION OPEN INTEREST 8000000 6000000 4000000 2000000 0 CE PE On the option front highest call base for the Feb series is at 7600 strike with 66.20 Lakh shares. On the other hand highest PUT base is at 7400 strikes with 48.68 Lakh shares. Long Build-Up HDIL 73.05 3.62 16,872,000 13.75 ACC 1281.15 0.58 4,738,875 11.01 CANBK 196.15 2.03 13,260,000 4.33 UCOBANK 35.8 2.73 12,100,000 4.31 Short Build-Up DHFL 174.3-2.84 6,666,000 8.76 JUSTDIAL 529.45-5.10 3,243,000 8.44 IRB 234-1.04 5,678,400 6.16 L 336.1-2.07 949,200 5.05 Short Covering EXIDEIND 126.1 1.82 8,853,600-7.07 SBIN 172.35 1.98 86,536,000-6.55 AXISBANK 408.9 2.05 41,736,000-5.64 TATACHEM 372.45 1.72 4,961,000-5.47 Liquidation BAJFINANCE 6637.75-1.08 188,125-5.58 UBL 816.5-0.26 815,500-4.34 AMARAJABAT 870.9-1.49 738,000-4.13 YESBANK 769.7-1.36 12,611,200-3.88 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
F&O Price Gainers & Losers BANKINDIA 101.15 4.01 19,623,000-1.89 JETAIRWAYS 595.5 3.88 5,006,700-2.71 HDIL 73.05 3.62 16,872,000 13.75 KSCL 360.25 3.08 2,715,000-2.06 JUSTDIAL 529.45-5.10 3,243,000 8.44 DIVISLAB 1069.6-4.15 2,584,800-1.12 TATAMOTORS 324.65-4.15 29,854,500 4.31 JINDALSTEL 61.5-3.68 47,082,000 3.62 Volume and Turnover News Updates Product. of contracts Turnover (in Cr.) Sensex plunges 329 points on weak global cues; traders remain wary ahead of GDP data. Index Futures 3,25,277 16,891.16 Stock Futures 5,56,952 25,292.05 Index Options 29,84,284 164,251.15 Stock Options 3,34,211 15,528.18 F&O Total 42,00,724 221,962.55 European shares hit lowest level since October 2014. Trai backs net neutrality, says no to differential pricing for data by service providers. Geometric surges on December quarter earnings. Tata Steel erases losses, ends in green, despite posting Rs 2,127 cr loss in Q3 Jet Airways flies 8% on record quarterly net profits. Stocks In Action Stock View CMP TGT Rationale HDFC FUT Bearish 1161 1080 On January 11, 2016 we witnessed a breakdown below 1175 mark on the daily chart of HDFC. The breakdown was from a pattern called Symmetrical Triangle and the stock corrected towards 1125 mark. Later on the stock rebounded back to 1200 mark and found resistance exactly at the extension of the pattern. In today s session, again the counter under went selling pressure and gave a breakdown below 1160 level indicating a continuation of the bearish implication of the triangle pattern. Therefore we advise traders to go short in the stock at cmp for the downside target of 1120-1080. On the upside, the stop loss should be placed above 1195 mark.
