Epic research special report of 02 sep 2015

DAILY REPORT

2nd

SEPT. 2015

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Global markets at a glance Turmoil returned to Wall Street on Tuesday after a brief rest, with renewed concerns about China's economy push-ing major indexes down almost 3 % and intensifying fears of a long-term selloff. The S&P 500 is now 10% lower than its May record high, with the prospect of slowing global growth and an impending US interest rate hike curtailing a robust bull run that saw the index gain over 200% from the depths of the financial crisis in 2009. Tuesday's was the S&P's worst drop since Aug. 24, when it slumped 3.94% after three days of increasingly volatile losses. The DJI aver-age fell 2.84 % to end at 16,058.35 while the S&P 500 lost 2.96% to 1,913.85 points. The Nasdaq dropped 2.94 % to 4,636.11. Declining issues outnumbered advancing ones on the NYSE by 2,666 to 422. On the Nasdaq, 2,291 issues fell and 563 advanced. The S&P 500 index showed no new 52-week highs and 14 new lows, while the Nasdaq recorded 12 new highs and 57 new lows. Volume was lighter than in recent days. About 8.9 billion shares traded on US ex-changes, compared to an average of 9.4 billion in the past five sessions. Asian shares got off on the back foot on Wednesday after weak manufacturing activity reports from both the U.S. and China sent Wall Street reeling, while the dollar steadied after steep losses. MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS was down 0.4 % in early trade, while Japan's Nikkei stock index shed 0.8 %. Previous day Roundup Global worries and lower than expected GDP & core sector data hit Dalal Street once again on Tuesday. Equity bench-mark indices crashed more than 2% on fears of slowdown in China. All sectors ended in the red with banks being worst hit. The Sensex crashed 586.65 pts to 25,696.44 after hitting day's low of 25579.88 (down 703pts). The Nifty closed below 7800-mark, losing 185.45 points to 7785.85 after seeing an intraday low of 7746.50. The broader mar-kets too declined 2% each. The market breadth was also weak as about 2081 shares declined against 604 shares ad-vanced on the BSE. Index stats The Market was very volatile in last session. The sartorial indices performed as follow; Consumer Durables [down 272.67pts], Capital Goods [down 442.05pts], PSU [down 183.91pts], FMCG [down 135.28pts], Realty [down 39.93pts], Power [down 38.28pts], Auto [down 472.84Pts], Healthcare [down 263.78Pts], IT [down 114.35pts], Metals [down 241.28pts], TECK [down 81.41pts], Oil& Gas [down 187.02pts].

World Indices

Index Value % Change

D J l 16058.35 -2.84

S&P 500 1913.85 -2.96

NASDAQ 4636.10 -2.94

FTSE 100 6058.54 -3.03

Nikkei 225 18309.43 +0.70

Hong Kong 20869.48 -1.49

Top Gainers

Company CMP Change % Chg

BAJAJ-AUTO 2,252.00 19.30 0.86

ACC 1,341.85 7.00 0.52

SUNPHARMA 903.00 4.05 0.45

AMBUJACEM 207.50 0.30 0.14

Top Losers


PNB 134.40 10.45 -7.21

BANKBARODA 172.65 12.10 -6.55

KOTAKBANK 613.50 38.20 -5.86

HINDALCO 75.70 4.35 -5.43

Stocks at 52 Week’s HIGH

Symbol Prev. Close Change %Chg

DISHMAN 226.00 4.00 1.80

DSKULKARNI 122.00 -2.20 -1.77

TORNTPHARM 1,638.00 31.00 1.93

Indian Indices


NIFTY 7786.85 -185.45 -2.33

SENSEX 25696.44 -586.65 -2.23

Stocks at 52 Week’s LOW

Symbol Prev. Close Change %Chg

ACC 1,341.85 7.00 0.52

FEDERALBNK 59.05 -2.35 -3.83

IDFC 128.75 -1.20 -0.92

MOIL 204.00 -4.30 -2.06

SAIL 47.00 -2.75 -5.53

VIJAYABANK 35.55 -0.45 -1.25

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DAILY REPORT

2nd

SEPT. 2015


STOCK RECOMMENDATION [CASH]

