Special Report by Epic Research 20 February 2014

8/13/2019 Special Report by Epic Research 20 February 2014

1/8

DAILY REPORT

20th

FEBRUARY. 2014

YOUR MINTVISORY Call us at +91-731-6642300

Global markets at a glance

European shares pared early losses in late trade on

Wednesday, tracking a rally in Wall Street, with WM Morri-

son gaining in the afternoon after a report that the grocer

may be taken over by private-equity firms. The FTSEuro-

first 300 mounted a recovery in thin volumes to close up

0.1 percent at 1,338.67, as Wall Street turned higher after

a cautious start before U.S. Federal Reserve minutes were

released.

Japan's Nikkei share average fell for a second day following

declines on Wall Street as minutes of the U.S. Federal Re-

serve's latest policy-setting meeting indicated it will keep

trimming its stimulus. The Nikkei shed 0.8 percent to

14,643.01 in mid-morning trade, after falling 0.5 percent

to 14,766.53 on the previous day.

Wall Street Update

Stocks slid on Wednesday in a late selloff after minutes of

the U.S. Federal Reserve's latest policy-setting meeting

indicated that the central bank will keep trimming its bond

-buying stimulus unless there is a significant economic sur-

prise. The Dow Jones industrial average .DJI fell 89.84

points or 0.56 percent, to end at 16,040.56. The S&P

500 .SPX slipped 12.01 points or 0.65 percent, to finish at

1,828.75. The Nasdaq Composite .IXIC dropped 34.83

points or 0.82 percent, to close at 4,237.954. The S&P 500

set an all-time closing high of 1,848.38 on January 15, and

came within a point of that level at its session high on

Wednesday.

Previous day Roundup

Equity benchmarks saw late trade up move again, extend-

ing gains for the fourth consecutive session on Wednesday

aided by technology, capital goods and healthcare stocks.

The Nifty closed at 6152.75, 25.65 points while the Sensexwas up 88.76 points at 20722.97. About 1447 shares have

advanced, 1202 shares declined, and 153 shares are un-

changed. IT, Healthcare and Capital Goods indices ended

with strong gains.

Index stats

The market finally ended on high note with support by IT

stocks. The sartorial indices performed as follow Consumer

Durables [up 63.34pts] Capital Good [up 99.76pts], PSU

[down 0.12pts], FMCG [down 11.72pts] Realty [up

5.21Pts], Power [down 6.33pts], Auto [down 11.19pts],Healthcare [up 119.35pts], IT [up 138.53pts], Metals

[down 96.69pts], TECK [up pts] Oil& Gas [up 24.09pts].

World Indices

Index Value % ChangeD J l 16,040.56 -0.56

S&P 500 1,828.75 -0.65

NASDAQ 4,237.95 -0.82

EURO STO 3,120.80 +0.11

FTSE 100 6,796.71 0.00

Nikkei 225 14,518.14 -1.68

Hong Kong 22,412.78 -1.11

Top Gainers

Company CMP Change % Chg

RANBAXY 360.80 9.80 +2.79

SUNPHARMA 623.00 13.25 +2.17

TCS 2,213.00 47.00 +2.17

LUPIN 942.50 19.75 +2.14

INFY 3,760.00 78.00 +2.12

Top Losers


TATAPOWER 77.20 2.25 -2.83

JINDALSTEL 245.40 7.05 -2.79

HEROMOTOCO 1,942.00 37.40 -1.89

SSLT 186.35 2.90 -1.53

TATASTEEL 374.00 5.65 -1.49

Stocks at 52 Weeks high

Symbol Prev. Close Change %Chg

BHARATFORG 367.80 10.30 +2.88

ESSDEE 715.05 37.70 +557GLOBOFFS 200.00 9.50 +4.99

TATAELXSI 495.70 15.80 +3.29

Indian Indices


NIFTY 6,152.75 +25.65 +0.42%

SENSEX 20,722.97 +88.76 +0.43%

Stocks at 52 Weeks Low

Symbol Prev. Close Change %Chg

MAHABANK 30.15 0.85 +2.90

UNITED BANK 24.50 0.20 +0.82
http://www.epicresearch.co/


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STOCK RECOMMENDATIONS [FUTURE]

1. TCS

TCS FUTURE is looking strong on charts, long build up has

been seen, we may see more upside, if it sustains above

2200 levels. We advise buying around 2200-2220 levels

with strict stop loss 2150 for the targets of 2250-2300 lev-els.

