Share Market Today 3rd March 2020

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Market Recap

<   It was another disappointing session on D-Street for the domestic market. Initially, the index NIFTY spot started the week on an optimistic note, following positive global cues. As the day progressed, the NIFTY retested the 11,400 mark, but the sell-off during the final hour of the session forced the index to plunge almost 400 points from the high and registered an intraday low of 11,036. Eventually, it ended with a loss of 70 points near the 11,100 mark, whereas the NIFTY BANK index collapsed around 1,200 points from the day’s high to close deeply in the red.

The overall market breadth remained extremely week during the first half but turned negative at the end of the session. On the sectoral front, apart from NIFTY IT all the group indices ended with heavy losses due to broad-based selling. Among the losers, NIFTY PSU BANK and NIFTY MEDIA stocks were the worst performers. The broader market indices like the NIFTY MIDCAP100 and NIFTYSMLCAP100 ended with a loss of around 0.6% to 1.20%.


Market Outlook

<   Since the beginning of this year, we have been mentioning that the index NIFTY has been trading in a long-term rising channel and the chances of it retesting the lower range are quite high. In line with that view, the NIFTY finally took a dip towards the 11,000 mark and exactly tested the lower end of this channel. Going forward, 11,000 would act as a strong support for the index in the forthcoming session.

<   If that is breached on a closing basis, then the next target could be 10,600 for the coming weeks. On the upside, the intermediate resistance is placed at the 11,200 mark. Only a close above this level might provide some relief for the markets. In that scenario, we expect the bounce to be sharper and towards the 11,500 mark.




Bank Nifty Outlook

<   With a fall of more than 1200 points during yesterday’s session, the index NIFTY BANK is trading below the 29,000 mark and has entered an oversold zone in the intraday time frame. Currently, it is trading near the support of 28500 - 28350. Similar to NIFTY, there is a possibility of bounce bank in NIFTY BANK index.

However, 30,000 is likely to remain a strong resistance for the index, from where selling could remerge. Traders are advised to remain light and avoid any aggressive bets



Note on Participants Activity

<   In index futures, FIIs remained bullish by unwinding heavy short positions and adding some longs. In index options they remained neutral by buying both CE and PE options.

<   In rupee terms, FII bought index futures of 3159 crores and index options they were buyers of 4217 crores.

<   In cash segment, FII were sellers of around 1355 crores while DIIs bought equities worth 1139 crores.


Derivative Outlook

<   Yesterday’s price action of NIFTY future was highly volatile with a decline in OI by 9%. The volumes too were high which indicates unwinding of both long and shorts.

<   The premium of NIFTY Future is now at -9 from 52 points. The PCR has reached 1.14 from 1.01 which is slightly in an oversold zone.

<   As per the NIFTY option chain overall OI at 11000 strike PE is now at 1.5 million shares which can act as support. On the upside, there is OI built up in 11300 CE options of around 1.3 million shares which indicate resistance there.



Exhibit 6: LONG BUILT UP

SYMBOL

Close

Price change %

OI

OI Change %

NAUKRI

2688

3.46%

266200

76.29%

ESCORTS

847.45

8.60%

5090800

26.90%

BANDHANBNK

394.8

2.81%

3176400

17.85%

MINDTREE

929.5

2.10%

1184800

17.17%

IBULHSGFIN

284.8

2.30%

22888800

10.14%

Source: Company, IndiaNivesh Research

 

Exhibit 7: SHORT BUILT UP

SYMBOL

Close

Price change %

OI

OI Change %

PVR

1665.2

-9.93%

1114800

38.24%

INDIGO

1208.9

-5.84%

3374700

24.27%

MOTHERSUMI

100.05

-2.10%

24310000

18.15%

JUBLFOOD

1658.9

-5.10%

2476000

9.12%

BALKRISIND

1067.55

-2.71%

1680000

8.81%

Source: Company, IndiaNivesh Research

 

Exhibit 8: LONG UNWINDING

SYMBOL

Close

Price change %

OI

OI Change %

TATACHEM

700.85

-1.48%

1101600

-44.69%

IDEA

3.45

-11.54%

459228000

-9.85%

NIFTY

11123.7

-0.23%

15238575

-9.09%

NTPC

101.7

-2.49%

75806400

-8.88%

BIOCON

280.95

-2.09%

10658200

-7.43%

Source: Company, IndiaNivesh Research

 