1. HIMATSEIDE {CASH}

Despite of weakness in market today HIMATSEIDE finished around 2% gain while on EOD chart it respecting to sup-port of 179 from last three session and making higher highs since stochastic positive cross over and RSI trailing above 50 so it will be good to buy around 180-183 use stop loss of 175 for target of 188-193-200

MACRO NEWS

Aug sales: Maruti, M&M miss target; Leyland, Enfield strong -Maruti Suzuki has sold 1,17,864 vehicles in Au-gust, a growth of 6.4% over a year-ago period driven by Ciaz, S-Cross and Alto Automatic but impacted by big fall in compact car sales and lower exports. Overall sales growth was much lower than expected as Nomura esti-mated 9.2% growth yoy at 1.21 lakh units. M&M also missed street expectations with the big fall in tractor sales that impacted overall performance. It sold 47,333 vehicles in the month gone by, lower by 5.7% vs 50,186 units sold in August 2014. Nomura expected M&M to sell 48,650 units. Escorts 's agri machinery segment sold 2,402 tractors in August 2015, lower by 33.7% compared to 3,624 units sold in the year-ago period, impacted by monsoon deficiency. Domestic sales declined 25.2% to 2,355 units while exports during the month dropped drastically to 47 tractors against 477 tractors yoy.

Reliance Capital and Singapore company to sell afford-able luxury products online

Fitch downgrades PNB; affirms ratings of 9 other banks

Axis Bank, ICICI Bank, SBI may see pressure on NIM if they lower base rate further

HDFC Bank slashes base rate by 0.35% to 9.35%

States likely to auction 22 iron ore mines in Oct-Nov

STOCK RECOMMENDATIONS [FUTURE] 1. INFY [FUTURE]

IT share supported to market in first half but as index break 7885 all this made new low INFY Future also finished around 1% loss on daily chart it is facing strong resistance around 1125 before last trading session it given gap up start but from opening level 1136 it slipped and yesterday after mak-ing high of 1118 it finished with inverted hammer since RSI has negative divergence so sell it around 1115-1120 use SL of 1140 for target of 1100-1085-1160. 2. JUST DIAL [FUTURE]

Last week JUSTDIAL Future made life time low of 749.20 af-ter that in last three session it maintain 815 level while in last session it made low of 820 and finished at 846.95 with bullish candle on EOD chart RSI also given positive cross over in over bought zone, so market given bounce then it will be sharply rose so but it around 820-825 for target of 840-860-880 use stop loss of 799.


DAILY REPORT

2nd

SEPT. 2015


FUTURE & OPTION

MOST ACTIVE PUT OPTION

Symbol Op-

tion

Type

Strike

Price

LTP Traded

Volume

(Contracts)

Open

Interest

NIFTY CE 8,200 60.15 4,89,221 37,35,550

NIFTY CE 8,000 125.10 3,74,968 32,34,875

BANKNIFTY CE 18,000 125.50 52,305 5,65,550

SBIN CE 280 2.00 4,307 26,72,000

RELIANCE CE 900 11.55 3,891 7,74,500

SBIN CE 250 8.50 3,691 19,04,000

AXISBANK CE 500 17.00 3,604 6,44,500

ASHOKLEY CE 100 1.65 3,145 54,80,000

MOST ACTIVE CALL OPTION

Symbol Op-

tion

Type

Strike

Price

LTP Traded

Volume

(Contracts)

