Outlook

NIFTY:

NIFTY opened at 17236.05 with a gap down of 68 points. The index recorded its intraday low at 17219.20 a few ticks below the opening price and then went higher. Prices have seen a sharp intraday rally of more than 150 points and recorded its intraday high at 17380.80. The index faces strong resistance there and again moved down. A sharp decline brought prices near 17250 and then prices consolidate towards the end of today’s trading session. The index finally closed at 17276.30 with a loss of 28.30 points or 0.16% down. All the sectoral indices have closed lower today except BANK and FINANCIAL which closes with minor gains. REALTY and OIL GAS underperformed today and closed with a loss of more than 1%.

NIFTY is consolidating from the last three trading days and finding it difficult to cross above 17500. The short­term trend is sideways as prices are moving sideways and formed a pattern of Bearish Head & Shoulder on the 30 minutes timeframe chart. This pattern will be confirmed when the index closes below the neckline around 17250. A breakdown will also suggest a downside target of around 17000 which is also short­term support for the NIFTY. On Monday, we should look for a shorting opportunity. The idea is to wait till 9:30 AM and then sell short below the low recorded in the first 15 minutes of 17230 (choose the lowest value). Keep a stop of 110 points and a target of 230 points from your entry price.

BANK NIFTY:

BANK NIFTY opened at 37344.45 with a gap down of 114 points. Prices have recorded its intraday low 37304.45 and the moved up. The index filled the gap and rallied further on the upside to record its intraday high at 37817.55. Prices have again moved down towards the end of today’s trading session and finally closed at 37570.60 with a gain of just 112 points. PSU BANKS have underperformed today and closed lower by 0.17%. PVT BANKS have outperformed today and closed higher by just 0.06%.

The short-term trend remained sideways. The support is visible around 36800. Resistance is visible around 39000.  On Monday we should again look for a shorting opportunity on a sign of weakness. The idea is to wait till 09:30 AM and then sell short below the low recorded in the first 15 minutes of trading or below 37300 (choose the lowest value).

TECHNICAL PICKS

COMPANY NAME CMP B/S RATIONALE+
BERGEPAINT 737 BUY The stock is on the verge of giving the breakout on the intraday as well as the daily chart. The stock can be buy above 740 with a stop loss of 730 and for the target of 750.
TCS 3793 BUY The  immediate trend of the script is bullish. There is a positive cross over of moving averages  as well as of the indicators therefore  it can be buy above 3800 with a stop loss of 3780 and target  of 3850.

DERIVATIVE PICKS

Stock Name Strike Price Buy/Sell CMP Initiation Stop Loss Target Remarks
LT    1880 CE BUY 24 CMP 15 40 OI Increase
Long Buildup Short Buildup
Stocks Price Price% OI % OI Stocks Price Price% OI % OI
IEX.Feb 24 217.45 0 -0.66 42922500 AMBUJACEM.Feb 24 338.7 -5.89 7.74 14721000
TATASTEEL.Feb 24 1189.75 -0.02 -0.09 36618000 MOTHERSUMI.Feb 24 158.35 -5.12 17.41 20678000
CHOLAFIN.Feb 24 674.55 -0.13 -1.27 7885000 PEL.Feb 24 2161.1 -3.68 1.71 3348675
NTPC.Feb 24 132.7 -0.23 -1.23 38925300 CHAMBLFERT.Feb 24 379 -3.56 0.63 2407500
AUBANK.Feb 24 1259.95 -0.4 -1.16 2478000 DIXON.Feb 24 4069.25 -3.25 6.69 602125
                                                                        Short Covering                                                                       Long Unwinding
Stocks Price Price% OI % OI Stocks Price Price% OI % OI
ABB.Feb 24 2061 0 -6.85 391000 FSL.Feb 24 127.25 -4.32 -2.52 10855000
AMARAJABAT.Feb 24 597.2 0.02 -3.28 6545000 ASTRAL.Feb 24 1812.9 -3.63 -2.44 988625
BPCL.Feb 24 373.05 0.07 -2.78 20980800 AUROPHARMA.Feb 24 654.35 -2.89 -1.48 11955000
MRF.Feb 24 65640.15 0.15 -3.94 64550 IBULHSGFIN.Feb 24 184.6 -2.87 -1.12 31179800
TORNTPOWER.Feb 24 479.2 0.18 -2.36 4090500 NAM-INDIA.Feb 24 311.5 -2.85 -0.67 2614400

