Month: December 2021

Categories
Weekly Reports

Weekly Report 25-Dec-21

Indian Market24-Dec-21
Weekly ChangeCloseChange% chg
Nifty17003.7518.550.11%
Sensex57124.31112.570.20%
Banknifty34857.05-761.60-2.14%
Indian Market24-Dec-21
Weekly ChangeCloseChange% chg
Nifty Mid-Cap 10029612.85-326.45-1.09%
Nifty Small-Cap 10010849.40-0.15 0.00%
India VIX16.15-0.19-1.16%
US Market24-Dec-21
Weekly ChangeCloseChange% chg
Dow 3035950.56585.121.65%
S&P 5004725.78105.142.28%
Nasdaq15653.40483.703.19%

Key Events of last week

  • Nifty & BSE Sensex ended the week flat, Banknifty was down 2 % as Banking and financials underperform. Nifty tested 16410 level just short of 200-DMA & Banknifty trading below 200-DMA @ 35723.
  • Started the week on weak note as Indices tested fresh 3 months low on OMICRON fear. FII continues to it sell – so for FII sold 33276 crores in December and 98749 crores from 1-Oct-21 to 24-Dec-21.
  • Post Accenture result – IT stocks are trading near fresh high and few Mid-Cap IT stocks have managed to cross previous high and made fresh 52 week high.
  • PM Narendra Modi reviewed OMICRON situation in Indian and warned states. Experts believe cases could rise speedily in January 2022.
  • US Market near it recent high despite US Fed increase pace of tapering and high inflation may lead to a rate hike as early as March 2022.

Market View & Key factors - last week of 2021

  • FII continues to drag market down, DII countering with buy figure for December 2021 is now at 26957 crores.
  • With last trading week for 2021, we expect FII selling to exhaust and this could be big relief rally going into Q3 result season & Union Budget on 1-Feb-21.
  • OMICRON spread across US, UK and other European countries remains key concern in near term.
  • Indices have corrected around 10 percent from recent high & Banknifty have corrected around 18 percent from high made in October 2021 post ICICIBANK’s result.
  • We believe Mid-Cap & Small-Cap are at attractive valuation and are positioned for a pre-Budget rally and we are positioned accordingly. We may review our stance if 20-Dec-21 lows are broken again.

Approach & View on Concept

  • We believe, this week will be critical and technically rally is required for market from current level, in case 16800 – 16400 level is broken on downside – it could potentially open up for significant downside. We expect sharp rally in next 2 weeks ahead of result season and will review our stance if fresh lows are tested.
Disclaimer: The market view and updates we are sharing are true to the best of our knowledge and sharing just for information purpose and any action would be purely investor’s own responsibility. Investor are advised to take necessary guidance from certified adviser and hence we will not be responsible for any profit or loss incurred due it. We do not have PMS license and we are not recommending anything to buy or sell.
Categories
Daily Reports

Daily Report 24-Dec-21

Indian Market23-Dec-21
IndicesCloseChange% chg
Nifty17072.60117.150.69%
Sensex57315.28384.72 0.68%
Banknifty35191.15161.650.46%
Indian Market23-Dec-21
Other IndicesCloseChange% chg
Nifty Mid-Cap 10029927.30268.200.90%
Nifty Small-Cap 10010905.90137.001.27%
India VIX15.83-0.76-4.55%
US Market23-Dec-21
IndicesCloseChange% chg
Dow 3035950.56196.670.55%
S&P 5004725.7829.230.62%
Nasdaq15653.40131.500.85%
Currency / Commodity23-Dec-21
IndicesCurrent
USD/INR75.2225
EUR/INR85.1650
Dollar Index96.035
US 10-year bond1.493%
WTI Crude Oil$ 73.72
Brent Crude Oil$ 75.52
Gold$ 1810
Bitcoin$ 50,990
FII / DII Activity23-Dec-21Rs. (In Crores)
(Provisional)BuySell
FII272
DII1196

Trade Setup

  • Indian market gained around 0.4 – 0.7 percent on Indices on weekly options expiry day. Beaten down PSU stocks witness some buying interest as POWERGRID, IOC & ONGC were top Nifty gainers.
  • Wall Street gained as OMICRON fear fades giving risk on sentiment boost as, DOW30 is down just under 2 % & Nasdaq around 4% from recent high. S&P500 closed at fresh high.
  • Asian market took cues from Wall Street and are trading in positive territory, SGX Nifty indicating gap-up opening of around 80 -100 points. Crude Oil back around $75 level.
  • SGX Nifty @ 17146.50 up 74.50 points at 8:40 AM.

Technical View

  • Nifty 20-DMA at 17148 would act as first resistance level for Nifty and 100-DMA comes at 17363, where as immediate support level is at 16872.
  • Nifty RSI @ 45.13 & RSI Average @ 41.61 – early sign of bullish indication.
  • Banknifty 200-DMA @ 35720 could act as resistance level. Banknifty RSI @ 36.57 & RSI average @ 36.13.

