Morning-Outlook-Feature-Image
Outlook-22-10-2021

NIFTY:

The Nifty opened at 18382.7 with a gap up of 116 points. Prices recorded its intraday high a few ticks above the opening price at 18384.20 and started moving downwards. Prices have seen a sharp decline of more than 300 points and recorded its intraday low at 18048 and then started a process of correction. Prices have seen upward correction in the last hour of trading, recovered more than half of the loss and finally closed at 18178.10. Bank and Financial have led the bulls and closed higher by more than 1%. IT underperformed most and closed lower by 2.53%. Metal and Realty also moved down.

A gap up opening did not sustain in the Nifty and the index continued the correction. The correction breached the short term support of 18200. However it received support at the 18000 mark. Prices reversed sharply and recovered half the losses and ended above 18200. 18000 will act as a strong support while 18500 will be a hurdle.  The last three days were very wide and these wide range bars suggest narrow and choppy days are ahead.

BANK NIFTY:

Bank Nifty opened at 39676.55 with a gap up of 113 points. The index traded very volatile and sideways, recorded its intraday low at 39428.10 and find strong intraday resistance around 39700. A breakout came in the last hour of trading, prices have seen a sharp intraday rally and closed with big gains. PSU Banks have continued its outperformance and ended with a gain of 2.73%. Private Banks have also seen an upside move and closed higher by 1.27%. Within the index, Kotak Bank contributed highest while Indusind Bank the lowest.

Bank Nifty outperformed when compared to Nifty closed more than 1% higher.

TECHNICAL PICKS

COMPANY CMP B/S RATIONALE
MANAPURAM 199.75 BUY The stock has given a breakout from a narrow trading range. The stock can be bought at CMP with a stop at 196  and for the target 206
IBULHSGFIN 249.2 BUY The stock has given a breakout from a narrow trading range. The stock can be bought at CMP with a stop at 244  and for the target 258

DERIVATIVE PICKS

STOCK OPTION Strike Price Buy/Sell CMP Initiation Stop Loss Target Remarks
INDIGO 2040 CE BUY 81 CMP 70 100 OI increase
Long Buildup Short Buildup
Stocks Price Price% OI % OI Stocks Price Price% OI % OI
CROMPTON.21.10 Oct 466.3 2.37 15.51 1696200 GAIL.21.10 Oct 151.05 -0.82 18.52 48202200
KOTAKBANK.21.10 Oct 2152 6.33 13.45 11388800 ADANIPORTS.21.10 Oct 780.95 -2.17 16.93 101681250
JKCEMENT.21.10 Oct 3242.55 1.45 12.85 113750 POLYCAB.21.10 Oct 2217.3 -3.83 16.8 1247100
SRTRANSFIN.21.10 Oct 1501.95 4.14 12.11 4162000 BERGEPAINT.21.10 Oct 750 -6.24 16.47 4987400
POWERGRID.21.10 Oct 195.95 0.41 11.89 33523238 VOLTAS.21.10 Oct 1196.85 -4.5 15.6 2490000
                                                                        Short Covering Long Unwinding
Stocks Price Price% OI% OI Stocks Price Price % OI % OI
M&MFIN.21.10 Oct 193 4.16 -3.98 18704000 TATAPOWER.21.10 Oct 226.1 -2.29 -7.25 75606750
INDIGO.21.10 Oct 2052 1.63 -3.93 3297000 INDUSINDBK.21.10 Oct 1197.95 -0.68 -6.53 12943800
COALINDIA.21.10 Oct 182.6 0.74 -3.69 54087600 MPHASIS.21.10 Oct 3400 -2.12 -5.21 1648725
ABBOTINDIA.21.10 Oct 21007.9 1.28 -3.61 33350 DALBHARAT.21.10 Oct 1970.1 -0.4 -4.71 693500
SUNTV.21.10 Oct 555.8 2.24 -3.12 11637000 L&TFH.21.10 Oct 85.8 -6.28 -4.11 66376712

