Nifty 9,816 /Sensex 31,805/ Bank Nifty 23,695
37 Advances / 14 Declines/ 0 Unchanged
Benchmarks extend their record closing streak; Nifty surpasses 9,800 mark
Continuing their record closing streak, Indian equity benchmarks ended the range-bound session with a gain of around quarter a percent, with frontline gauges settling above their crucial 9,800 (Nifty) and 31,800 (Sensex) levels for the first time ever. Sentiments remained upbeat for most part of the day’s trade with statement of Revenue Secretary Hasmukh Adhia that the Goods and Services Tax (GST) will help bring down the inflation by one to two percent by the end of this year. He also said that the government’s objective is to ensure that inflation does not increase, and added that the government has tried to keep items frequently used by the consumers under the lower tax bracket. Traders also took some encouragement with Finance minister Arun Jaitley’s statement where he called for more credit disbursement towards the unorganized sector, saying it will help push employment growth. Jaitley said diverting resources of banks and financial institutions through various schemes towards the unorganized sector will help create more jobs in the country.
However, gains remained capped, as traders opted to stay away from taking positions in risky assets ahead of the IIP and inflation data to be announced after the market hours today. Also, the street is keeping an eye on corporate earnings for further direction including Tata Consultancy Services scheduled on Thursday and Infosys on Friday. Some pressure crept in during the trade after CRISIL said that the sharp appreciation in the rupee against the dollar in recent months is likely to have dented the first-quarter (current fiscal) profitability of exporters that source locally and have limited pricing power.
Positive opening in European counters supported sentiments as investors look ahead to earnings reports and monitor the latest political developments in the US. Industrial output in the 19 countries sharing the euro currency rose by more than expected in May, aided by a spike in the production of capital goods and consumer durables. Asian markets ended mixed as investors across Asia are now looking forward to a raft of economic data coming out on Thursday and Friday.
Back home, appreciation in Indian rupee too aided sentiments. The Indian rupee strengthens marginally against the US dollar at the point of equity markets closing at 64.55 from its previous close of 64.58, on the back of increased selling of American currency by banks and exporter. On the sectoral front, stocks related to oil and gas space edged higher on the back of higher crude prices. Stocks from banking space edged higher on report that the finance ministry is gearing up to introduce a host of Bills, including the Banking Regulation (Amendment) Bill, repeal of State Bank of India (Subsidiary Banks) Act, 1959, among others, in the upcoming Monsoon Session. Liquor stocks like Tilaknagar Industries, Globus Spirits, United Breweries, United Spirits and Som Distilleries & Breweries too remained in focus on Supreme Court clarification that the ban on sale of alcohol within 500 m of any state or national highway will not cover roads within city limits if these lose the highway tag post denotification.
FII’s Activity 12-July-17
The FIIs as per Wednesday’s data were net buyers in equity and debt segments both, according to data released by the NSDL.
In equity segment, the gross buying was of Rs 5676.71 crore against gross selling of Rs 5516.09 crore. Thus, FIIs stood as net buyers of Rs 160.62 crore in equities.
In the debt segment, the gross purchase was of Rs 8907.26 crore with gross sales of Rs 1054.28 crore. Thus, FIIs stood as net buyers of Rs 7852.98 crore in debt.
Now what to expect??
Nifty Levels
Nifty future rally continues. Hope you all are enjoying this rally. We are holding long from 9600 mark
Now what to expect???
Above 9830 will see rally till 9880---9920 and then to 10000++++++ mark in days to come
We will maintain revise stop loss of 9770.
Bank Nifty Levels
Support at 23400 and resistance at 23800
Close above 23800 will see further upside rally till 24020---24050. Three consecutive closes + weekly close above 24050 will take to ???
Support and stop loss below 23400 on closing basis.
Daily Derivative Outlook 13th July
• Nifty (Jul) futures closed at a Premium of 6.25 points versus a Premium of 1.20 points.
• Maximum call writing was seen at 9900 strikes, and maximum put writing was seen at 9700 strikes.
• Maximum positions are at 10000 CE and 9600 PE. Nifty likely to trade in range of 10000--9600
• CHENNPETRO (63%), MGL (42%), PTC (26%), REPCOHOME (24%) and SINTEX (23%) were the top open interest gainers in the market.
• TORNTPHARM (-9%), VOLTAS (-8%), UPL (-7%), ICICIPRULI (-5%) and NIITTECH (-5%) were the top open interest losers in the market.
• The Nifty Put Call Ratio (PCR) finally stood at 1.34 against 1.39 for Tuesday's 's trade.
• Around 6.79 lakh shares were shaded in open interest with an increase in price. This is indicative of a long buildup in yesterday's ’s trade.
• On the options front, the volatility index witnessed a rise of around 2.00% in yesterday ’s trade.
Derivative Idea
Adani Enterprise added around 11% of open interest as long buildup.
On Daily charts, Adani Enterprise has given a fresh breakout above 13mark and trading above 21 and 55 DEMA indicates upside momentum in it.
Current chart pattern and derivatives data suggest that we expect further rally in coming sessions.
Trading Recommendation
Traders can buy Adani Enterprise (July) future above 142.50 with stop loss of 137 for the upside target of 148---150 and then to 155+++ mark
Or
Accumulate in panic around 139---137 with stop loss below 132 for the upside target of 148---150 and then to 155+++.
Today's Top Pick
CDSL
Above 405 will see upside rally till 420---426+++ mark in days to come.
Looks bearish only if close below 390.
Any sharp downside fall will be buying opportunity in it.
Corporate Action Today
Bharat Petroleum Corporation Limited- Bonus 1:2
Wipro Limited-Annual General Meeting
Dewan Housing Finance Corporation Limited-Annual General Meeting/Dividend - Re 3 per Share
Andhra Bank- Annual General Meeting
Bharti Airtel Limited- Annual General Meeting/Dividend - Re 1 per Share
Reliance Industries Limited- Dividend - Re 11 per Share
Larsen & Toubro Limited-- BONUS 1:2
Mahindra & Mahindra Limited- Annual General Meeting/Dividend - Re 13 per Share
Result Today
Tata Consultancy Services Limited
More Will Update Soon!!
