Epic research special report of 16 may 2016

DAILY REPORT 16

th MAY 2016

YOUR MINTVISORY Call us at +91-731-6642300

Global markets at a glance European shares rebounded from losses earlier in Friday's session as strong U.S. retail sales data buoyed markets, al-though satellite company Eutelsat plunged nearly 30 per-cent after slashing its outlook. The pan-European FTSEuro-first 300 index had spent much of the day in negative terri-tory, but swung back up to close 0.6 percent higher follow-ing the U.S figures. European markets have sagged in re-cent weeks, with some investors blaming strength in the euro, uncertainty before Britain's vote on June 23 on Euro-pean Union membership, and a political stalemate in Spain. The FTSEurofirst remains down by around 10 percent so far in 2016, and the International Monetary Fund (IMF) said on Friday that a vote by Britain to leave the EU next month could hit the global economy and world stock markets. US stocks fell on Friday as a decline in oil prices added to pressure from consumer companies after gloomy quarterly reports from Nordstrom and J.C. Penney overshadowed upbeat April retail sales data. The decline in the depart-ment stores' shares marked the end of a week that high-lighted the expanding clout of Amazon.com and the plight of brick-and mortar retailers struggling to keep up with the online seller. Markets in Asia were lower in early trade on Friday, follow-ing a modest finish in US equities. Australia's benchmark ASX 200 was flat, as resources stocks came under pressure. Major miners in the country saw their shares drop more than 1% each - Rio Tinto was down 1.57%. In Japan, the Nikkei 225 wavered between gains and losses before slip-ping 0.28%, as the yen saw renewed strength against the dollar during Asian hours, after retreating to the 109 level overnight. Across the Korean Strait, Kospi was down 0.27%. Previous day Roundup Friday took a Rs 95,000 crore hit as a proposed move by Sebi on participatory notes made investors jittery. The S&P BSE Sensex closed the turbulent day with a 300 points loss while the 50-share Nifty50 closed 85.50 points lower at 7,814. Index stats The Market was very volatile in last session. The sartorial indices performed as follow; Consumer Durables [down 170.97pts], Capital Goods [down 231.73Pts], PSU [down 48.66pts], FMCG [down 7.88Pts], Realty [down 28.33pts], Power [down 14.78pts], Auto [down 176.21pts], Healthcare [down 111.02pts], IT [down 72.09pts], Metals [down 156.24Pts], TECK [down pts], Oil& Gas [down 79.33pts].

World Indices

Index Value % Change

D J l 17535.32 -1.04

S&P 500 2046.61 -0.85

NASDAQ 4717.68 -0.41

FTSE 100 6138.50 +0.56

Nikkei 225 16412.21 -1.41

Hong Kong 19719.29 -0.99

Top Gainers

Company CMP Change % Chg

ASIANPAINT 944.30 15.50 1.67

IDEA 113.45 1.50 1.34

INFRATEL 375.80 3.70 0.99

HCLTECH 721.50 6.80 0.95

POWERGRID 145.20 1.30 0.90

Top Losers


HINDALCO 89.55 3.85 -4.12

EICHERMOT 18,960.00 793.05 -4.01

ADANIPORTS 188.80 3.65 -3.25

TATASTEEL 321.60 9.00 -2.72

HINDUNILVR 830.30 22.70 -2.66

Stocks at 52 Week’s HIGH

Symbol Prev. Close Change %Chg

ASIANPAINT 944.30 15.50 1.67

BIOCON 629.50 3.00 0.48

CROMPTON 135.45 6.45 5.00

HAVELLS 359.55 17.30 5.05

UJJIVAN 252.00 8.55 3.51

ZEEL 449.00 1.50 0.34

Indian Indices


NIFTY 7814.90 -85.50 -1.08

SENSEX 25489.57 -300.66 -1.17

Stocks at 52 Week’s LOW

Symbol Prev. Close Change %Chg

ESSDEE 71.50 -7.90 -9.95

CROMPTON 135.45 6.45 5.00

TIL 285.05 -2.45 -0.85

VIDEOIND 103.85 -0.70 -0.67

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DAILY REPORT 16

th MAY 2016


STOCK RECOMMENDATION [CASH]