Stock Updates

  • L&T Finance Holdings: Company to sell its mutual fund business L&T Investment Management to HSBC AMC for $425 million.
  • Adani Enterprises: Incorporates wholly-owned subsidiary names Adani Data Networks Ltd.
  • United Breweries: NCLAT stays CCI order imposing a penalty of Rs 751.8 crore upon a condition of pre-deposit of 10% of the penalty amount.
  • Ajanta Pharma: Board of directors to meet on Dec. 28 to consider a proposal for buyback of equity shares of face value of Rs 2 each.
  • Ircon International: Incorporated ‘Ircon Akloli-Shirsad Expressway Ltd.’ on Dec. 23 as a special purpose vehicle for the purpose of construction of an eight lane access controlled expressway from Akloli to Shirsad.
  • Prestige Group, L&T: Prestige Group signed a civil contract worth Rs 1,560 crore excluding GST with Larsen and Toubro for construction of buildings and infrastructure development at the Prestige City, Bengaluru.
Disclaimer: The market view and updates we are sharing are true to the best of our knowledge and sharing just for information purpose and any action would be purely investor’s own responsibility. Investor are advised to take necessary guidance from certified adviser and hence we will not be responsible for any profit or loss incurred due it. We do not have PMS license and we are not recommending anything to buy or sell.
Categories
Daily Reports

Daily Report 23-Dec-21

Indian Market22-Dec-21
IndicesCloseChange% chg
Nifty16955.45184.601.10%
Sensex56930.56611.551.09%
Banknifty35029.50421.651.22%
Indian Market22-Dec-21
Other IndicesCloseChange% chg
Nifty Mid-Cap 10029659.10451.351.55%
Nifty Small-Cap 10010768.90226.902.15%
India VIX16.58-0.96-5.46%
US Market22-Dec-21
IndicesCloseChange% chg
Dow 3035753.89261.190.74%
S&P 5004696.5547.321.02%
Nasdaq15521.90180.801.18%
Currency / Commodity22-Dec-21
IndicesCurrent
USD/INR75.5575
EUR/INR85.3940
Dollar Index96.037
US 10-year bond1.455%
WTI Crude Oil$ 73.11
Brent Crude Oil$ 75.62
Gold$ 1806
Bitcoin$ 48,505
FII / DII Activity20-Dec-21Rs. (In Crores)
(Provisional)BuySell
FII3565
DII2764

Trade Setup

  • Indian market gained over 1 percent in a quite session compared to last few days. FII selling exhausting & short covering helping market after Monday’s rout.
  • Global market ended in green as OMICRON spread faster but less deadly helping market sentiment.
  • Risk-on sentiment visible across asset classes, Crude Oil up over 3% yesterday, Dollar Index near 96 mark.
  • SGX Nifty @ 17075.50 up 97.50 points at 8:50 AM.

Technical View

  • Nifty likely to test 17157 level and face resistance around this level – 61.8% retracement of 17619 to 16410 level
  • Current rally in Nifty is bounce back of downward trend, closing above 17157 will be important for up move.
  • Banknifty 200-DMA comes at 35721, now it could act as resistance level.

Stock Updates

  • Zomato: Zomato, Swiggy, Ola and Uber served petition filed by the Indian Federation of App-Based Transport Workers. Petitioners seek directions from the Supreme Court to the government to notify or recognize app based workers as 'workers' or alternatively as 'unorganised workers' or 'wage workers' under various labour legislations.
  • Zee Entertainment: Brand Zee gets merged in the new entity. New merged board will decide which brand to keep, says Punit Goenka.
  • Vedanta: Proposes to offer NCDs aggregating up to Rs 1,000 crore in one or more tranches and in this regard, is holding a meeting of directors on Dec. 27.
  • Tata Motors: Incorporated a wholly owned subsidiary named Tata Passenger Electric Mobility Ltd.
  • Great Eastern Shipping: To consider share buyback proposal on Dec. 27.
  • Kotak Mahindra Bank: Kotak Mahindra Prime acquires the Indian captive financing arm of Ford Motor Company, Ford Credit India. Acquisition gives Kotak Prime access to over 16,000 customers with outstanding loans of Rs 425 crore.
  • HFCL: Received the purchase order of Rs 119.1 crore, from one of the network and engineering service providers, for supply of optical fibre cables.
Disclaimer: The market view and updates we are sharing are true to the best of our knowledge and sharing just for information purpose and any action would be purely investor’s own responsibility. Investor are advised to take necessary guidance from certified adviser and hence we will not be responsible for any profit or loss incurred due it. We do not have PMS license and we are not recommending anything to buy or sell.
Categories
Daily Reports

