2020-02-28-Outlook

NIFTY:

CORONAVIRUS WATCH

We have a strong faith in human innovation, and we feel that the virus will be contained and managed sooner rather then later. Till this finally happens, we deeply regret the damage caused by the virus.

IS THIS A SPRING?

A spring is a pattern which suggests that a final low is probably in place. In actual practice, the spring is often not the final low but it is warning that the final low is coming soon. The market today fell below 11620 which was the low made after the budget. This low was broken when the NIFTY moved towards 11536 its intraday low for the day. However by the end of the day, this low was defended as the NIFTY went back and closed almost exactly at 11620.

The spring is a pattern in which a previous low is broken and then prices move back above the low. This indicates that buyers came in at the previous low. Usually the spring is followed by a long basing pattern. Sometime the spring is broken a few times but support comes in, protacting the low. The NIFTY is now reaching what could be a short-term cycle low. The trade is now to look for buying opportunity.

TECHNICAL PICKS

COMPANY  CMP B/S RATIONALE
     APOLLOHOSP 1795.40 BUY The stock has given the breakout with volume  on the intraday as well as on the daily chart. The stock can be bought at CMP with a stop loss of  1774  and for the target of  1830-1850.
      MINDTREE 985.70 SELL The immediate trend of the stock is weak . The stock can be sold  at CMP with a stop loss of  1005 and for  the target of  950.

DERIVATIVE PICKS

STOCK OPTION Strike Price Buy/Sell CMP Initiation Stop Loss Target Remarks
MFSL 600 CE BUY 28.30 CMP 23 43 OI Increase
Long Buildup Short Buildup
Stocks Price Price% OI % OI Stocks Price Price% OI % OI
GODREJCP.Feb 27 614 2.1 47.45 3584800 NESTLEIND.Feb 27 16220 -0.16 58.75 192400
DABUR.Feb 27 502.05 0.16 45.44 10495000 CIPLA.Feb 27 421.05 -0.11 54.72 8704350
TITAN.Feb 27 1273 1.36 30.12 5938500 HINDALCO.Feb 27 168.6 -0.74 48.16 43403500
FEDERALBNK.Feb 27 89 4.64 29.18 28231000 UPL.Feb 27 549.05 -2.56 48.1 4602600
ICICIPRULI.Feb 27 486.15 2.2 27.51 1905000 TATAPOWER.Feb 27 48.95 -0.51 44.71 53541000
                                                                        Short Covering                                                                              Long unwinding
Sector Price Price% OI% OI Sector Price Price% OI% OI
TVSMOTOR.Feb 27 433.45 0.44 -76.53 436050 NIFTYIT.Feb 27 16124 -1.19 -84.21 450
SRF.Feb 27 4148.95 0.54 -59.22 78000 MINDTREE.Feb 27 983.95 -3.56 -71.21 120000
APOLLOHOSP.Feb 27 1804 1.94 -42.23 165500 ESCORTS.Feb 27 820 -1.07 -66.91 694100
SIEMENS.Feb 27 1389.95 2.98 -38.7 322300 BEL.Feb 27 77.3 -3.68 -56.23 9144000
BERGEPAINT.Feb 27 573.6 1.06 -35.94 882200 IDFCFIRSTB.Feb 27 38.5 -1.16 -55.99 18612000

Top Delivery Percentage

Stocks Price %Chg Total Qty Delivery Del % % Change
Sectors Price Change % Quantity
HDFC Ltd. 2272.2 -0.41 3261885 4490066 72.85 Nifty Pharma 7885.15 0.59 85974
HCL Technologies Ltd. 573.05 -1.81 4078174 3912612 71.66 Nifty FMCG 29981.2 0.05 85974
Petronet LNG Limited 260.65 -0.53 2652277 2137605 69.21 Nifty 50 11633.3 -0.39 85971
Larsen & Toubro Limited 1210.35 -0.07 4003149 3952254 69.08 Nifty Auto 7178.85 -0.4 85974
Tata Chemicals Ltd. 731.8 -1.63 1964146 1770042 68.63 Nifty Bank 30187 -0.4 85971
HDFC BANK LTD. 1199.45 0.02 10327549 4691104 67.91 Nifty Metal 2410.05 -0.82 85974
Hindustan Unilever Ltd 2254.95 0.84 2446802 1965964 67.88 Nifty Energy 14069.05 -0.85 85974
Lupin Limited 662.8 -1.05 1302115 1394076 65.69 Nifty IT 16123.8 -1.28 85971
Page Industries Limited 22144 0.11 27231 46071 64.97 Nifty Media 1760.55 -2.4 85974
Infosys Limited 777.85 -0.63 5223386 5489084 62.66 INDIA VIX 17.77 -2.68 85971

Upcoming Economic Data

   Domestic                                                                                                                                                  International
•INR: GDP Quarterly (YoY) (Q3) on 28th February, 2020

•INR: Infrastructure Output (YoY) (Jan) on 28th February, 2020

•USA: GDP (QoQ) (Q4) on 27th February, 2020

•USA: Pending Home Sales (MoM) (Jan) on 27th  Februrary,2020

News Updates

• Petronet LNG, the country’s largest importer of liquefied natural gas (LNG) in India, is looking to buy the super-chilled fuel through a long term contract starting from 2024, according to a document reviewed by Reuters. Petronet is asking for suppliers to provide information related to the delivery and pricing of cargoes as well as flexibility that the suppliers can provide, including volumes and destination, the document stated.