3. INDHOTEL

INDHOTEL LOOKING REALLY GOOD ON CHART WE CAN

CLEARLY SEE A BIG BULLISH GREEN CANDLE ON THE

CHART BREAKOUT ABOVE THE HIGH CAN AGAIN BE SEEN

SO IT IS SUGGETED TO BUY INDOHOTEL ABOVE 113.50

WITH THE TARGETS UPTO 117-120, WITH A STRICT STOP

LOSS OF 110

MACRO NEWS

Bank of Baroda Q4 net loss at Rs 3230cr, provision at Rs

6858cr

SEBI may up disclosure norms, introduce KYC on P-Notes

Capital infusion for PSUs to be decided post Q4 earnings:

BBB

Eicher Motors falls 5%, promoters sell 4.2% worth Rs

2100cr

Awaiting $45 million from Venezuelan govt: Glenmark

Pharma

GVK to soon supply power from its first thermal plant in

Punjab

Mines Ministry notifies draft rules on terms and condi-

tions for transfer of mining lease

Alcohol market grew just 0.2% in 2015.

Marsons to buy stake in Dubai firm for $5 million

Reliance Power’s plea to mortgage Sasan coal blocks re-

jected by government

Piramal Enterprises to acquire four Pfizer brands for Rs

110 crore

Aurobindo Pharma gets USFDA nod for generic migraine

drug

Dr Reddy’s Laboratories pins hopes on launches after

sharp fall in Q4 profit

Reliance oil imports down 12 percent in April

STOCK RECOMMENDATIONS [FUTURE] 1. CAIRN INDIA [FUTURE]

On daily chart CAIRN INDIA future given break down of dou-ble top pattern below 141 according to pattern it may come up to 119 before that it 133 is strong support and in last week it maintain these level and finished at 135 so we advise to sell it below 133 for target of 130 125 with stop loss of 135. 2. LICHSGFIN [FUTURE]

Last week LICHSGFIN Future given bounce from 451 and given breakout above 468 but in last session of week it breached due to down fall in index for that it created bearish candle stick pattern but near support of 450 it is good to buy with stop loss of 444 for target of 460 468.


DAILY REPORT 16

th MAY 2016


FUTURES & OPTIONS

MOST ACTIVE CALL OPTION

Symbol Op-

tion

Type

Strike

Price

LTP Traded

Volume

(Contracts)

Open

Interest

NIFTY CE 7,800 100.75 2,49,006 36,36,525

NIFTY CE 8,000 33.05 1,86,456 53,60,925

BANKNIFTY CE 17,000 112.00 45,177 5,70,120

SBIN CE 190 4.00 2,837 25,86,000

ICICIBANK CE 250 0.70 2,766 54,94,400

HEROMOTO CE 3,000 53.40 2,717 2,49,600

HDFC CE 1,160 29.00 2,697 1,68,400

TATASTEEL CE 350 7.20 2,604 20,46,000

MOST ACTIVE PUT OPTION

Symbol Op-

tion

Type

Strike

Price

LTP Traded

Volume

(Contracts)

Open

Interest

NIFTY PE 7,700 87.50 2,30,713 43,73,325

NIFTY PE 7,600 57.70 1,69,933 33,71,550

BANKNIFTY PE 16,000 183.70 37,054 4,34,970

SBIN PE 170 3.00 1,729 19,08,000

HEXAWARE PE 200 1.90 1,619 6,02,000

ICICIBANK PE 210 4.90 1,445 26,21,400

AXISBANK PE 460 11.25 1,383 10,18,000

SBIN PE 175 4.60 1,193 9,00,000

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 31340 1766.38 35392 2004.28 230659 13172.10 -237.90