Daily Report 22-Dec-21

Indian Market21-Dec-21
IndicesCloseChange% chg
Nifty16770.85156.650.94%
Sensex56319.014970.89%
Banknifty34607.851680.49%
Indian Market21-Dec-21
IndicesCloseChange% chg
Nifty Mid-Cap 10029207.75369.551.28%
Nifty Small-Cap 10010542130.301.25%
India VIX17.54-1.43-7.52%
US Market21-Dec-21
IndicesCloseChange% chg
Dow 3035492.70560.541.60%
S&P 5004649.2381.211.78%
Nasdaq15341.10360.102.40%
Currency / Commodity21-Dec-21
IndicesCurrent
USD/INR75.5625
EUR/INR85.2200
Dollar Index96.490
US 10-year bond1.462%
WTI Crude Oil$ 71.44
Brent Crude Oil$ 74.21
Gold$ 1789
Bitcoin$ 49,398
FII / DII Activity20-Dec-21Rs. (In Crores)
(Provisional)BuySell
FII3565
DII2764

Trade Setup

  • Indian market after gap-up opening yesterday, at one point of time gave up all the early gain again to recover in last hour of trade from oversold zone.
  • US Market had witness healthy rally despite rising concern for OMICRON. US Indices were up between 1.6% to 2.40%. Asian stocks trading higher & SGX Nifty indicating around 50 points positive opening.
  • Crude Oil up by 4% overnight, US 10-year bond yield & Dollar index stable as value buying was seen at lower level.
  • SGX Nifty @ 16867.50 up 39.50 points at 8:30 AM.

Technical View

  • Nifty saw bounce from 200-DMA @ 16252 and made low of 16410.20, Nifty might test 200-DMA again before sustainable upward move.
  • Nifty could face resistance around 17163 level and support at 16252. We expect volatility to continue as VIX is @ 17.54.
  • Banknifty RSI @ 29.26 & RSI average @ 36.38, Monday’s low of 34018 could act as strong support level & 200-DMA @ 35722 could act as resistance.

Stock Updates

  • Yes Bank: Approves proposal to raise up to Rs 10,000 crore via issue of new shares, debt or any other permissible mode.
  • Burger King India: Seeks shareholder approval to raise Rs 1,500 via qualified institutional placement.
  • JSW Energy: JSW Energy (Barmer) Limited, a wholly owned subsidiary of the company, has completed the buyback of shares aggregating to Rs 1,000 crore.
  • Central Bank of India, UGro Capital: Both companies entered into a strategic co-lending partnership to offer loans to MSME borrowers under priority sector.
  • HCL: Signed a five-year agreement with CEMEX, a global construction materials company, for end-to-end transformation of IT lifecycle management.
  • Zee Entertainment Enterprises: 90-day negotiation period with Sony Pictures Networks India over merger ended Tuesday. Final terms of the potential deal expected soon.
Disclaimer: The market view and updates we are sharing are true to the best of our knowledge and sharing just for information purpose and any action would be purely investor’s own responsibility. Investor are advised to take necessary guidance from certified adviser and hence we will not be responsible for any profit or loss incurred due it. We do not have PMS license and we are not recommending anything to buy or sell.
Categories
Daily Reports

Daily Report 21-Dec-21

Indian Market20-Dec-21
IndicesCloseChange% chg
Nifty16614.20-371.00-2.18%
Sensex55822.01-1189.73-2.09%
Banknifty34439.85-1178.80-3.31%
Indian Market20-Dec-21
IndicesCloseChange% chg
Nifty Mid-Cap 10028838.20-555.10-1.89%
Nifty Small-Cap 10010411.70-437.85 -4.04%
India VIX18.972.6316.08%
US Market20-Dec-21
IndicesCloseChange% chg
Dow 3034932.16-433.28-1.23%
S&P 5004568.02-52.62-1.14%
Nasdaq14980.90-188.80-1.24%
Currency / Commodity20-Dec-21
IndicesCurrent
USD/INR75.8875
EUR/INR85.5510
Dollar Index96.465
US 10-year bond1.428%
WTI Crude Oil$ 69.44
Brent Crude Oil$ 72.22
Gold$ 1791.40
Bitcoin$ 46,895
FII / DII Activity20-Dec-21Rs. (In Crores)
(Provisional)BuySell
FII3565
DII2764

Trade Setup

  • Indian market started with gap-down opening after weak setup on Friday, Nifty & BSE Sensex ended the day with more than 2 percent losses while Banknifty was down by 3.31% or 1178 points down.
  • OMICRON cases on rise, fear grips the global market as it could trigger another lockdown or derail economic growth.
  • Wall Street ended the day with more than 1 percent losses on all 3 Index but was off from day’s low. Crude Oil recovered by 3 – 4% from yesterday’s low.
  • SGX Nifty @ 16801 up 143 points at 8:25 AM.