TOP DELIVERY PERCENTAGE

Stocks Price %Chg Total Qty Delivery Del % % Change
Sectors Price Change % Quantity
Max Financial Services l 980.1 0.06 953559 1922728 77.13 Nifty Bank 40030.2 1.3 109296
Crompton Greaves Consume 463.9 2.14 2499907 1726180 76.2 Nifty Auto 11557.4 0.56 109296
Power Grid Corporation o 194.05 -0.15 12709911 11315668 68.86 Nifty Media 2333.8 -0.03 109296
Petronet Lng Limited 233 0.89 4224152 3488467 66.68 Nifty Pharma 14169.95 -0.05 109296
Hdfc Ltd. 2844.1 1.75 3747385 1388924 65.93 Nifty Energy 24306.4 -0.31 109296
Hindustan Unilever Ltd 2445.75 -1.33 3254632 3179193 65.35 Nifty 50 18178.1 -0.48 109296
Hdfc Bank Ltd. 1676.3 0.15 4869095 3521937 64.57 Nifty Fmcg 39354.45 -0.86 109296
Reliance Industries Ltd 2622.5 -2.88 9613812 3785182 64.53 Nifty Realty 497.85 -1.41 109296
Titan Company Limited 2395.7 -0.65 2303014 1822838 63.54 Nifty Metal 5868.4 -1.77 109296
Dabur India Ltd. 587.4 -0.89 1925145 1714478 61.57 Nifty it 35913.6 -2.53 109296

UPCOMING ECONOMIC DATA

   Domestic                                                                                                                                                  International
INR: Bank Loan Growth and Deposit Growth on 22nd October, 2021

INR: FX Reserves, USD  on 22nd October, 2021

•USD: New Home Sales (Sep) on 26th October, 2021

UPCOMING ECONOMIC DATA

•Bank of Maharashtra (BoM) posted 102.7 per cent rise, on year-on-year (Y-o-Y) – in net profit at Rs 264 crore in second quarter ended September 2021 (Q2FY22) on robust interest and fee income. It had posted a net profit of Rs 130 crore in Q2FY21. Its Net Interest Income (NII) grew by 33.84 per cent on Y-o-Y basis to Rs 1500 crore in Q2FY22 as against Rs 1,120 crore for Q2FY21. The non-Interest income was up 22.61 per cent (on Y-o-Y basis) to Rs 493 crore in Q2FY22.

•JSW steel reported its highest-ever consolidated net profit after tax (PAT) at ₹7,179 crore for the quarter ended September 30. This is an increase of 350% over last year period’s profit of ₹1,595 crore. The company has also clocked its highest-ever quarterly revenue from operations at ₹32,503 crore in the reporting period. It was ₹19,264 crore in the corresponding period of last year.

•Larsen & Toubro (L&T) on Thursday said it targets to achieve carbon neutrality by 2040.The target is ahead of the Paris Agreement deadline of 2050. The management of L&T is now committed to achieve carbon neutrality by 2040, said the company’s Whole-Time Director and Senior Executive Vice-President (Energy) Subramanian Sarma.

•Tata Steel Ltd.’s dollar bonds climbed by the most in 18 months after S&P Global Ratings returned the company to investment-grade status after 14 years. The ratings firm lifted Tata Steel’s credit score for a third-consecutive time this year on Thursday.  S&P raised the Mumbai-based steelmaker’s rating two levels to BBB- from BB, citing its expectation that Tata Steel’s largest shareholder Tata Sons will likely provide extraordinary financial support if required in times of financial stress.

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

NEWS UPDATES

•Bank of Maharashtra (BoM) posted 102.7 per cent rise, on year-on-year (Y-o-Y) – in net profit at Rs 264 crore in second quarter ended September 2021 (Q2FY22) on robust interest and fee income. It had posted a net profit of Rs 130 crore in Q2FY21. Its Net Interest Income (NII) grew by 33.84 per cent on Y-o-Y basis to Rs 1500 crore in Q2FY22 as against Rs 1,120 crore for Q2FY21. The non-Interest income was up 22.61 per cent (on Y-o-Y basis) to Rs 493 crore in Q2FY22.