Exhibit 9: SHORT COVERING

SYMBOL

Close

Price change %

OI

OI Change %

TORNTPOWER

308.3

2.51%

3711000

-14.51%

L&TFH

102.4

2.40%

18978400

-11.54%

NIFTYIT

15410

1.83%

4550

-9.90%

EICHERMOT

16952.5

2.19%

254160

-9.02%

NIITTECH

1767.1

5.86%

566625

-7.30%

Source: Company, IndiaNivesh Research




Nifty 50 Pivots

SYMBOL

Close

S2

S1

Pivot

R1

R2

ADANIPORTS

340.65

330.58

335.62

343.33

348.37

356.08

ASIANPAINT

1786.80

1729.63

1758.22

1797.83

1826.42

1866.03

AXISBANK

684.20

652.97

668.58

690.92

706.53

728.87

BAJAJ-AUTO

2792.20

2663.73

2727.97

2836.23

2900.47

3008.73

BAJFINANCE

4360.75

4115.82

4238.28

4428.12

4550.58

4740.42

BAJAJFINSV

8914.50

8515.50

8715.00

9007.50

9207.00

9499.50

BPCL

412.35

384.88

398.62

420.23

433.97

455.58

BHARTIARTL

518.35

497.92

508.13

522.07

532.28

546.22

INFRATEL

216.85

201.72

209.28

217.77

225.33

233.82

BRITANNIA

2949.10

2847.07

2898.08

2976.02

3027.03

3104.97

CIPLA

401.95

386.02

393.98

402.62

410.58

419.22

COALINDIA

169.35

164.18

166.77

170.88

173.47

177.58

DRREDDY

2905.55

2805.02

2855.28

2926.27

2976.53

3047.52

EICHERMOT

17013.40

16006.53

16509.97

17146.43

17649.87

18286.33

GAIL

99.65

93.25

96.45

101.90

105.10

110.55

GRASIM

668.45

631.55

650.00

675.75

694.20

719.95

HCLTECH

549.70

523.13

536.42

551.13

564.42

579.13

HDFCBANK

1179.60

1147.30

1163.45

1182.30

1198.45

1217.30

HEROMOTOCO

1975.45

1866.48

1920.97

2015.48

2069.97

2164.48

HINDALCO

149.75

138.08

143.92

152.68

158.52

167.28

HINDUNILVR

2159.45

2080.98

2120.22

2181.08

2220.32

2281.18

HDFC

2179.65

2099.38

2139.52

2193.93

2234.07

2288.48

ICICIBANK

506.10

486.27

496.18

508.37

518.28

530.47

ITC

195.30

187.67

191.48

197.47

201.28

207.27

IOC

103.95

96.85

100.40

106.65

110.20

116.45

INDUSINDBK

1079.25

1028.52

1053.88

1095.42

1120.78

1162.32

INFY

741.05

714.75

727.90

746.90

760.05

779.05

JSWSTEEL

235.00

221.80

228.40

237.45

244.05

253.10

KOTAKBANK

1599.00

1553.73

1576.37

1606.83

1629.47

1659.93

LT

1160.90

1112.80

1136.85

1174.60

1198.65

1236.40

M&M

458.30

430.27

444.28

458.37

472.38

486.47

MARUTI

6285.15

6135.35

6210.25

6324.90

6399.80

6514.45

NTPC

103.90

98.23

101.07

105.53

108.37

112.83

NESTLEIND

16109.95

15694.65

15902.30

16108.65

16316.30

16522.65

ONGC

89.10

84.03

86.57

90.78

93.32

97.53

POWERGRID

183.50

178.70

181.10

184.15

186.55

189.60

RELIANCE

1316.15

1260.85

1288.50

1328.75

1356.40

1396.65

SBIN

287.40

266.53

276.97

294.48

304.92

322.43

SUNPHARMA

369.50

351.87

360.68

372.17

380.98

392.47

TCS

2001.30

1945.40

1973.35

2013.65

2041.60

2081.90

TATAMOTORS

125.40

117.60

121.50

127.70

131.60

137.80

TATASTEEL

39.95

36.72

38.33

40.62

42.23

44.52

TECHM

744.55

724.42

734.48

744.47

754.53

764.52

TITAN

1244.15

1189.38

1216.77

1255.38

1282.77

1321.38

UPL

514.35

489.85

502.10

521.85

534.10

553.85

ULTRACEMCO

4141.70

3941.10

4041.40

4178.85

4279.15

4416.60

VEDL

110.95

102.72

106.83

113.12

117.23

123.52

WIPRO

220.80

213.47

217.13

222.07

225.73

230.67

YESBANK

31.55

26.55

29.05

32.30

34.80

38.05

ZEEL

233.85

218.52

226.18

237.57

245.23

256.62

Note: The levels for TATASTEEL are of TATASTEEL Partly Paid up Share.