Open

Interest

NIFTY PE 7,500 126.35 4,60,008 31,98,950

NIFTY PE 7,600 156.95 3,47,928 32,00,575

BANKNIFTY PE 15,500 252.95 44,669 2,45,050

SBIN PE 240 13.10 2,748 9,03,000

RELIANCE PE 840 31.50 2,475 1,99,500

AXISBANK PE 460 16.00 1,966 3,39,500

ICICIBANK PE 270 12.00 1,702 5,01,000

TCS PE 2,500 58.30 1,680 88,250

FII DERIVATIVES STATISTICS

BUY OPEN INTEREST AT THE END OF THE DAY SELL

No. of

Contracts Amount in

Crores No. of

Contracts Amount in

Crores No. of

Contracts Amount in

Crores NET AMOUNT

INDEX FUTURES 103998 2189.68 130551 2887.52 922041 18754.33 -697.85

INDEX OPTIONS 797450 17126.12 753971 16308.60 2982076 71652.14 817.52

STOCK FUTURES 101333 2524.70 108961 2716.60 1772440 43118.92 -191.90

STOCK OPTIONS 75637 1864.19 72714 1797.79 56895 1436.78 66.40

TOTAL -5.83

STOCKS IN NEWS PNB weakest amongst state banks due to NPLs: Fitch

Jet up 3% on ATF price cut by 11.6%, 2nd time in 2 month

YES Bank turns to retail, SME biz to regain market

Jindal Steel shutting down coal mine in Australia

Banks Have To Adopt New Norms On Base Rate Calcu-lation By April 1, 2016

DLF gets shareholder’s nod to raise `7500 cr Petronet to raise `1000 cr via bonds

NIFTY FUTURE Nifty Future because of lower GDP numbers lowered

harshly around 200 points. Though its has a strong sup-port around current levels but the EoD chart shows Nifty may fall a little more from here. So we advise you to sell Nifty below 7790 for the targets of 7670 and 7550 with strict stop loss of 7910

INDICES R2 R1 PIVOT S1 S2

NIFTY 8,003.00 7,894.40 7,820.40 7,711.80 7,637.80

BANK NIFTY 17,196.00 16,863.00 16,649.00 16,316.00 16,102.00


DAILY REPORT

2nd

SEPT. 2015


RECOMMENDATIONS

GOLD

TRADING STRATEGY:

BUY GOLD OCT ABOVE 26900 TGTS 26980,27070 SL BE-

LOW 26800

SELL GOLD OCT BELOW 26750 TGTS 26670,26580 SL

ABOVE 26850

SILVER

TRADING STRATEGY:

BUY SILVER SEP ABOVE 35500 TGTS 35700,36000 SL BE-

LOW 35200

SELL SILVER SEP BELOW 35200 TGTS 35000,34700 SL

ABOVE 35500

COMMODITY MARKET UPDATES:

COMEX Gold rallied sharply today, breaking above $1140

per ounce mark. The commodity stayed supported in over-

night trades amid a massive rally in global crude oil prices

and continued worries over the Chinese economic growth.

Weak undertone in equities also boosted the metal. The

yellow metal had bottomed out in last week as traders eyed

the lax US core inflation data and slightly weak undertone in

the US dollar. Gold edged up further today amid another

downbeat economic data from China and a massive selloff

in global equities. COMEX Gold is quoting at $1147 per

ounce, up 1.28% on the day. MCX Gold isquoting at Rs

26990 per 10 grams, up 1.15% on the day after hitting highs

above Rs 27k.

WTI Crude soared nearly 9% Monday, extending the recent

spate of losses after US oil production data showed output

falling and OPEC said it would talk with other producers

about low prices. International crude oil prices in July suf-

fered their largest monthly decline since Lehman Brothers

collapsed in the US in 2008, marking the onset ofthe global

financial crisis, according to a latest commentary from oil

cartel OPEC. The continuing pressure on prices, brought

about by higher crude production, coupled with market

speculation, remains a cause for concern for OPEC and its

Members — indeed for all stakeholders in the industry.

The trend in MEPS world average stainless steel prices has

been inexorably negative over the past twelve months.

With only a couple of very minor monthly increases, reflect-

ing fluctuations in the LME nickel figure, transaction values

have followed a downward trajectory. The average price for

304 cold rolled coil, this month, is around 28 percent lower

than number recorded one year ago. Basis values, where

applicable, have been quite stable, with only a few small,

mostly negative, adjustments. They remain close to the pro-

ducers’ breakeven figures.

The government has raised the import tariff value on gold

to $369 per 10 grams taking strong cues from the global

market. The tariff value on silver was however reduced to

$471 per kg. In the second fortnight of August, the import

tariff value on gold was $363 per 10 grams and on silver it

was $499 per kg. The import tariff value is the base price at

which the customs duty is determined to prevent under-

invoicing. The tariff value is revised on a fortnightly basis.


DAILY REPORT

2nd

SEPT. 2015


NCDEX

NCDEX ROUNDUP

Following drought like situation in many districts of the state, the Maharashtra government is thinking about pro-hibiting sugar crushing in some regions, according to media reports. The government is also contemplating some restric-tions on sugarcane production in arid areas given the lack of water across state. Marathwada region is facinga heavy shortage of drinking water and the current water reserves have been earmarked only for meeting drinking water needs.

