Morning Outlook 8th June, 2022

NIFTY:

Nifty opened at 16469.60 with a gap down of 100 points. The index continued moving lower wit h minor rallies in between which fizzled out quickly and prices have recorded its intraday low at 16347.10.Prices have recorded its intraday high at 16487.25 a few ticks above the opening price. The index has seen a minor rally in t he afternoon and then went into consolidation.The consolidation lasted till the market closing and prices finally settled at 16416.35 almost in the middle of today’s trading range with a loss of 153.20 points or 0.92% down. OIL GAS and AUTO outperformed today and ended wit h some gains. The rest of the sectoral indices have closed wit h loss led by REALTY,FMCG, and IT sector and followed by the BANK, FINANC IAL, and PHARMA.

short-term trend is now sideways which was up before. It will be up again if the index closes above 16700 and it will be down if the index closes below 16350. It is also a strong support level for the NIFTY.

BANK NIFTY:

Bank Nifty opened at 35080.80 with a big gap down of 234 points. The index moved further on the downside and then bounced up. The rally fizzled out quickly and prices have resumed its down move after recording the intraday high at 35154.30. The index recorded its intraday low at 34834.40 and then saw some recovery in the last 30 minutes of trading to finally close at 34972.05 with a loss of 342 points. PVT BANKS have underperformed today and ended wit h a loss of nearly 1%. PSU BANKS have also moved down today and ended wit h a loss of 0.30%. Within the index, in terms of points, SBIN contributed the highest on the upside while ICIC IBANK contributed the lowest.

The short-term trend is now sideways as prices have seen a minor dip after a consolidation. Strong support should emerge around 34500 as it was also a breakout point from a range. Tomorrow is the RBI Policy Meet Outcome scheduled so we may see higher volatility. We will plan our trade accordingly till then we should avoid trading the index for the time being.

TECHNICAL PICKS

DERIVATIVE PICKS

 

Top Delivery Percentage

UPCOMING ECONOMIC DATA

NEWS UPDATES

• Reliance Jio has expanded the reach of its 4G services in Ladakh region to a village close to Pangong lake, an area which has been a friction point between India and China in recent years. Officials said Reliance Jio launched its 4G voice and data services at Spangmik village near Pangong lake in Ladakh. The telecom operator became the first network to provide 4G mobile connectivity in and around the Pangong area, a popular tourist destination, officials said.

• SoftBank Group-backed Ola Electric is in talks with multiple global suppliers to build a battery cell manufacturing plant in India with a capacity of up to 50-gigawatt hours, sources said. As part of its broader electrification push, the firm plans to invest in companies with advanced cell and battery technology, alongside the 50 Gwh battery plant.

• The government plans to monetise assets worth Rs 75,220 crore in the coal mining sector in the current financial year. The monetisation of coal blocks is likely to generate a revenue of Rs 52,200 crore, followed by Rs 20,320 crore from projects on Mine Developer and Operator (MDO) model, Rs 2,000 crore from discontinued mines and Rs 700 crore from washeries, the coal ministry said in its monetisation plan for the 2022-23.

• Commonly used drugs for cough, cold, pain and skin irritation such as paracetamol, nasal decongestants and antifungals may soon be available without prescription as the Centre plans to list them under the over-the-counter (OTC) category.