Disclaimer: Investment in securities market / Mutual Funds are subject to market risks, read all the related documents carefully before investing. 




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Commodity Report 2nd March 2020

Daily change & technical levels Scrip Close Change (%) R2 R1 Pivot S1 S2 GOLD 41397 -2.33 43278 42338 41806 40866 40334 SILVER 44403 -4.83 47535 45969 44963 43397 42391 CRUDE 3263 -3.89 3421 3342 3274 3195 3127 NG 124.30 -0.40 132.00 128.10 124.00 120.00 115.80 ALUMINI 136.70 1.48 138.70 137.70 135.80 134.80 132.90 COPPER 421.85 -0.14 429.30 425.60 420.40 416.70 411.60 LEADMINI 143.75 1.27 147.70 145.70 142.60 140.70 137.60 NICKEL 901.00 -0.42 923.20 912.10 900.60 889.50 878.00 ZINCMINI 154.85 1.14 160.75 157.80 154.00 151.05 147.25 DIAMOND 3635.25 1.37 3675.50 3655.40 3626.70 3606.60 3577.90 STEELLONG 31740 -0.31 31910 31830 31750 31670 31590 Comex division Bullions Last close Change (%) Gold $1587.15 -3.37 Silver $16.55 -6.30 Base metal inventory Scrip Inventory Change Alumni 1082150 -10125 Copper 238175 -1700 Lead 67800 +250 Nickel 235428 +5568 Zinc 75275 -150 * Closing rates of 28 Feb & LME stock of 28 Feb BULLION Gold and silver crash as precious metals witness coronavirus-led free fall. Trend volatile. Review On Friday, gold and silver prices settled on a weaker note in international markets. Gold April futures settled at $1,587.15 per troy ounce, down by 3.37%, while silver March futures settled at $16.55 per troy ounce, down by 6.30%. Domestic markets also settled on a weaker note. Gold settled at Rs41,397 per 10 grams with a loss of 2.33%, and silver settled at Rs44,403 per kilogram with a loss of 4.83%. Gold and silver extended the fall on Friday due to extreme volatility in the global financial markets. Both precious metals saw a sharp upswing in the prices at the start of the last week, and gold hit a seven-year high of $1,688.66 on Monday, but it posted the biggest weekly decline since November. Silver also slipped from record highs. The rapid spread of the coronavirus raised fears of a pandemic, with six countries reporting their first cases and the World Health Organization warning it could spread worldwide. Panic over the virus sent stock markets across the world on course for their worst weekly fall since 2008, with almost $6 trillion wiped out from their market value last week. We expect both the precious metals remain volatile this week. Gold has support at $1,574–1,566 and resistance is at $1,600–1,614. Silver has support at $16.40–16.16, while resistance is at $16.80–17.00. Today, gold has support at Rs40,866–40,334, while resistance is at Rs42,338–43,278. Silver has support at Rs43,397–42,391, while resistance is at Rs45,969–47,535. Traders are suggested to trade in a range with a strict stop-loss. ENERGY Crude oil crashes on Friday; worst weekly crash in oil prices since 2008 financial crisis. Trend volatile. Crude oil has support at Rs3,195–3,127, while resistance is at Rs3,342–3,421; traders are suggested to trade in a range with a strict stop-loss. BASE METALS Base metals recover from their lows after Fed comment for interest rate cuts. Trend volatile. Review On Friday, base metals settled on a mixed note in the international markets. 