Sugar factories need plenty of water in the crushing process and the current levels of water will simply not be able to prove adequate. Maharashtra's rainfall has been 57% of the average so far, with the region of Marathwadanow grap-pling with the water crisis. The districts which have re-corded the least rainfall of 25% to 50% include Marath-wada's Beed, Latur, Parbhani and Osmabanad.

As per the latest report of Organization for Economic Coop-eration and Development (OECD), Brazil is emerged to be-come the foremost supplier in meeting additional global demand, mostly originating from Asia,” in the decade ahead. The world will want more meat, livestock feed, sugar, and fruit - products that Brazil can supply. Already, the South American giant is one of the leading meat export-ers along with being number one in sugar, coffee, and or-ange juice. It duels with the U.S. for the top spot as soybean grower and exporter.

NCDEX INDICES

Index Value % Change

CAETOR SEED 4164 +0.43

CHANA 4805 +0.33

CORIANDER 10767 -0.37

COTTON SEED 2042 -0.05

GUAR SEED 4213 +3.36

JEERA 15920 -1.36

MUSTARDSEED 4258 -0.19

REF. SOY OIL 576.65 +0.44

TURMERIC 8506 -0.30

WHEAT 1525 +0.73

RECOMMENDATIONS DHANIYA

BUY CORIANDER SEP ABOVE 10950 TARGET 10975 11025 SL BELOW 10920 SELL CORIANDER SEP BELOW 10750 TARGET 10725 10675 SL ABOVE 10780 GUARSGUM

BUY GUARGUM OCT ABOVE 9700 TARGET 9750 9820 SL BELOW 9640 SELL GUARGUM OCT BELOW 9500 TARGET 9450 9380 SL ABOVE 9560


DAILY REPORT

2nd

SEPT. 2015


RBI Reference Rate

Currency Rate Currency Rate

Rupee- $ 66.2603 Yen-100 55.0500

Euro 74.7880 GBP 101.9945

CURRENCY

USD/INR

BUY USD/INR SEP ABOVE 66.69 TARGET 66.82 66.97 SL BE-

LOW 66.49

SELL USD/INR SEP BELOW 66.52 TARGET 66.39 66.24 SL

ABOVE 66.72

EUR/INR

BUY EUR/INR SEP ABOVE 75.24 TARGET 75.39 75.59 SL BE-

LOW 75.04

SELL EUR/INR SEP BELOW 74.91 TARGET 74.76 74.56 SL

ABOVE 75.11

CURRENCY MARKET UPDATES:

Snapping its 2-day losing streak, the rupee recovered by 26 paise to close at 66.22 against the US dollar today on fresh selling of the greenback by banks and exporters in over-seas markets amidst fall in equities. The rupee opened higher at 66.38 against yesterday’s closing level of 66.48 at the Interbank Forex market and hovered in a range of 66.18 and 66.46 before concluding at 66.22, showing a gain of 26 paise or 0.39 per cent. The domestic currency has already dropped 44 paise, or 0.67 per cent, in the pre-vious two sessions.

The US dollar index, which tracks the greenback against a basket of six major rivals, was down by 0.40 per cent. The US dollar was seen mostly lower against a basket of curren-cies on Tuesday as investors eyed upcoming data on U.S. manufacturing activity. The dollar index, which measures the greenback's strength against a trade-weighted basket of six major currencies, was down 0.26% at 95.70, still holding above the eight-month trough of 92.52 hit last Monday. Investors were looking ahead to Friday's U.S. jobs report for August, which could help to provide clarity on the likelihood of a near-term interest rate hike.

The euro was seen higher at 1.2244 versus the greenback on improved domestic data. Eurostat said that the euro zone's unemployment rate declined to10.9% in July from 11.1% in June. This is the lowest rate recorded in the euro area since February 2012.

Meanwhile, dollar was steady against the pound, with GBP/USD at 1.5341. Sterling fell to a three-month low of 1.5310 earlier, after data showed that the Markit U.K. manufacturing PMI fell to 51.5 in August from 51.9 in July, compared to expectations for a rise to 52.0. The dollar in-dex was also trading weak against other major currencies which helped the rupee to trade positively for the day, he added. The trading range for the Spot USD/INR pair is ex-pected to be within 65.80 to 66.60. In forward market to-day, premium for dollar moved down further on persistent receivings from exporters.