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

BOARD MEETINGS

CORPORATE ACTION

Disclosure in pursuance of Section 19 of SEBI (RA) Regulation 2014

Elite Wealth Limited does/does not do business with companies covered in its research reports. Investors should be aware that the Elite Wealth Limited may/may not have a conflict of interest that could affect the objectivity of this report. Investors should consider this report as only information in making their investment decision and must exercise their own judgment before making any investment decision.
For analyst certification and other important disclosures, see the Disclosure Appendix, or go to www.elitewealth.in. Analysts employed by Elite Wealth Limited are registered/qualified as research analysts with SEBI in India.( SEBI Registration No.: INH100002300)
Disclosure Appendix
Analyst Certification (For Reports)
Israil Khan, Elite Wealth Limited, suhail@elitewealth.in
The analyst(s) certify that all of the views expressed in this report accurately reflect my/our personal views about the subject company or companies and its or their securities. I/We also certify that no part of my compensation was, is or will be, directly or indirectly, related to the specific recommendations or views expressed in this report. Unless otherwise stated, the individuals listed on the cover page of this report are analysts in Elite Wealth Limited.
As to each individual report referenced herein, the primary research analyst(s) named within the report individually certify, with respect to each security or issuer that the analyst covered in the report, that:
(1) all of the views expressed in the report accurately reflect his or her personal views about any and all of the subject securities or issuers; and
(2) no part of any of the research analyst’s compensation was, is, or will be directly or indirectly related to the specific recommendations or views expressed in the report.
For individual analyst certifications, please refer to the disclosure section at the end of the attached individual notes.
Research Excerpts
This note may include excerpts from previously published research. For access to the full reports, including analyst certification and important disclosures, investment thesis, valuation methodology, and risks to rating and price targets, please visit www.elitewealth.in.
Company-Specific Disclosures
Important disclosures, including price charts, are available and all Elite Wealth Limited covered companies by visiting https://www.elitewealth.in, or emailing research@elitestock.com with your request. Elite Wealth Limited may screen companies based on Strategy, Technical, and Quantitative Research. For important disclosures for these companies, please e-mail research@elitestock.com.
Options related research:
If the information contained herein regards options related research, such information is available only to persons who have received the proper option risk disclosure documents. For a copy of the risk disclosure documents, please contact your Broker’s Representative or visit the OCC’s website at https://www.elitewealth.in
Other Disclosures
All research reports made available to clients are simultaneously available on our client websites. Not all research content is redistributed, e-mailed or made available to third-party aggregators. For all research reports available on a particular stock, please contact your respective broker’s sales person.
Ownership and material conflicts of interest Disclosure
Elite Wealth Limited policy prohibits its analysts, professionals reporting to analysts from owning securities of any company in the analyst’s area of coverage. Analyst compensation: Analysts are salary based permanent employees of Elite Wealth Limited. Analyst as officer or director: Elite Wealth Limited policy prohibits its analysts, persons reporting to analysts from serving as an officer, director, board member or employee of any company in the analyst’s area of coverage.
Country Specific Disclosures
India – For private circulation only, not for sale.
Legal Entities Disclosures
Mr. Ravinder Parkash Seth is the Managing Director of Elite Wealth Ltd (EWL, henceforth), having its registered office at Casa Picasso, Golf Course Extension, Near Rajesh Pilot Chowk, Radha Swami, Sector-61, Gurgaon-122001 Haryana, is a SEBI registered Research Analyst and is regulated by Securities and Exchange Board of India. Telephone:011-43035555, Facsimile: 011-22795783 and Website: www.elitewealth.in
EWL discloses all material information about itself including its business activity, disciplinary history, the terms and conditions on which it offers research report, details of associates and such other information as is necessary to take an investment decision, including the following:
1. Reports
a) EWL or his associate or his relative has no financial interest in the subject company and the nature of such financial interest;
(b) EWL or its associates or relatives, have no actual/beneficial ownership of one per cent. or more in the securities of the subject company, at the end of the month immediately preceding the date of publication of the research report or date of the public appearance;
(c) EWL or its associate or his relative, has no other material conflict of interest at the time of publication of the research report or at the time of public appearance;
2. Compensation
(a) EWL or its associates have not received any compensation from the subject company in the past twelve months;
(b) EWL or its associates have not managed or co-managed public offering of securities for the subject company in the past twelve months;
(c) EWL or its associates have not received any compensation for investment banking or merchant banking or brokerage services from the subject company in the past twelve months;
(d) EWL or its associates have not received any compensation for products or services other than investment banking or merchant banking or brokerage services from the subject company in the past twelve months;
(e) EWL or its associates have not received any compensation or other benefits from the Subject Company or third party in connection with the research report.
3 In respect of Public Appearances
(a) EWL or its associates have not received any compensation from the subject company in the past twelve months;
(b) The subject company is not now or never a client during twelve months preceding the date of distribution of the research report and the types of services provided by EWL