INDEX OPTIONS 580941 33168.43 586677 33582.83 1189714 69005.69 -414.40

STOCK FUTURES 102366 5077.45 110654 5401.50 1025884 49164.75 -324.05

STOCK OPTIONS 55433 2698.48 57122 2782.06 77883 3793.43 -83.58

TOTAL -1060

STOCKS IN NEWS Allahabad Bank faces Rs 581 crore loss in Q4 on dou-

bling of NPAs NPA woes continue to haunt PSUs, Bank of Maharash-

tra & Vijaya Bank take a hit Vedanta looks to raise inter-corporate loans to Rs

80,000 crore Not aware of adverse findings about manufacturing

units of Ranbaxy: Sun Pharma Wockhardt, Alembic challenge NPPA's price revision

move in Delhi HC NIFTY FUTURE

In last session due to weakness in Asian markets, Nifty start with loss since the major sector like Banking, Auto and IT faced selling for that Nifty breached 7800 level but the European market was positive for that Nifty got sup-port around 7780 and finished at 7830. On daily chart i t has support around 7700 and resistance 7935 which is last week highs as well as Stochastic has negative cross over so we advise to sell it on rise around 7860-7880

INDICES R2 R1 PIVOT S1 S2

NIFTY 7923.00 7868.00 7826.00 7771.00 7729.00

BANKNIFTY 17032.00 16875.00 16734.00 16576.00 16436.45


DAILY REPORT 16

th MAY 2016


COMMODITY ROUNDUP

A global oil glut that has sent prices tumbling is set to

"shrink dramatically" later this year, as wildfires have dis-

rupted Canada's output and demand in India soars, the IEA

said on Thursday. Demand for oil worldwide is set to grow

at a "solid" rate in 2016, with India the "star performer" af-

ter making up nearly 30% of the global increase in demand

in the first quarter of the year. "This provides further sup-

port for the argument that India is taking over from China as

the main growth market for oil," the 29-nation IEA said in its

monthly report. The oil market has for months been de-

pressed by a vast oversupply. Oil prices surged to six-month

highs this week and are now well over $46 a barrel after

plummeting below $30 early in the year. They are neverthe-

less far below the $100-a-barrel mark of mid-2014.

Copper rose on Friday after a string of declines as some in-

vestors closed out positions that had been betting on lower

prices though others remained cautious ahead of U.S. and

Chinese economic data. In a separate news, Russian Alumi-

num said that increasing demand in North America, Europe

and Asia, the primary aluminum demand is expected to rise

overall by 5.7% or 300mt in 2016．Excess capacity and high

cost and other issues, leading to the past aluminum prices

continued downward trend.

LME spot aluminum price fell from US$2802/ton in 2011 to

about US$1600/ton now. Rusal indicated the recent alumi-

num prices fell mainly is affected by several factors, includ-

ing excess capacity, lower commodity market overall atmos-

phere and cost. China's market supply shortage situation

will surge, therefore, this year will be more than 2.4mt. In-

dian Copper was trading at Rs 308.95 per kg, up 0.18%. The

prices have tested a high of Rs 310.75 per kg and a low of Rs

308.65 per kg.

Amid pick-up in demand from alloy-makers at domestic

spot markets and a firming trend in base metals overseas,

nickel prices edged higher 0.56% to Rs 593.70 per kg in fu-

tures trade today as speculators raised their bets. At the

MCX nickel for delivery in current month was trading higher

by Rs 3.30, or 0.56%, to Rs 593.70 per kg in a business turn-

over of 660 lots. The metal for delivery in June rose by Rs

3.30 or 0.55% to trade at Rs 600.30 per kg in 26 lots. The

rise in nickel prices in futures trade to fresh buying by par-

ticipants due to pick-up in demand from alloy-makers at the

spot market and a firming trend at the LME.

RECOMMENDATIONS

GOLD

TRADING STRATEGY:

BUY GOLD JUNE AROUND 29750 TARGET 29900 30100 SL

29700

SELL GOLD JUNE AROUND 30100-30150 TARGET 29900

29750 SL 30200

SILVER

TRADING STRATEGY:

BUY SILVER JUL AROUND 40500-40550 TARGET 40750

41000 SL 40200

SELL SILVER JUL AROUND 40150 TARGET 40950 40700 SL

40220

MCX


DAILY REPORT 16

th MAY 2016


NCDEX

NCDEX INDICES

Index Value % Change

BARLEY 1521.5 -0.33

CHANA 5692 +0.92

CORIANDER 7388 +0.59

COTTON SEED 2206 -0.54

GUAR SEED 3077 -2.29

JEERA 16575 -0.57

MUSTARDSEED 4355 +0.37

REF SOYA OIL 639.9 -0.39

SUGAR M GRADE 3340 -0.54

TURMERIC 8540 +0.28

RECOMMENDATIONS

DHANIYA

BUY CORIANDER JUN ABOVE 7400 TARGET 7445 7545 SL

BELOW 7335

SELL CORIANDER JUN BELOW 7320 TARGET 7275 7175 SL

ABOVE 7385

GUARGUM

BUY GUARGUM JUN ABOVE 5280 TARGET 5330 5400 SL

BELOW 5220

SELL GUARGUM JUN BELOW 5230 TARGET 5180 5110 SL

ABOVE 5290

India's edible oil import bill is likely to rise by 15-20 per cent

this oil year (November '15-October '16), on a sharp in-

crease in the price of CPO in globalmarkets and a widening

supply deficit here. A fall in production from local sources,

and a spurt in demand on subdued prices over the past

year, has widened the deficit in India. the country imported

14.5mt of vegetable oil (edible and non-edible) worth Rs

60,000 crore in oil year 2014-15. This is likely to rise to 16

mt worth Rs 75,000 crore by the end of the current oil year

in October. The CPO price in November was around 2,100

ringgit a tonne in Malaysia, after declining to a several-

years low of 1,800 ringgit a month before. It recovered

from this to trade currently at 2,685 ringgit a tonne.

Cardamom futures were dominated by expiry of the near

month series on MCX. The prices have mostly trended

lower in last few days as traders eyed forecasts of moder-

ate rainfall in Kerala and overall good monsoon prospects

weighed on the commodity. The benchmark MCX June Car-

damom futures tested a two week low near Rs 825 per kg

earlier this week. Demand is limited following the recent

drop in the prices as the counter had topped highs near Rs

860 levels at the start of this month.

Rainfall continues to occur in almost all districts in Kerala n

an intermittent basis and markets are expecting a slightly

early start to the monsoon this year. This is capping senti-

ments for the benchmark futures as the counter is quoting

down 0.36% at Rs 832.50 per kg. The near month futures

have turned up though as traders engage in position squar-

ing and scrambled to get out of the contract on the last

trading day. This squeezed sellers and the counter surged

by more than 1% to trade at Rs 820 per kg right now.


DAILY REPORT 16

th MAY 2016


RBI Reference Rate

Currency Rate Currency Rate

Rupee- $ 66.7609 Yen-100 61.4700

Euro 75.7202 GBP 96.1557

CURRENCY

USD/INR

BUY USD/INR MAY ABOVE 67 TARGET 67.13 67.28 SL BELOW

66.8

SELL USD/INR MAY BELOW 66.9 TARGET 66.77 66.62 SL

ABOVE 67.1

EUR/INR

BUY EUR/INR MAY ABOVE 76.08 TARGET 76.23 76.43 SL BE-

LOW 75.88

SELL EUR/INR MAY BELOW 75.88 TARGET 75.73 75.53 SL

ABOVE 76.08

CURRENCY MARKET UPDATES: The US dollar continued to remain relatively higher against a basket of currencies on Friday, as investors eyed the re-lease of a string of US economic reports due later in the day and as downbeat euro zone data dampened demand for the single currency. The dollar index, which measures the greenback's strength against a trade-weighted basket of six major currencies, was at 94.30. The European unit fell 0.22% to 1.1350 versus the green-back. The single common currency weakened after official data showed that the single currency bloc's gross domestic product rose to 0.5% in the first quarter, from 0.3% in the preceding quarter. That was below the initial reading of 0.6% released on April 29 and consensus that was expect-ing no change. Year-on-year, GDP in the single currency bloc rose 1.5%, also below the initial estimate, the fourth quarter reading and analyst forecasts for growth of 1.6%. Meanwhile, the yen recovered somewhat from Japanese Finance Minister comments on Monday that financial au-thorities are prepared to intervene in the currency market if excessive moves in the yen are enough to affect the country's economy. But gains were capped, as Bank of Ja-pan said on Friday that the central bank will act decisively to achieve its 2% inflation target, stressing that it still has ample policy options available if it were to expand stimulus again. USD/JPY was down 0.29% at 108.71. As against the pound, dollar was steady with GBP/USD down 0.25% at 1.4413. UK construction output declined for the third con-secutive month at a pace of 3.6% mom after easing 0.9 percent in Feb, the Office for National Statistics showed Friday. Similarly, output fell 4.5% on a yearly basis, bigger than the 0.4 percent drop seen in the previous month. Extending its losses for the second straight session, the rupee fell by another 15 paise to 66.77 a dollar on sus-tained demand for the US currency from banks and import-ers on the back of higher greenback overseas amidst sharp fall in domestic equities. The rupee resumed lower at 66.78 per dollar as against the yesterday's closing level of 66.62 at the Interbank Forex market and moved down further to 66.83 before finishing at 66.77, showing a loss of 15 paise or 0.23%.