2. LUPIN

LUPIN FUTURE is looking strong on charts, long build up hasbeen seen, we may see more upside, if it sustains above

945 levels. We advise around 940-945 levels with strict stop

loss 930 for the targets of 955-965 levels.

EQUITY CASH & FUTURE

STOCK RECOMMENDATION [CASH]

1. ABG SHIPYARD

ABG SHIPYARD is looking strong on charts. We advise buying

around 300-310 levels with strict stop loss of 280 for the

targets of 320-340 levels.

MACRO NEWS

Shares of jeweler stocks are on buyers radar as Finance

Minister P Chidambaram may be looking into removing

restrictions on import of gold.

Govt. orders CNG retailers to provide cost-break up.

Ranbaxy and Teva settle with NY Attorney General over

collusion.

Infrastructure investment declined since 2010-11; gov-

ernment taking steps to boost it.Indian banks lose Rs 17,284 cr in fraud cases, reveals

RTI.

Tatamotors says to pass on entire benefit of excise duty

cut to customers

MCX says it intends to divest stake in few ventures.

NTPC plans two more power projects in Madhya

Pradesh.

Greaves Cotton : Amansa Holdings sells 13.3 lakh shares

at Rs 60/share (Note: As on December 2013 stake of

4.29 percent).

Magma Fincorp : Macquarie Bank sells 14.93 lakh shares

at Rs 66.5/share.
http://economictimes.indiatimes.com/news/news-by-industry/energy/oil-gas/government-orders-cng-retailers-to-provide-cost-break-up/articleshow/30676533.cmshttp://economictimes.indiatimes.com/news/news-by-industry/healthcare/biotech/pharmaceuticals/ranbaxy-and-teva-settle-with-ny-attorney-general-over-collusion/articleshow/30661003.cmshttp://economictimes.indiatimes.com/news/news-by-industry/healthcare/biotech/pharmaceuticals/ranbaxy-and-teva-settle-with-ny-attorney-general-over-collusion/articleshow/30661003.cmshttp://economictimes.indiatimes.com/news/economy/infrastructure/infrastructure-investment-declined-since-2010-11-government-taking-steps-to-boost-it/articleshow/30675428.cmshttp://economictimes.indiatimes.com/news/economy/infrastructure/infrastructure-investment-declined-since-2010-11-government-taking-steps-to-boost-it/articleshow/30675428.cmshttp://economictimes.indiatimes.com/news/economy/infrastructure/infrastructure-investment-declined-since-2010-11-government-taking-steps-to-boost-it/articleshow/30675428.cmshttp://economictimes.indiatimes.com/news/economy/infrastructure/infrastructure-investment-declined-since-2010-11-government-taking-steps-to-boost-it/articleshow/30675428.cmshttp://economictimes.indiatimes.com/news/news-by-industry/healthcare/biotech/pharmaceuticals/ranbaxy-and-teva-settle-with-ny-attorney-general-over-collusion/articleshow/30661003.cmshttp://economictimes.indiatimes.com/news/news-by-industry/healthcare/biotech/pharmaceuticals/ranbaxy-and-teva-settle-with-ny-attorney-general-over-collusion/articleshow/30661003.cmshttp://economictimes.indiatimes.com/news/news-by-industry/energy/oil-gas/government-orders-cng-retailers-to-provide-cost-break-up/articleshow/30676533.cmshttp://www.epicresearch.co/


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DAILY REPORT

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FUTURE & OPTION

MOST ACTIVE PUT OPTION

Symbol Op-tion

Type

StrikePrice LTP TradedVolume

(Contracts

)

OpenInterest

NIFTY PE 6,100 21.45 3,95,591 60,36,750

NIFTY PE 6,000 7.35 2,42,7451,18,19,60

0

NIFTY PE 5,900 2.9 1,98,699 61,83,450

BANKNIFTY PE 10,500 73.8 32,475 2,69,400

SBIN PE 1,500 18.1 4,545 5,63,750

INFY PE 3,700 14.25 3,152 2,31,125

MCDOWELL PE 2,300 21.85 1,990 1,88,125

TATASTEEL PE 370 4.5 1,742 7,32,000MOST ACTIVE CALL OPTION

Symbol Option

Type

Strike

Price

LTP Traded

Volume

(Contracts)

