16:00 Hrs Update: Latest After the Closing Bell!!
Nifty (-34, 10822): Dalal Street was slapped with negativity as most of the momentum stocks traded firmly in the red. There’s a negative mood in the markets right now as the street even ignored positive global cues. Rising oil prices perhaps played a black swan.
By the closing bell, the benchmark Nifty had booked a second day of losses.
Technically speaking and judging by today’s price action at Dalal Street, the benchmark Nifty needs to close above 10871 mark to fuel further optimism. The must watch intraday support for Nifty for Nifty’s trade is at 10719 mark.
The key highlights of today’s trade:
• TCS ended 2.25% lower after its Q3 results. The street is now eyeing INFY’s Q3.
• The benchmark Sensex ended below the 36,000 mark.
• NSE FMCG was top gainer, up 0.61% while NSE REALITY index slipped 1.35%.
• Prominent gainers were: ITC (up 1.76%) UPL (up 1.10%) and WIPRO (up 1.07%).
• Prominent losers were: INDUSIND BANK (down 3.45%) TATA MOTORS (down 3.20%) INFRATEL (down 2.96%). Tata Motors fell 3.18%. The Tata Motors Group global wholesales in December 2018, including Jaguar Land Rover (JLR), were at 100,551 units, lower by 13.9%, as compared to December 2017
• The market breadth, indicating the overall health of the market was negative.
• The NSE Mid-Cap index inched lower 0.22%. The BSE Small-Cap index too slipped 0.36%.
Before we sign off for the day, let’s look at major instruments:
4.00 PM GLOBAL UPDATE:
DOW Futures (+11, 23964)
NASDAQ Futures (-8, 6617)
DAX (-23, 10899)
FTSE (+24, 6967)
OIL (+0.43, $53)
GOLD (+6, $1293)
DOLLAR INDEX (-0.20, 95.35)
COPPER (+46, 5962)
How Asia fared today:
HANG SENG (+146, 26667)
NIKKEI (+196, 20360)
SHANGHAI (+19, 2554)
Nifty (-27, 10795)
Sensex (-97, 36009)
Bank Nifty (-0.27%, 27454)
SGX NIFTY (-42, 10819)
USD/INR (+0.15, 70.54)
15:00 Hrs Update: Where’s the clever money going at 3 PM?
Nifty (-40, 10781):
Long overnight positions not advisable as sluggish trend seen in most of the momentum stocks.
Also, Monday morning action will be dominated by INFY’s Q3 results. Aggressive stock specific buying advised only if Nifty moves above 10871.
Probable BTST/STBT trades
Bullish looking BTST stocks: ESCORTS, COLPAL, BATA, TITAN, VOLTAS, DIVIS LAB, UPL.
Bearish looking STBT stocks: PEL, SRT FINANCE, MARUTI, LIC HOUSING FINANCE, BPCL, CANFINA HOMES.
12:00 Hrs Update: Top Stories at Mid Day
(Nifty 10768, Down 54 points): Negative bids being witnessed at Dalal Street as benchmark Nifty hits fresh intraday low.
• Among sectoral Indices, Metal stocks are in demand 0.59%. Hindustan Copper (up 0.61%), Jindal Steel & Power (up 0.80%), JSW Steel (up 1.14%), NMDC (up 1.26%), Vedanta (up 1.10%) and Hindalco Industries (up 1.42%), edged higher.
• Tata Consultancy Services was trading over 2% lower after the company earned its highest-ever net profit in the seasonally weak third quarter Q3 of 2018-19.
• NSE Advances 20. NSE declines 30.
• The NSE Mid-Cap index is down 0.46 % at 4,858. The NSE Small-Cap index is down 0.38% at 6,390.
• In F&O space, ITC & Hindalco are in green, up 1.73% & 1.67% respectively, while on flip side Tata Motors & TCS are down 1.53% & 2.18 respectively.
• The Rupee opened flat at 70.42 against the US dollar amid fall in crude oil prices and positive Asian equities.
• All eyes on Infosys Q3 results today after TCS reported lower than expected EBIT margin.
10:30 Hrs Update: Pursue Opportunities in Commodities
MCX Crude appears positive, aims 3900 mark.
Gold (+5, 1293). Positive Bias. Buy on corrective declines.
MCX Gold (0.31%, 31980). Hurdles at 32700. Support seen at 31400.
Silver (+0.077, 15.72). Buy on dips. Eyes 16.05 mark.
MCX Silver (+0.45%, 39462) Supports at 38400 and then at 37800. Hurdles at 40000.
Crude Oil (-0.07, 52.50). Crude oil in positive momentum. Support at 49.
MCX Crude Oil (+0.71%, 3704). Hurdles at 3900.
Copper (+0.0019, 2.655). U.S- China trade truce key catalyst.
MCX Copper (+0.72%, 415.35). Downside risk at 404. Hurdles at 436.
10:00 Hrs Update: Crucial Levels on Nifty
Nifty’s (+13, 10,835).
Sluggish action seen for Nifty but the only positive takeaways is that the market breadth, indicating the overall health of the market is positive.
What Technical Tells Us On Nifty:
Nifty’s KEY SUPPORTS: 10791/10719.
Nifty’s KEY HURDLE: 10871/10921.
Nifty’s INTRADAY RANGE: 10,791-10,871.