DAILY REPORT 16

th MAY 2016


Date Commodity/ Currency

Pairs Contract Strategy Entry Level Target Stop Loss Remark

13/05/16 NCDEX DHANIYA JUNE BUY 7400 7445-7545 7335 NOT EXECUTED

13/05/16 NCDEX DHANIYA JUNE SELL 7295 7250-7150 7360 SL TRIGGERED

13/05/16 NCDEX GUARGUM JUNE BUY 5560 5610-5680 5500 NOT EXECUTED

13/05/16 NCDEX GUARGUM JUNE SELL 5350 5300-5230 5410 NOT EXECUTED

13/05/16 MCX GOLD JUNE BUY 29980 30070-30200 29800 SL TRIGGERED

13/05/16 MCX GOLD JUNE SELL 29700 29600-29500 29800 NOT EXECUTED

13/05/16 MCX SILVER JUNE BUY 40910 41100-41400 40750 SL TRIGGERED

13/05/16 MCX SILVER JUNE SELL 40650 40500-40250 40856 SL TRIGGERED

Date Scrip

CASH/

FUTURE/

OPTION

Strategy Entry Level Target Stop Loss Remark

13/05/16 NIFTY FUTURE BUY 7930 7980-8050 7850 NOT EXECUTED

13/05/16 MOTHERSUMI FUTURE BUY 269 275-279 265 NOT EXECUTED

13/05/16 ASIANPAINT FUTURE SELL 919 900-850 936 NOT EXECUTED

13/05/16 COX&KINGS CASH BUY 181 187-190 174.9 CALL OPEN

12/05/16 RELIANCE FUTURE SELL 985-988 975-965 1000 CALL OPEN

11/05/16 NIFTY FUTURE BUY 7900 7960-8050 7820 CALL OPEN


DAILY REPORT 16

th MAY 2016


NEXT WEEK'S U.S. ECONOMIC REPORTS

ECONOMIC CALENDAR

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Disclaimer

TIME REPORT PERIOD ACTUAL CONSENSUS

FORECAST PREVIOUS

MONDAY, MAY 16

8:30 AM EMPIRE STATE INDEX MAY 9.0 9.6

10 AM HOME BUILDERS' INDEX MAY -- 58

TUESDAY, MAY 17

8:30 AM CONSUMER PRICE INDEX APRIL 0.4% 0.1%

8:30 AM CORE CPI APRIL 0.2% 0.1%

8:30 AM HOUSING STARTS APRIL 1.090 MLN 1.089MLN

8;30 AM BUILDING PERMITS APRIL -- 1.076MLN

9:15 AM INDUSTRIAL PRODUCTION APRIL 0.5% -0.6%

9:15 AM CAPACITY UTILIZATION APRIL 75.2% 74.8%

WEDNESDAY, MAY 18

2 PM FOMC MINUTES APRIL 27

THURSDAY, MAY 19

8:30 AM WEEKLY JOBLESS CLAIMS MAY 14 N/A N/A

8:30 AM PHILLY FED MAY 3.0 -1.6

8:30 AM CHICAGO FED NATIONAL INDEX APRIL -- -0.44

10 AM LEADING INDICATORS APRIL -- 0.2%

FRIDAY, MAY 20

10 AM EXISTING HOME SALES APRIL 5.40 MLN 5.33 MLN


Epic research special report of 16 may 2016

Business

Transcript of Epic research special report of 16 may 2016