Open

Interest

NIFTY CE 6,200 27.7 3,82,261 61,58,350

NIFTY CE 6,100 84.9 3,00,565 44,68,000

NIFTY CE 6,300 5.8 1,62,298 48,70,350BANKNIFTY CE 10,700 94.1 39,519 2,76,775

SBIN CE 1,550 10.2 6,066 10,40,625

TCS CE 2,200 35 3,967 1,98,875

RELIANCE CE 820 7.85 3,777 9,02,000

RANBAXY CE 380 3.6 3,134 9,77,000

FII DERIVATIVES STATISTICS

BUY OPEN INTEREST AT THE END OF THE DAYSELL

No. ofContracts

Amount inCrores

No. ofContracts

Amount inCrores

No. ofContracts

Amount inCrores

NET AMOUNT

INDEX FUTURES 36219 1095.16 30423 913.63 386700 11725.86 181.53

INDEX OPTIONS 356592 10544.47 341668 10068.60 1591798 48630.68 475.87

STOCK FUTURES 48276 1516.03 52596 1636.38 1046116 31217.34 -120.35

STOCK OPTIONS 33862 1031.42 36441 1100.97 68030 1999.26 -69.55

TOTAL 467.50

INDICES S2 S1 PIVOT R1 R2

NIFTY 6111.68 6132.21 6146.28 6166.81 6180.88

NIFTYJUNIOR 11908.38 11942.76 11971.23 12005.61 12034.08

BANK NIFTY 10476.83 10543.21 10586.68 10653.06 10696.53

STOCKS IN NEWS

Bajaj to deepen Kawasaki, KTM partnerships to liftexports.

State Bank of India may slow hiring in next few years.

Ranbaxy, Teva settle US anti-trust probe for

$3,00,000.

M&M Cuts prices across its vehicle range.

NIFTY FUTURE

Nifty Future closed in the green in the last trading ses-

sion still looks positive. We advise buying around 6120

levels with strict stop loss of 6100 for the targets of 6150


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DAILY REPORT

20th

FEBRUARY. 2014


RECOMMENDATIONS

SILVER

TRADING STRATEGY:

BUY SILVER ABOVE 48050 TGTS 48250/48550 SL 47700SELL SILVER BELOW 47500 TGTS 47200/46850 SL 47850

GOLD

TRADING STRATEGY:

BUY GOLD(APR) ABOVE 30250 TGTS 30330/30430 SL 30130

SELL GOLD(APR) BELOW 29840 TGTS 29760/29660 SL 29960

COMMODITY ROUNDUP

Gold restrictions imposed by the Finance Minister has been

cited as one of the main reasons for reining in Current Ac-

count Deficit (CAD) to 1.2 per cent as against a peak of 4.9

per cent. The FM in his Vote on Account speech said that

CAD for the current fiscal will touch $45 billion as against

$88.2 billion in the previous year. Import restrictions and

hiking import duties three times during 2013 resulted in

lower gold import, at least from the official channels.

Hawala premiums for smuggling gold have shot up to four

per cent from 2.5 per cent a few months ago. These were

just 1.25-1.5 per cent a couple of years ago, when gold was

not smuggled to this extent into India.

Silver prices fell by 0.81% to Rs 47,635 per kg in futures

trade after speculators trimmed positions on weak cues

from the global market. At the Multi Commodity Exchange,

silver for delivery in March fell by Rs 389, or 0.81%, to Rs

47,635 per kg in a business turnover of 751 lots. Also, the

white metal for delivery in May declined by Rs 398, or

0.81%, to Rs 48,640 per kg in business volume of 82 lots. A

subdued trend in the global markets amid expectations that

Federal Reserve minutes will show policy makers backing

further stimulus cut, triggered offloading of positions by

speculators that led to fall in silver prices at futures trade

here. In the international market, silver fell 0.70% to $21.77

an ounce in Singapore.