Technical View

  • Nifty, yesterday made low of 16410.20 & 200-DMA comes at 16252, it is 1 percent away from 200-DMA – it almost tested 200-DMA and bounce back from this level could not be ruled out.
  • Nifty daily RSI @ 32.22 & RSI average @ 41.26. Nifty PCR @ 0.72 indicates highly oversold zone.
  • Banknifty closed at 34439.85 trading below 200-DMA of 35723. Banknifty RSI @ 27.06 & RSI average @ 38.16.
  • VIX @ 18.96 remains at elevated level. We expect volatility to continue and expect supply at every bounce.

Stock Updates

  • Wipro: Acquired cybersecurity consulting provider Edgile that focuses on risk and compliance, information and cloud security, and digital identity for Rs 1,745 crore.
  • IRB Infrastructure: CCI approves acquisition of up to 16.94% equity share capital in the company by Bricklayers Investment (GIC).
  • RailTel: Received work order from DRDO worth Rs 68.3 crore. The entire work is to be completed in a period of seven months.
  • Kalpataru Power Transmission: Completed transfer of 49% stake (23% by Kalpataru and 26% by TEECL) in Kohima-Mariani Transmission Ltd. to Apraava Energy Pvt. Ltd.
  • Bharti Airtel: Loses net 4,89,709 mobile users in October: TRAI
  • Reliance Industries: Reliance Jio adds net 1.76 million mobile users in October: TRAI.
  • Vodafone Idea: Loses net 9,64,245 mobile users in October: TRAI
Disclaimer: The market view and updates we are sharing are true to the best of our knowledge and sharing just for information purpose and any action would be purely investor’s own responsibility. Investor are advised to take necessary guidance from certified adviser and hence we will not be responsible for any profit or loss incurred due it. We do not have PMS license and we are not recommending anything to buy or sell.
Categories
Weekly Reports

Weekly Report 18-Dec-21

Indian Market17-Dec-21
Weekly ChangeCloseChange% chg
Nifty16985.20-526.10-3.00%
Sensex57011.74-1774.93-3.02%
Banknifty35618.65-1487.00-4.01%
Indian Market17-Dec-21
Weekly ChangeCloseChange% chg
Nifty Mid-Cap 10029939.30-1263.75-4.05%
Nifty Small-Cap 10010849.55-401.65 -3.57%
India VIX16.340.281.74%
US Market17-Dec-21
Weekly ChangeCloseChange% chg
Dow 3035365.44-605.55-1.68%
S&P 5004620.64-91.38-1.94%
Nasdaq15169.70-460.90-2.95%

Key Events of last week

  • US FOMC Meeting: 15-Dec-21: Increase tapering to $30 billion per month. Expect tapering to complete by March 2022.
  • ECB Meeting outcome: Kept rate unchanged. Bank of England: Increase rate by 0.15% to 0.25%.
  • Indian market down on weekly basis. Nifty & BSE Sensex down by 3% and Banknifty was down by 4%.
  • All eyes were on US Fed at beginning of week, US Fed outcome was in-line with expectation.
  • Britain recorded more than 88000 fresh cases of COVID-19, highest number of OMICRON cases outside Africa.
  • Friday recoded weak day across the globe for all asset class as Dollar Index near 14 months high of 96.645. WTI Crude Oil near $70 & Brent Crude Oil around $73.
  • Banknifty & Financial remain weak on fear of rising interest rate & Global risk-off.
  • Friday’s fall on Banknifty which is below 200-DMA, getting weak technically.

Market View & Key factors - for last 2 weeks of 2021

  • FII selling for 1st half of December is at 26,687 crores, with FII sell numbers for October & November are 25572 crores & 39901 crores respectively.
  • FII Sell figure starting from October till 17-Dec-21 is 92,160 crores. FII activity will play important role in last 10 trading days of 2021 & 9 trading days for F&O expiry for December series.
  • DII buying has been successfully countered FII Selling but in last 2 weeks, Indices which made high in 2nd half of October, where Nifty & BSE Sensex corrected by more than 8% and Banknifty corrected around 12% from high.
  • Based of potential positive and negative factors mentioned below: we believe – if FII selling pressure continue and Indices correct 4 – 5 percent from Friday 17-Dec-21 closing – it could provide good bargain buying opportunity. Market technically is weak as Banknifty closed below its 200-DMA & Nifty 200-DMA comes at 16244.
Disclaimer: The market view and updates we are sharing are true to the best of our knowledge and sharing just for information purpose and any action would be purely investor’s own responsibility. Investor are advised to take necessary guidance from certified adviser and hence we will not be responsible for any profit or loss incurred due it. We do not have PMS license and we are not recommending anything to buy or sell.