Nifty’s OUTLOOK FOR THE DAY: Aggressive buying advised above 10871.
09:30 Hrs Update: Make Informed Decisions at 9:30 AM
(Nifty: 10835, UP 13 points): Nifty trades with slight gains in early action amidst lackluster cues in worldwide stock markets. Stocks are also simply seen languishing.
Nifty’s hurdles are now at 10871 and then at 10921 zone.
Amongst stocks on positive side are: HINDALCO (+1.05%, 206) ONGC (+1.01%, 145) BPCL (+1%, 339)
On the negative side are: TCS (-2.35%, 1845) BHARTI AIRTEL (-1.96%, 331) HCL TECH (-1.49%, 922).
09:00 Hrs Update: What Caught our Eye at 9 AM?
DOW FUTURES (-24, 23929)
NASDAQ FUTURES (-17, 6609)
SGX NIFTY (+21, 10882)
NIKKEI (+142, 20306)
HANG SENG (+43, 26564)
SHANGHAI (+3, 2547).
Bulls Vs. Bears: Time to Pick a Side!!
It’s likely to be a risk-on Friday.
Preferred trade on Nifty (10821): Buy at CMP, targeting 10871 and then at 10921 and final aggressive targets at 11111-11275 zone with stop at 10685.
Preferred trade on Bank Nifty (27528): Buy at CMP, targeting 28001 and then aggressive targets at 28451-28575 zone with stop at 27101.
STOCKS TO WATCH:
Bullish stocks: BATA, SBI, TITAN, CUMMINS INDIA & COLPAL.
Bearish stocks: PEL, SRT FINANCE, MARUTI, LIC HOUSING FINANCE, BPCL, HPCL, CANFINA HOMES.
Q3 RESULTS TO TRICKLE IN TODAY: INFOSYS (after market hours), Karnataka Bank, Reliance Industrial Infrastructure, Infomedia Press, TRF.
TCS results for Q3 were uninspiring.
08:00 Hrs Update: Calculus Derivatives Corner
• Nifty January Futures ended Thursday’s session at a premium of +32 against +19.
• The Put- Call Open Interest Ratio was at 1.21 for Nifty whereas it was 1.26 for Bank Nifty.
• The Put-Call Volume Ratio was at 0.93 for the Nifty and 1.00 for Bank Nifty.
• For Nifty, Maximum Call Open Interest (OI) stands at 11000 Strike Price, followed by 11200 Strike Price for January Series. Call writing was seen at strike prices 11000-11250 for January Series.
• Maximum Put Open Interest (OI) was seen at strike price 10500 followed by 10000 strike price for January series. Long build up was seen at strike prices 10800-10900 for January Series.
• For Bank Nifty, Maximum Call Open Interest (OI) stands at 27000 Strike Price and Maximum Put Open Interest stands at 27500 Strike Price.
• As per Thursday’s Provisional Data available on the NSE, FII’s sold shares worth Rs. 344.58 crores in the Indian Equity Market. DIIs on the other hand, bought shares worth Rs. 10.98 crores in the Indian Equity market.
• Long Buildup: SOUTH BANK, TATA MOTORS, TITAN, MUTHOOTFIN, BATAINDIA.
• Short Buildup: IOC, DHFL, HEXAWARE, BAJFIN, IBHSGFIN.
• Short Covering: YES BANK, VGUARD, PIDILITE, RAYMOND, KSCL.
• Long Unwinding: UBL, MINDTREE, GRASIM.
• Stocks banned in F&O segment for today: ADANI POWER, JET AIRWAYS.
07:00 Hrs Update: Know What Matters at Dalal Street!!
DOW (+123, 24002)
NASDAQ (+29, 6986)
SGX NIFTY (+49, 10910)
NIKKEI (+222, 20386)
HANG SENG (+30, 26551)
BOVESPA (+193, 93806)
OIL (-0.37, $52.23)
GOLD (+2, $1289)
SUCCESSFUL INVESTING IS ANTICIPATING THE TRENDS OF:
NIFTY’s CRUCIAL LEVELS:
Nifty’s CURRENT MARKET PRICE: 10,822.
Medium Term: 10,551/10,333.
Long Term: 9,951.
Medium Term: 11,111/11,751.
Long Term: 12,001.
Medium Term: 10,501-11,111.
Long Term: 9,951-11,701.
Medium Term: Neutral.
Long Term: Positive.
Our call of the day suggests the benchmark Nifty with interweek perspective should flirt with its bullish line in the sand i.e. 11,000 mark. Technically, if this 11,000 mark is breached then that could signal further gains ahead. The way ahead is higher.
Our chart of the day establishing buy positions in stocks like BATA, COLPAL & TITAN with interweek perspective.
IMPORTANT THEMES OF THE DAY:
SGX Nifty is seen well above the dotted lines buoyed by positive overnight close at Wall Street on backdrop of optimism about a U.S.-China trade deal. Also helping sentiments were Federal Reserve Chairman Jerome Powell reiterating central bank’s commitment to proceeding with caution on the monetary policy.
The bulls have an upper hand in the ongoing tug-of-war between discouraging fears of tepid global growth and encouraging statements from the Federal Reserve chairman.
Expect bullish day out as sentiments at the time of writing are indicating that this bull market has legs even with rising crude-oil prices and concerns that the partial U.S government shutdown will continue for some time.
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