TOP DELIVERY PERCENTAGE

Stocks Price %Chg Total Qty Delivery Del % % Change
Sectors Price Change % Quantity
City Union Bank Ltd. 128.85 -2.24 3966263 0 75.27 Nifty 50 17276.3 -0.16 81459
Escorts India Ltd. 1860.25 0.19 366701 0 69.43 Nifty Bank 37599.15 0.18 81477
Tata Consultancy Serv Lt 3793.9 0.26 3688883 0 68.29 Nifty it 34483.1 -0.44 81477
Infosys Limited 1706.95 -1.03 5602215 0 62.95 Nifty Pharma 13208.8 -0.87 81477
Kotak Mahindra Bank Limi 1826.55 0.51 1229668 0 62.93 Nifty Realty 449 -1.25 81477
Icici Lombard General In 1282.6 -1.11 391940 0 62.81 India Vix 22.17 0.77 81474
Crompton Greaves Consume 391.3 -0.92 2231774 0 61.94 Nifty Auto 11420.45 -0.63 81477
Hdfc Ltd. 2441.15 1.22 3725963 0 61.86 Nifty Fmcg 36498.7 -0.2 81477
Abb Limited 2065.65 0.47 177031 0 61 Nifty Metal 5778.4 -0.26 81477
Petronet Lng Limited 213.1 -1.57 1360206 0 60.52 Nifty Media 2163.35 -0.69 81477
Ultratech Cement Limited 6916.6 -1.84 510600 0 59.8 Nifty Financial Services 17524.95 0.26 81477

UPCOMING ECONOMIC DATA

   Domestic                                                                                                                                                  International
INR: FX Reserves on 25th February, 2022

INR: Bank Loan and Deposit Growth on 25th February, 2022

•USD: CB Consumer Confidence (Feb) on 22nd February 2022

•USD: GDP (QoQ) (Q4) on 24th February 2022

NEWS UPDATES

  • Vedanta Group is getting ready for two separate ventures that may see investments worth $15 billion in chip and display manufacturing space in India. One will be with Hon Hai Technology Group (also known as Foxconn) to manufacture 28-nano meter semiconductor chips based on a technology developed by the Taiwanese multinational. The other venture is meant for a display manufacturing unit.
  • The Ministry of Housing and Urban Affairs has approved proposals worth Rs 235 crore to Andhra Pradesh under the ‘Garbage Free Cities’ vision, the largest one-time approval of funds for legacy dumpsite remediation, a statement said on Friday. The Centre’s share in these proposals will be Rs 77.66 crore, a ministry official said, adding that rest of the amount will be borne by the state.
  • The Comprehensive Economic Partnership Agreement sealed by India and the United Arab Emirates on Friday is expected to facilitate Indian exporters to gain access to the Arab and African markets besides increasing the two-way trade to USD 100 billion in the next five years from current USD 60 billion.
  • Life Insurance Corporation (LIC) expects at least one seventh of the country’s investing population in financial markets, including its policy holders, to participate in the mega initial public offering (IPO) and contribute as much as ₹25,000 crore to the total sale. It expects 7.5-10 million retail applicants for the IPO, in what could be the largest non-institutional participation in the history of Indian capital markets.

Source: Economic Times,  Indian Express  ,Business Today, Livemint, Business Standard, Bloomberg Quint.

BOARD MEETINGS

Company Name Purpose Ex-Date Company Name Purpose Ex-Date
ARSHIYA General 21-Feb-22 RAJOOENG General 21-Feb-22
BIGBLOC General 21-Feb-22 SUPRAP General 21-Feb-22
BRAHMINFRA Quarterly Results 21-Feb-22 SYLPH General 21-Feb-22
IBINFO General 21-Feb-22 VARIMAN General 21-Feb-22
JONJUA General 21-Feb-22 ADJIA General 22-Feb-22
MCLOUD ESOP;Issue Of Warrants;Pref. Issue 21-Feb-22 DATAINFRA General 22-Feb-22
NATURAL General 21-Feb-22 ELANTAS Audited Results;Dividend 22-Feb-22
OBCL General 21-Feb-22 ISHANCH General 22-Feb-22

CORPORATE ACTION

Company Name Ex-Date Purpose Company Name Ex-Date Purpose
BALKRISIND 21-Feb-22 Special Dividend – Rs. – 12.00 JBMA 21-Feb-22 Stock  Split From Rs.5/- to Rs.2/-
BALKRISIND 21-Feb-22 Interim Dividend – Rs. – 4.00 KIRLOSENG 21-Feb-22 Interim Dividend – Rs. – 1.50
CARBORUNIV 21-Feb-22 Interim Dividend – Rs. – 1.50 METROPOLIS 21-Feb-22 Interim Dividend – Rs. – 8.00
COALINDIA 21-Feb-22 Interim Dividend – Rs. – 5.00 MTARTECH 21-Feb-22 Interim Dividend – Rs. – 3.00
COCHINSHIP 21-Feb-22 Interim Dividend – Rs. – 7.00 ONGC 21-Feb-22 Interim Dividend – Rs. – 1.7500
CUMMINSIND 21-Feb-22 Interim Dividend – Rs. – 8.00 SHIL 21-Feb-22 Interim Dividend – Rs. – 0.50
HERCULES 21-Feb-22 Interim Dividend – Rs. – 0.7500 SJVN 21-Feb-22 Interim Dividend – Rs. – 1.1500
HEROMOTOCO 21-Feb-22 Interim Dividend – Rs. – 60.00 SUNDRMFAST 21-Feb-22 Interim Dividend – Rs. – 6.4500
INDNIPPON 21-Feb-22 Interim Dividend – Rs. – 6.2500 TIDEWATER 21-Feb-22 Interim Dividend – Rs. – 20.00
IRCON 21-Feb-22 Interim Dividend – Rs. – 0.70 AKZOINDIA 22-Feb-22 Interim Dividend – Rs. – 40.00

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