Indias iron ore production from January to December in

2013 registered a decline of 11 per cent to 136 million ton-

nes (mt) compared to 152.6 mt a year ago, provisional fig-

ures with the mines ministry said. The production in Janu-

ary-December 2011 was 192 million tonnes. The decline

was mainly due to no mining in Goa and the delay in theresumption of mines in Karnataka. The latter produced 16

mt in 2013 . Aluminium prices rose 0.23% to Rs 107.60 per

kg in futures trade today on the back of rising spot demand

even as the metal weakened overseas. At the Multi Com-

modity Exchange, aluminium for delivery in February rose

by 25 paise, or 0.23%, to Rs 107.60 per kg in a turnover of

256 lots. The metal for delivery in March rose by a similar

margin to trade at Rs 109 per kg in a business volume of 13

lots. The rise in aluminium prices at futures trade was

mostly attributed to rising demand at domestic spot mar-

kets but a weak trend overseas on high stockpiles limited

the gains.

COMMODITY MCX


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DAILY REPORT

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RECOMMENDATIONS

CASTORSEED

BUY CASTORSEED MAR ABOVE 4190 TGTS 4220,4270 SL

4140

SELL CASTORSEED MAR BELOW 4155 TGTS 4125,4075 SL

4205

DHANIYA

BUY DHANIYA APR ABOVE 8975 TGTS 9005,9055 SL 8925

SELL DHANIYA APR BELOW 8905 TGTS 8875,8825 SL 8955

NCDEX

NCDEX INDICES

Index Value % Change

Castor Seed 4120 -0.05

Chana 2941 +0.03

Coriander 8020 -2.39

Cotton Seed Oilcake 1548 +1.24

Jeera 11500 -0.67

MaizeFeed/Industrial

Grade 1190 0.00

Mustard seed 3383 -0.06

Soy Bean 4047 +0.88

Turmeric 7276 -0.84

NCDEX ROUNDUP

India's wheat, rice and corn exports may fall 29% in 2014-

15. In spite of the steep fall in edible oil prices, local de-

mand has not increased due to the surge in prices of other

commodities of daily use. According to sector sources, de-mand growth is likely to be five per cent this year.

Groundnut exports are likely to take a hit due to the strin-

gent norms of the European Union (EU) and Malaysia to

control aflatoxin levels. The two largest importers that ac-

count for 40 per cent of exports have asked Indian traders

to procure a health certificate for every consignment. The

Export Inspection Council of India (EIC), under the com-

merce ministry, is issuing certificates. This is required in ad-

dition to other certificates, including hazard analysis andcritical control points (HACCP).

Cardamom futures fell by 0.42% to Rs 798 per kg today as

traders reduced their holdings amid sluggish spot demand.

Besides, sufficient stocks holdings in the physical market

also influenced the cardamom prices. At the Multi Com-

modity Exchange, cardamom for April contract declined by

Rs 3.40, or 0.42%, to Rs 798 per kg with a business turnover

of 182 lots. The spice for delivery in March month fell by Rs

3.20, or 0.41%, to Rs 768.90 per kg with a trading volume of

367 lots. Besides profit booking by speculators at existing

levels, fall in demand in spot market also put pressure on

cardamom prices in futures market


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USD/INR

BUY USD/INR ABOVE 62.35 TGTS 62.48, 62.62 SL 62.06.

SELL USD/INR BELOW 61.96 TGTS 61.83, 61.69 SL 62.25.

EUR/INR

BUY EUR/INR ABOVE 85.61 TGTS 85.75, 85.90 SL 85.30.

SELL EUR/INR BELOW 84.98 TGTS 84.84, 84.69 SL 85.29

.

CURRENCY ROUNDUP

The Indian currency market was closed yesterday.

The greenback traded mixed to higher against most major

currencies after the Federal Reserve said in the minutes of

its January policy meeting released earlier that it should

continue tapering its monthly bond-purchasing program,

which weakens the greenback to spur recovery. In U.S. trad-

ing on Wednesday, EUR/USD was down 0.15% at 1.3738. At

its Jan. 28-29 policy meeting, the Fed voted to trim its

monthly asset purchasing program to $65 billion from $75

billion and stressed benchmark interest rates will stay at

0.00-0.25% until the unemployment rates approaches 6.5%

or even dips below that mark, depending on the health of

the economy in the context of price stability.

The unemployment rate currently stands at 6.6% thoughmany still remain out of the labor force due to fruitless job

searches, which artificially lowers the percentage headline

unemployment rate. Those out of work but not actively

seek jobs are not counted as part of the labor force. Else-

where, Fed officials were willing to overlook January's soft

jobs report and other economic indicators taking into ac-

count a string of powerful winter storms may have dis-

rupted commerce. While some hawkish member felt the

time to hike interest rates will come soon, consensus

pointed to keeping rates on hold while dismantling monthly

bond purchases, which gave the greenback some support.

