Research Analyst Report

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1 Published On 15 Jan 2019 Published On Research Analyst Report 15 JAN 2019 Derivative Premium Daily Journal Strictly for Client Circulation &

2 Market Wrap Indices extend gains- Key indices extended gains and hit fresh intraday high in mid-afternoon trade. At 14:29 IST, the barometer index, the S&P BSE Sensex, was up points or 1.13% at 36, The Nifty 50 index was up points or 1.17% at 10, Gains were triggered on hopes of interest rate cut by RBI after latest data revealed that retail inflation as dropped sharply in December. Positive global stocks also boosted sentiment. The Sensex was trading above the psychological 36,000 level after regaining that level in early trade. Domestic stocks opened on a firm note on positive Asian stocks. Key indices were trading firm in morning trade. Strong buying demand in index pivotals pushed the key benchmark indices higher in early afternoon trade. The S&P BSE Mid-Cap index was up 0.61%. The S&P BSE Small-Cap index was up 0.76%. Shares continue trading on firm note- The market held firm at higher levels in afternoon trade. At 13:18 IST, the barometer index, the S&P BSE Sensex, was up points or 0.98% at 36, The Nifty 50 index was up points or 1.01% at 10, Gains were triggered on hopes of interest rate cut by RBI after latest data revealed that retail inflation as dropped sharply in December. Positive Asian stocks also boosted sentiment. The Sensex was trading above the psychological 36,000 level after regaining that level in early trade. Domestic stocks opened on a firm note on positive Asian stocks. Key indices were trading firm in morning trade. Strong buying demand in index pivotals pushed the key benchmark indices to intraday high in early afternoon trade. The S&P BSE Mid-Cap index was up 0.42%. The S&P BSE Small-Cap index was up 0.57%.

3 Buzzing Stocks R System gains 3% as the board approves buyback proposal. Trident stock gains 7% post Q3FY19 numbers. Foseco India to consider voluntary delisting; stock surges 20%. R Systems gains 3% as the board approved buyback of up to36.9lakh shares at Rs65/share via the tender route. Nifty IT index gains 2% on rupee weakness. Infibeam (+9%), Wipro (+4%), Infosys (+3%), TCS, Tech Mahindra (+2%). Jet Airways gains 4% on report of finalization of a resolution plan. Wipro stock climbs 2.5% post announcing record date for issue of bonus shares.

4 Stock Showing Activity Top Gainers- Nifty 50 Index LTP Change(%) Wipro (5.52%) Yes Bank (3.92%) Tech Mahindra (3.88%) JUSTIFICATION Infosys AND COMMENTS (3.52%) H P C L (3.25%) Top Losers- Nifty 50 Index LTP Change(%) Maruti Suzuki 7, (-0.72%) ICICI Bank (-0.16%) Bharti Infra (-0.12%) JUSTIFICATION AND COMMENTS- GAIL (India) (-0.11%) Key Indices Sector Indices Power Grid Corpn (-0.03%) Today Index LTP High Low % Change Nifty Metal Nifty Auto Nifty Energy Nifty Media JUSTIFICATION AND COMMENTS- 2, , , Nifty Realty Nifty Pharma Nifty Financial Services Nifty FMCG Nifty PSU Bank Nifty IT 2, , , , , , , , , , , , , , , , , , , , , , , ,

5 Nifty Spot View NIFTY 50 (Bullish) SPOT VIEW BASIS 1M FUTURE 2M FUTURE ROLLOVER SPREAD ROLLOVER % OPEN INTEREST OI % Chg Put Call Ratio 5.45% % 1.25 R2 10,972 R1 10,929 Pivot 10,853 S1 10,810 S2 10,734 JUSTIFICATION AND COMMENTS- The Nifty has substantially more room to correct, if foreign portfolio investors (FPIs) cumulative net open interest (OI) positions on index futures (mainly Nifty and Bank Nifty) in the year through January 14 is anything to go by. Data from March 2018 more succinctly indicate that whenever cumulative net OI has been around or exceeded minus 1,00,000 index futures contracts the Nifty tends to bottom out; and when the net OI stands at anywhere between 16,000 and 55,000 contracts, the in the index tends to have topped, according to Sharekhan by BNP Paribas FPI net OI data. All sectoral indices ended in the green, with maximum gains visible among IT and energy names, while metals and banks, too, closed with sharp gains. At the close of market hours, the Sensex was up points or 1.30% at , while the Nifty was higher by points or 1.39% at The market breadth was positive as 1548 shares advanced, against a decline of 996 shares, while 166 shares were unchanged. As per the pivot table are The intraday support levels for the Nifty index. The intraday resistance in the nifty index is seen in the range of