CONCLUSION Even after opening on a positive note Nifty failed to sustain above supply zone 7500 mark (as discussed in Nivesh Prime Time) and with a combination of profit booking & fresh shorting Nifty closed below 7400 level. The aggravating point is that, in last six session s benchmark index Nifty tried to sustain above short term moving averages twice but each time it encountered supply from higher levels. Another important point to note is that India VIX has once again closed above 20 and likely to head toward 22 23.60 range, suggesting high volatility. On a daily chart Nifty has formed a Bearish Engulfing Candlestick pattern, indicating selling pressure. Nifty has crucial support in the range of 7350 7310. If Nifty manages to hold on this range then we could witness extension of ongoing pullback. In case index fails to do so and closes below 7320 mark then there could be further selling pressure which can drag index to 7235 / 7120 levels. On the flipside, resistance is placed at 7430 / 7490 7510 /7620 levels. Even Bank Nifty recorded profit booking and eventually closed near term moving average. Going forward, support for the Bank Nifty is placed at 14860 14750 levels. On the other hand resistance can be seen at 15110 -- 15370 levels. Looking at pressure in the benchmark indices, FII s selling activity was restrained to of 86 cr. in the equity market, while DII s bought 279 cr. On the F&O front FII s were net buyer, they bought 311 cr. in the index option segment & 439 Cr. in the stock futures. Meanwhile they sold 213 cr. in the Index futures, with marginal fall in open interest. On the derivative front, activity was seen in 7500 CE to 7600 CE, while on the PUT side activity was seen in 7400 PE -- 7200 PE. The 7600, strike Call added 10.11 lakh shares. Whereas 6800 PE added 3.52 lakh shares. On the flipside unwinding was seen in 7500 PE & 7400 PE, to the tune of 6.52 lakh & 3.58 lakh shares. Looking at the above mentioned technical, derivative & statistical data, its evident that the market is not ready to go up as well as not ready to go down. It's moving in narrow range. Therefore At this juncture, a prudent strategy would be to continue with a stock centric approach. Subsequently we also recommend holding our long call on NIFTY, Bank Nifty & short on NIFTY 7400 straddle, with a strict stop loss. Forthcoming Results ADCON AXONVL DEEPAKSP FMNL HINDMILL KANORICHEM MMWL PATINTLOG PUNJCOMMU SBECSYS ADITYA BENGALASM DENABANK GAIL HINDUJAFO KARMAENG MODAIRY PATSPINLTD PVP SBL ADORMUL BHARATFORG DEVITRD GANGAPA HINDWRS KARUNACAB MODI PDUMJEIND RAGHUSYN SCAGRO ADORWELD BIMETAL DFL GARWARPOLY HIRAN KIFS ML PDUMJEPULP RAMANEWS SCC ADSDIAG BIRSHLEDU DHAMPURSUG GENESYS HSGIL KIRIINDUS MOTHERSUMI PENNARALUM RAMCOCEM SCFL AIIL BNALTD DHANFAB GINNIFILA IMFA KRATOSENER MPCOSEMB PFC RAMCND SEAMECLTD ALBK BRITANNIA DHANUKA GISOLUTION INDRAMEDCO KSHITIJ MRPL PHOENIXTN RAMCOSYS SEZAL AMCND BSELINFRA DHPIND GLITTEKG INDTONER KSK NELCAST PICTUREHS RAMMA SFCL AMITINT BUTTERFLY DREDGECORP GLXYENT INDUNISS LORDSCHLO NESCO PIONRINV RANEHOLDIN SGL ANKUSHFI BWLLTD DRREDDY GMDCLTD INTEGFD MAGMA NFL PLASTIBLEN REALSTR SHBCLQ APOLLOTYRE CALSREF DYNAMIND GODAVARI INTEGSW MALUPAPER NGLFINE PNB RENUKA SHK ARCHIES CENTRALBK ECSTSTL GRMOVER INTLCONV MANDHANA NITINSPIN PODDARDEV RISHILASE SHREEGANES ARTEFACT CESC EMCO GTNTEX IVP MAYURUNIQ OLPCL POLYLINK RISHIROOP SHREETULSI ASHAPURMIN CHLLTD ENBETRD GUJFLUORO JAIMATAG MEGACOR OMANSH POPULARES RISHITECH SIMPLXMIL ASHIANA CINELINE EROSMEDIA GUJINV JAYCH MELSTAR OMAXE PRECISION SAIL SLSTLQ ASTAR CRISIL ESSARL GULFLLUB JDORGOCHEM MERCURYLAB ORIENTCQ PRECWIRE SAMLEPU SONATSOFTW AUROLAB CYBERMAT FGP HARLETH JETKINGQ MICROSEC PANCM PRESTIGE SARTHAKGL SPECMKT AUROPHARMA DAIKAFFI FIVEX HGS JUBILANT MINDACORP PANORAMUNI PRSNTIN SAVFI STCINDIA AUSTRAL DECCANCE FLEXITUFF HINDALCO KAIRA MISHKAFIN PARACABLES PSL VEERENRGY UMESLTD VEERHEALTH VINDHYATEL VMART WEIZMANIND YASHRAJC SUNSHIEL TANTIACONS UNIPLY TALBROSENG SUNCLAYLTD VICEROY VIPUL VOLTAMP WINDMACHIN STELLANT SUPRAJIT TCIIND UNIVCABLES WMINIMT WEIZFOREX VIDHIDYE VISTAPH WAGEND WINSOMTX STONEIN SURYAKR TIMKEN VAGHANI VLSFINANCE VINAYAKPOL
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