DAILY REPORT

2nd

SEPT. 2015


CALL REPORT

S T O

PERFORMANCE UPDATES

Date Commodity/ Currency

Pairs Contract Strategy Entry Level Target Stop Loss Remark

01/09/15 NCDEX DHANIYA SEPT. BUY 10850 10875-10925 10820 BOOKED PROFIT

01/09/15 NCDEX DHANIYA SEPT. SELL 10732 10707-10657 10762 SL TRIGGERED

01/09/15 NCDEX GUARGUM OCT. BUY 9400 9450-9520 9340 NOT EXECUTED

01/09/15 NCDEX GUARGUM OCT. SELL 9180 9130-9060 9240 NOT EXECUTED

01/09/15 MCX GOLD OCT. BUY 26750 26830-26920 26650 NOT EXECUTED

01/09/15 MCX GOLD OCT. SELL 26600 26520-26430 26500 NOT EXECUTED

01/09/15 MCX SILVER SEPT. BUY 34800 35000-35300 34500 NO PROFIT NO LOSS

01/09/15 MCX SILVER SEPT. SELL 34500 34300-34000 34800 SL TRIGGERED

01/09/15 USD/INR SEPT. BUY 66.9 67.03-67.18 66.70 NOT EXECUTED

01/09/15 USD/INR SEPT. SELL 66.60 66.47-66.32 66.80 NOT EXECUTED

01/09/15 EUR/INR SEPT. BUY 75.14 75.29-75.49 74.94 NOT EXECUTED

01/09/15 EUR/INR SEPT. SELL 74.70 74.55-74.35 74.90 NOT EXECUTED

Date Scrip

CASH/

FUTURE/

OPTION

Strategy Entry Level Target Stop Loss Remark

01/09/15 NIFTY FUTURE SELL 7925 7845-7750 8070 BOOKED FULL PROFIT

01/09/15 UPL FUTURE SELL 500 493-485 510.1 SL TRIGGERED

01/09/15 DRREDDY FUTURE BUY 4265-4280 4310-4340 4240 SL TRIGGERED

01/09/15 DISHMAN CASH BUY 215-218 223-228 210.5 BOOKED FULL PROFIT

31/08/15 VAKRANGEE CASH BUY 119 121.5-124 116 SL TRIGGERED


DAILY REPORT

2nd

SEPT. 2015


NEXT WEEK'S U.S. ECONOMIC REPORTS

ECONOMIC CALENDAR

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Disclaimer

TIME REPORT PERIOD ACTUAL CONSENSUS

FORECAST PREVIOUS

MONDAY, AUG. 31

9:45 AM CHICAGO PMI AUG. -- 54.7

TUESDAY, SEP. 01

9:45 AM MARKIT PMI AUG. -- 52.9

10 AM ISM AUG. 52.3% 52.7%

10 AM CONSTRUCTION SPENDING JULY 0.9% 0.1%

TBA MOTOR VEHICLE SALES AUG. 17.1 MLN 17.5 MLN

WEDNESDAY, SEP. 02

8:15 AM ADP EMPLOYMENT AUG. -- 185,000

8:30 AM PRODUCTIVITY Q2 -- 1.3%

8:30 AM UNIT LABOR COSTS Q2 -- 0.5%

10 AM FACTORY ORDERS JULY -- 1.8%

2 PM BEIGE BOOK

THURSDAY, SEP. 02

8:30 AM WEEKLY JOBLESS CLAIMS AUG. 29 N/A N/A

8:30 AM TRADE DEFICIT JULY -- -$43.8 BLN

10 AM ISM NONMANUFACTURING AUG. -- 60.3%

FRIDAY, SEP. 03

8:30 AM NONFARM PAYROLLS AUG. 195,000 215,000

8:30 AM UNEMPLOYMENT RATE AUG. 5.3% 5.3%

8:30 AM AVERAGE HOURLY EARNINGS AUG. 0.3% 0.2%


Epic research special report of 02 sep 2015

Business

Transcript of Epic research special report of 02 sep 2015