3M LME copper settled at $5,590.00 per metric ton with a loss of 1.15% from the previous close. Base metal prices plunged again on Friday but prices recovered from their lows after a statement from Fed Chairman Jerome Powell for interest rate cuts to support financial markets. Global financial markets crashed last week due to the effect of coronavirus and base metals also slipped to record lows. Global demand of base metals fell and the IMF also downgraded the global growth outlook last week. We expect base metal prices to remain volatile this week and a dead cat bounce is expected due to short coverings. Today, copper has support in the range of Rs417–412, while resistance is at Rs426–429. Nickel should trade in the range of Rs884–922, zinc should trade in the range of Rs151–158, lead should trade in the range of Rs141–147, and aluminium should trade in the range of Rs135–139. Copper has support at Rs417 and Rs412, while resistance is at Rs426 and Rs429; traders are suggested to trade as per levels with a strict stop-loss. AGRI COMMODITIES Agricultural commodities crash again; worst week for edible oils and oil seeds. Trend volatile. Review On Friday, agricultural commodities plunged again. Most of the agricultural commodities settled in the red due to coronavirus impact, and after the WHO health advisory on other countries. It was the worst week for oil seeds and edible oils. Bursa Malaysia KLC also settled negative. Soybean March futures settled on a weaker note in domestic markets at Rs3,700 per quintal with a loss of 2.53%. CBOT settled at 893 cents. Other agricultural commodities settled on a mixed note at NCDEX. Chana March futures settled with a loss of 0.15%, while castor seed futures settled with a gain of 0.05%. RM seed April futures closed with a loss of 0.50%. Guar seed settled with a loss of 0.71%, and guar gum also settled with a loss of 1.84%. The spices pack settled on a mixed note; jeera settled positive, while coriander and turmeric settled negative. Cotton seed oil cake March futures closed positive with a gain of 2.65%. Refined soy oil March futures closed negative at Rs766.60. We expect refined soy oil to trade in the range of Rs755–778. Soybean has support at Rs3,670–3,655, while resistance is at Rs3,740–3,785. Refined soy oil has support at Rs758–755, while resistance is at Rs772–778. Traders are suggested to trade as per levels with a strict stop-loss.News Source: Bloomberg, investing.com, kitco.com and ticker news. Disclaimer: This document has been prepared by IndiaNivesh Commodities Private Limited (IndiaNivesh), for use by the recipient as information only and is not for circulation or public distribution. This document is not to be reproduced, copied, redistributed or published or made available to others, in whole or in part without prior permission from us. This document is not to be construed as an offer to sell or the solicitation of an offer to buy any commodity. Recipients of this document should be aware that past performance is not necessarily a guide for future performance and price and value of investments can go up or down. The suitability or otherwise of any investments will depend upon the recipients particular circumstances. The information contained in this document has been obtained from sources that are considered as reliable though its accuracy or completeness has not been verified by IndiaNivesh independently and cannot be guaranteed. Neither IndiaNivesh nor any of its affiliates, its directors or its employees accepts any responsibility or whatever nature for the information, statements and opinion given, made available or expressed herein or for any omission or for any liability arising from the use of this document. Opinions expressed are our current opinions as of the date appearing on this material only. IndiaNivesh directors and its clients may have holdings in the commodity and currencies mentioned in the report.)