•JSW steel reported its highest-ever consolidated net profit after tax (PAT) at ₹7,179 crore for the quarter ended September 30. This is an increase of 350% over last year period’s profit of ₹1,595 crore. The company has also clocked its highest-ever quarterly revenue from operations at ₹32,503 crore in the reporting period. It was ₹19,264 crore in the corresponding period of last year.

•Larsen & Toubro (L&T) on Thursday said it targets to achieve carbon neutrality by 2040.The target is ahead of the Paris Agreement deadline of 2050. The management of L&T is now committed to achieve carbon neutrality by 2040, said the company’s Whole-Time Director and Senior Executive Vice-President (Energy) Subramanian Sarma.

•Tata Steel Ltd.’s dollar bonds climbed by the most in 18 months after S&P Global Ratings returned the company to investment-grade status after 14 years. The ratings firm lifted Tata Steel’s credit score for a third-consecutive time this year on Thursday.  S&P raised the Mumbai-based steelmaker’s rating two levels to BBB- from BB, citing its expectation that Tata Steel’s largest shareholder Tata Sons will likely provide extraordinary financial support if required in times of financial stress.

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

BOARD MEETINGS

Company Name Purpose Ex-Date Company Name Purpose Ex-Date
APOLLOPIPES Bonus issue;Quarterly Results 22-Oct-21 KIRLFER Quarterly Results 22-Oct-21
BHARATSE Quarterly Results 22-Oct-21 POLYCAB Quarterly Results 22-Oct-21
CHENNPETRO Quarterly Results 22-Oct-21 POWERINDIA Quarterly Results 22-Oct-21
CROMPTON Quarterly Results 22-Oct-21 PVR Quarterly Results 22-Oct-21
DEEPAKFERT General 22-Oct-21 RELIANCE Quarterly Results 22-Oct-21
DODLA Quarterly Results 22-Oct-21 SHANTIGEAR Quarterly Results 22-Oct-21
FEDERALBNK Quarterly Results 22-Oct-21 SSWL Quarterly Results 22-Oct-21
GLAND Quarterly Results 22-Oct-21 SUBROS Quarterly Results 22-Oct-21
GSTL Final Dividend 22-Oct-21 SUPREMEIND Quarterly Results;Interim Dividend 22-Oct-21
HDFCLIFE Quarterly Results 22-Oct-21 TATACONSUM Employees Stock Option Plan;Results 22-Oct-21
HINDZINC Quarterly Results 22-Oct-21 TATAELXSI Quarterly Results;Audited Results 22-Oct-21
HUHTAMAKI Quarterly Results 22-Oct-21 TCIDEVELOP Quarterly Results 22-Oct-21
INOXLEISUR Quarterly Results 22-Oct-21 TCIEXP Quarterly Results;Interim Dividend 22-Oct-21
INVENTURE Quarterly Results 22-Oct-21 VARDHMAN Quarterly Results 22-Oct-21
JUBLPHARMA Quarterly Results 22-Oct-21 WENDT Quarterly Results 22-Oct-21
KAJARIACER Quarterly Results;Interim Dividend 22-Oct-21 YESBANK Quarterly Results 22-Oct-21

CORPORATE ACTION

Company Name Ex-Date Purpose Company Name Ex-Date Purpose
INDOUS 22-Oct-21 E.G.M. RAJRAYON 25-Oct-21 Resolution Plan -Suspension
INEOSSTYRO 22-Oct-21 Special Dividend – Rs. – 192.00 CYIENT 26-Oct-21 Interim Dividend – Rs. – 10.00
NXTDIGITAL 22-Oct-21 Right Issue of Equity Shares DCMSHRIRAM 26-Oct-21 Interim Dividend – Rs. – 4.60
PRISMX 22-Oct-21 Stock  Split From Rs.10/- to Rs.1/- GOLDIAM 26-Oct-21 Buy Back of Shares
ASL 25-Oct-21 E.G.M. GPIL 26-Oct-21 Bonus issue 1:1
LTI 25-Oct-21 Interim Dividend – Rs. – 15.00 GPIL 26-Oct-21 Stock  Split From Rs.10/- to Rs.5/-

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