•Global private equity investment firm Warburg Pincus is set to invest $150 million in Apollo. The Board of Directors of Apollo Tyres today approved an issuance of compulsorily convertible preference shares in the company worth Rs 10,800 million (approximately US$150 million) to an affiliate of Warburg Pincus, a leading global private equity firm focused on growth investing. The investment represents a primary capital infusion into the company and is subject  to shareholder and regulatory approvals.

•Cipla share price fell in early trade today after the pharma firm said it received a warning letter from USFDA after inspection of Goa manufacturing facility conducted in September last year. “The company remains committed to maintain the highest standards of compliance and will work closely with the agency to comprehensively address all the observations,” Cipla said

Source: Economic Times,  Moneycontrol  ,Business Today, Business Standard, Bloomberg Quint

BOARD MEETINGS

Company Name Purpose Ex-Date Company Name Purpose Ex-Date
APARINDS Interim Dividend 28-Feb-20 SUDARSCHEM Interim Dividend 28-Feb-20
BANARBEADS General 28-Feb-20 SUNCITYSY General 28-Feb-20
DECCANCE Interim Dividend 28-Feb-20 SUPREMEIND Interim Dividend 28-Feb-20
HUDCO General 28-Feb-20 TIINDIA Interim Dividend 28-Feb-20
IMPAL Interim Dividend 28-Feb-20 VALIANTORG Interim Dividend 28-Feb-20
JKCEMENT Interim Dividend 28-Feb-20 VISAKAIND Interim Dividend 28-Feb-20
JPTRLES General 28-Feb-20 8KMILES Quarterly Results 29-Feb-20
MANAKSIA Interim Dividend 28-Feb-20 KCP General 29-Feb-20
MOTHERSUMI Interim Dividend 28-Feb-20 MAHALXSE General 29-Feb-20
PVR Interim Dividend 28-Feb-20 PRADPME Interim Dividend 29-Feb-20
RAIN Audited Results 28-Feb-20 RAJGLOWIR Interim Dividend 29-Feb-20
RUBFILA Preferential Issue of shares 28-Feb-20 YURANUS General 29-Feb-20
SHANTIGEAR Interim Dividend 28-Feb-20 AUTOAXLES Interim Dividend 2-Mar-20
STRLGUA General 28-Feb-20 AXTEL Interim Dividend 2-Mar-20

Corporate Action

Company Name Ex-Date Purpose Company Name Ex-Date Purpose
PFC 28-Feb-20 Interim Dividend – Rs. – 9.5000 BAJAJ-AUTO 3-Mar-20 Interim Dividend – Rs. – 120.0000
BERGEPAINT 2-Mar-20 Interim Dividend – Rs. – 1.9000 BAJAJFINSV 3-Mar-20 Interim Dividend – Rs. – 5.0000
MASFIN 2-Mar-20 Interim Dividend – Rs. – 6.0000 BAJAJHLDNG 3-Mar-20 Interim Dividend – Rs. – 40.0000
NIITLTD 2-Mar-20 Interim Dividend – Rs. – 8.0000 BAJFINANCE 3-Mar-20 Interim Dividend – Rs. – 10.0000
QUICKHEAL 2-Mar-20 Interim Dividend – Rs. – 4.0000 BHARATFORG 3-Mar-20 Interim Dividend – Rs. – 2.0000
TECHM 2-Mar-20 Interim Dividend – Rs. – 10.0000 JBCHEPHARM 3-Mar-20 Interim Dividend – Rs. – 10.0000
ALUFLUOR 3-Mar-20 Interim Dividend – Rs. – 2.0000 MAHSCOOTER 3-Mar-20 Interim Dividend – Rs. – 50.0000
ASIANPAINT 3-Mar-20 Interim Dividend – Rs. – 7.1500 REDINGTON 3-Mar-20 Interim Dividend – Rs. – 2.8000

 DISCLOSURE IN PURSUANCE OF SECTION 19 OF SEBI (RA) REGULATION 2014

Elite Wealth Advisors Limited does/does not do business with companies covered in its research reports. Investors should be aware that the Elite Wealth Advisors Limited may/may not have a conflict of interest that could affect the objectivity of this report. Investors should consider this report as read more


For Daily Share Market Updates, Daily debt market review, Market Research Analysis reports, Weekly Techno-Funda Report, Fundamental Analysis Report, Monthly Recommended stock Picks, Equity Trading Tips, Upcoming IPO/NFO/Bonds/Ncd’s  updates & other related information Subscribe our research plan