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Share Market Today 4th March 2020

Market Recap Market Outlook              Bank Nifty Outlook Note on Participants Activity Derivative Outlook Exhibit 6: LONG BUILT UP SYMBOL Close Price change % OI OI Change % PVR 1721.6 3.39% 1420400 27.41% NAUKRI 2799.85 4.16% 314400 18.11% HDFCLIFE 565.4 1.88% 1469700 16.73% JUBLFOOD 1688.95 1.81% 2823500 14.03% DIVISLAB 2186 3.36% 2172800 13.47% Source: Company, IndiaNivesh Research   Exhibit 7: SHORT BUILT UP SYMBOL Close Price change % OI OI Change % EQUITAS 105.4 -1.08% 17826200 5.76% ITC 194.7 -0.69% 149320800 3.00% CESC 634.55 -0.71% 1746400 1.96%                     Source: Company, IndiaNivesh Research   Exhibit 8: LONG UNWINDING SYMBOL Close Price change % OI OI Change % CONCOR 491.15 -0.79% 4784343 -5.50% BATAINDIA 1622.4 -0.41% 2478850 -2.91% BERGEPAINT 544.4 -1.59% 6331600 -1.67%                     Source: Company, IndiaNivesh Research  Exhibit 9: SHORT COVERING SYMBOL Close Price change % OI OI Change % TATACHEM 722.55 3.10% 402300 -63.48% EICHERMOT 17788.9 4.93% 216870 -14.67% NTPC 105.3 3.54% 67401600 -11.09% UJJIVAN 340.8 3.87% 5319300 -9.28% MFSL 591.95 2.92% 2380300 -6.87% Source: Company, IndiaNivesh Research Corporate Action TATA Chemicals Limited Tata Chemicals will trade ex-Consumer Product Business from today (4th March 2020). Nifty 50 Pivots SYMBOL Close S2 S1 Pivot R1 R2 ADANIPORTS 347.30 339.07 343.18 346.12 350.23 353.17 ASIANPAINT 1800.55 1744.18 1772.37 1795.18 1823.37 1846.18 AXISBANK 687.15 665.18 676.17 685.98 696.97 706.78 BAJAJ-AUTO 2692.25 2614.75 2653.50 2691.75 2730.50 2768.75 BAJFINANCE 4454.10 4261.47 4357.78 4416.37 4512.68 4571.27 BAJAJFINSV 8963.65 8483.45 8723.55 8920.10 9160.20 9356.75 BPCL 425.00 408.23 416.62 421.88 430.27 435.53 BHARTIARTL 520.80 503.57 512.18 522.77 531.38 541.97 INFRATEL 219.35 207.18 213.27 219.13 225.22 231.08 BRITANNIA 3026.50 2931.83 2979.17 3012.33 3059.67 3092.83 CIPLA 425.30 391.63 408.47 418.83 435.67 446.03 COALINDIA 178.20 167.50 172.85 176.25 181.60 185.00 DRREDDY 3043.70 2870.90 2957.30 3017.65 3104.05 3164.40 EICHERMOT 17888.45 17135.48 17511.97 17776.48 18152.97 18417.48 GAIL 103.20 97.87 100.53 102.17 104.83 106.47 GRASIM 700.05 658.28 679.17 691.88 712.77 725.48 HCLTECH 565.05 549.18 557.12 562.93 570.87 576.68 HDFCBANK 1181.80 1161.03 1171.42 1178.38 1188.77 1195.73 HEROMOTOCO 2054.85 1943.72 1999.28 2031.57 2087.13 2119.42 HINDALCO 159.30 147.20 153.25 156.85 162.90 166.50 HINDUNILVR 2166.65 2118.08 2142.37 2165.98 2190.27 2213.88 HDFC 2191.40 2143.60 2167.50 2197.20 2221.10 2250.80 ICICIBANK 514.75 503.25 509.00 514.25 520.00 525.25 ITC 193.85 189.72 191.78 194.62 196.68 199.52 IOC 106.65 102.75 104.70 106.25 108.20 109.75 INDUSINDBK 1108.05 1054.72 1081.38 1099.67 1126.33 1144.62 INFY 747.00 731.33 739.17 749.08 756.92 766.83 JSWSTEEL 246.45 234.28 240.37 244.73 250.82 255.18 KOTAKBANK 1626.30 1567.20 1596.75 1616.55 1646.10 1665.90 LT 1181.30 1151.97 1166.63 1176.72 1191.38 1201.47 M&M 466.25 448.42 457.33 464.17 473.08 479.92 MARUTI 6386.05 6221.25 6303.65 6362.90 6445.30 6504.55 NTPC 108.90 102.07 105.48 107.72 111.13 113.37 NESTLEIND 16359.40 15960.80 16160.10 16329.55 16528.85 16698.30 ONGC 93.35 87.98 90.67 92.33 95.02 96.68 POWERGRID 191.70 176.83 184.27 189.48 196.92 202.13 RELIANCE 1342.85 1307.68 1325.27 1339.58 1357.17 1371.48 SBIN 289.85 280.75 285.30 289.85 294.40 298.95 SUNPHARMA 393.55 364.58 379.07 387.73 402.22 410.88 TCS 2036.20 1988.07 2012.13 2036.07 2060.13 2084.07 TATAMOTORS 130.35 122.85 126.60 129.00 132.75 135.15 TATASTEEL 41.85 39.28 40.57 41.28 42.57 43.28 TECHM 752.30 735.13 743.72 750.68 759.27 766.23 TITAN 1247.00 1201.00 1224.00 1248.00 1271.00 1295.00 UPL 521.55 506.15 513.85 520.25 527.95 534.35 ULTRACEMCO 4299.90 4090.70 4195.30 4262.15 4366.75 4433.60 VEDL 119.55 110.72 115.13 118.07 122.48 125.42 WIPRO 223.70 218.17 220.93 223.37 226.13 228.57 YESBANK 31.20 28.87 30.03 31.67 32.83 34.47 ZEEL 251.10 224.87 237.98 246.97 260.08 269.07   Note: The levels for TATASTEEL are of TATASTEEL Partly Paid up Share. Disclaimer: Investment in securities market / Mutual Funds are subject to market risks, read all the related documents carefully before investing. )

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