The dollar was down against the yen, with USD/JPY down

0.14% at 102.22, and up against the Swiss franc, with USD/

CHF up 0.01% at 0.8881. The greenback was flat against the

pound, with GBP/USD up 0.01% at 1.6686. The dollar was

up against its cousins in Canada, Australia and New Zealand,

with USD/CAD up 1.24% at 1.1083, AUD/USD down 0.32%

at 0.8998 and NZD/USD down 0.41% at 0.8274. The dollar

index, which tracks the performance of the greenback ver-

sus a basket of six other major currencies, was up 0.21% at80.23.

CURRENCY

RBI Reference Rate

Currency Rate Currency Rate

Rupee- $ 62.1250 Yen-100 60.6000

Euro 84.7215 GBP 102.2515


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CALL REPORT

PERFORMANCE UPDATES

DateCommodity/ Currency

PairsContract Strategy Entry Level Target Stop Loss Remark

19/02/14 MCX GOLD APR. BUY 30250 30330-30430 30130 NOT EXECUTED

19/02/14 MCX GOLD APR. SELL 29950 29870-29770 30070 BOOKED PROFIT

19/02/14 MCX SILVER MAR. BUY 48050 48250-48550 47700 NOT EXECUTED

19/02/14 MCX SILVER MAR. SELL 47700 47500-47200 48050BOOKED FULL

PROFIT

19/02/14 NCDEX CASTOR SEED MAR. BUY 4205 4235-4285 4155 SL TRIGGERED

19/02/14 NCDEX CASTOR SEED MAR. SELL 4140 4110-4060 4190 NOT EXECUTED

19/02/14 NCDEX DHANIYA APR. BUY 9120 9150-9200 9070 SL TRIGGERED

19/02/14 NCDEX DHANIYA APR. SELL 9030 9000-8950 9080BOOKED FULL

PROFIT

Date ScripCASH/FUTURE/

OPTION

Strategy Entry Level Target Stop Loss Remark

19/02/14 NIFTY FUTURE BUY 6080 6120-6150 6050 NOT EXECUTED

19/02/14 ADANIENT FUTURE BUY 230 240-250 220 BOOKED PROFIT

19/02/14 ARVIND FUTURE BUY 142 148-152 140 CALL OPEN

19/02/14 SIEMENS CASH BUY 560-565 575-595 545 BOOKED PROFIT

18/02/14 M&M FUTURE BUY 940 960-980 920 CALL OPEN

18/02/14 SOMANY CERAMICS CASH BUY 140-145 150-155 135 SL TRIGGERED

17/02/14 AMTEK INDIA CASH BUY 64-65 70-75 60 CALL OPEN

14/02/14 HINDALCO FUTURE SELL 100 97-95 103 CALL OPEN

13/02/14 RPG LIFE SCIENCES CASH BUY 52-55 59-64 47 CALL OPEN

10/02/14 KRBL CASH BUY 45-46 50-54 40 CALL OPEN


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NEXT WEEK'S U.S. ECONOMIC REPORTS

ECONOMICCALENDAR

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Disclaimer

TIME

(ET)REPORT PERIOD ACTUAL CONSENSUS FORECAST PREVIOUS

MONDAY, FEB. 17

NONE SCHEDULED

TUESDAY, FEB. 18

8:30 am Empire state index Feb. 11.0 12.5

10 am Home builders' index Feb. 56 56

WEDNESDAY, FEB.19

8;30 am Producer price index Jan. 0.1% 0.4%

8:30 am Core PPI Jan. 0.2% 0.3%

8:30 am Housing starts Jan. 963,000 999,000

2 pm FOMC minutes

THURSDAY, FEB. 20

8:30 am Weekly jobless claims 2/15 N/A N/A

8:30 am Consumer price index Jan. 0.2% 0.3%

8:30 am Core CPI Jan. 0.2% 0.1%

9 am Markit flash PMI Feb. -- 53.7

10 am Philly Fed Feb. 10 9.4

10 am Leading indicators Jan. -- 0.1%

FRIDAY ,FEB 21

10 am Existing home sales Jan. 4.68 mln 4.87 mln

Special Report by Epic Research 20 February 2014

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Transcript of Special Report by Epic Research 20 February 2014