6 Nifty Spot View NIFTY BANK (Bullish) SPOT VIEW BASIS 1M FUTURE 2M FUTURE ROLLOVER SPREAD ROLLOVER % OPEN INTEREST OI % Chg Put Call Ratio 4.2% % 1.36 R2 27,518 R1 27,459 Pivot 27,388 S1 27,329 S2 27,258 JUSTIFICATION AND COMMENTS- Positive to rangebound view on Bank Nifty till it holds above 27,000 zones while rangebound bias on Nifty index till it doesn't surpass 10,925-10,985 zones decisively. The Nifty formed a bearish candle on the daily scale on January 11 while a small 'Doji' candle on the weekly scale which indicates indecisiveness as follow up is missing on both the side in the market. It has been flirting with its 50- DEMA and has continued its alternative positive and negative weekly close for the ninth week. Now it has to continue to hold above 10,750-10,777 to witness an upmove towards 10,880 and then crucial hurdles at 10,925-10,985. It has been facing hurdle at its immediate supply trendline that connects swing highs of 10,985, 10,923 and 10,880. It requires a decisive range breakout to commence the next leg of the rally. On the downside, if it fails to hold 10,720 then only we can see dips towards 10,650-10,600. Nifty has got stuck in the grip of option writers and follow up is missing on both sides as index traded in a range of 10,730 to 10,870 in the last five sessions. India VIX fell 5.01 percent at in the last week and started to hold below 16 that could attract buying interest on declines. For Nifty options, maximum Put open interest (OI) is at 10,000 followed by 10,500 strikes and maximum Call OI is at 11,000 followed by 11,200 strikes. Call writing was seen at 11,000 followed by 10,900 strikes while Put unwinding is seen at most of the immediate strikes. Derivatives setup suggests support of 10,700-10,730 could provide comfort to bulls but intact Call writing at 11,000 and 10,900 strikes are going to restrict its momentum. As per the pivot table are The intraday support levels for the Nifty Bank index. The intraday resistance in the Bank Nifty index is seen in the range of

7 future Open Interest Most Up Security Expiry Open Interest Change(%) RELIANCE Feb % TCS Feb % YESBANK Feb % NIFTY 50 Feb % ZEEL Jan % DABUR Jan % POWERGRID Jan % M&MFIN Jan % Open Interest Most Down Securities Expiry Open Interest Change(%) YESBANK Jan % TECHM Jan % AMBUJACEM Jan % INFY Jan % CIPLA Jan % INDIACEM Jan % RECLTD Jan % PIDILITIND Jan % Greatest Premium Greatest Discount Security Expiry Premium Premium(%) Securities Expiry Premium Premium(%) GRASIM Jan % BRITANNIA Jan % LT Jan % BANKBARODA Jan % ICICIBANK Jan % INDUSINDBK Jan % RELIANCE Jan % HINDALCO Jan % JETAIRWAYS Feb % JETAIRWAYS Jan % KSCL Feb % OIL Feb % MUTHOOTFIN Feb % RAMCOCEM Feb % MGL Feb % BPCL Feb %

8 future Accumulation Price Security Expiry Change Change(%) Basis Future Open Interest IO Change(%) RELIANCE Feb % % TCS Feb % % YESBANK Feb % % NIFTY 50 Feb % % ZEEL Jan % % BPCL Jan % % POWERGRID Jan % % M&MFIN Jan % % Liquidation Price Security Expiry Change Change(%) Basis Future Open Interest IO Change(%) STAR Jan % % JETAIRWAYS Jan % % ORIENTBANK Jan % % CANBK Jan % % PNB Jan % % CANBK Feb % % BANKINDIA Jan % % APOLLOHOSP Jan % %

9 future Short Covering Price Security Expiry Change Change(%) Basis Future Open Interest IO Change(%) YESBANK Jan % % TECHM Jan % % AMBUJACEM Jan % % INFY Jan % % CIPLA Jan % % TATAELXSI Jan % % INDIACEM Jan % % RECLTD Jan % % Fresh Shorts Price Security Expiry Change Change(%) Basis Future Open Interest IO Change(%) DABUR Feb % % CEATLTD Feb % % TATACHEM Feb % % SYNDIBANK Feb % % ADANIENT Feb % % BALKRISIND Feb % % ALBK Feb % % VOLTAS Feb % %

10 options call Symbol Strike Expiry Premium Spot Price Open Interest (In Contants) NIFTY Jan NIFTY Jan NIFTY Jan NIFTY Jan NIFTY Jan NIFTY Jan NIFTY Jan NIFTY Jan puts Symbol Strike Expiry Premium Spot Price Open Interest (In Contants) NIFTY Jan NIFTY Jan NIFTY Jan NIFTY Jan NIFTY Jan NIFTY Jan NIFTY Jan NIFTY Jan

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