Trader’s Diary: Avoid fresh longs above 10,200 levels
Good set of financial numbers from Asian Paints and Zee Entertainment amid rally in banking counters after reports that the government is set to announce Rs 35,000-crore fund infusion into ailing PSU lenders with immediate effect lifted benchmark equity indices BSE Sensex and NSE Nifty for a second straight session on Tuesday.
1 New Update
08:10:55 PM IST, 24 October 2017
Markets would certainly give a thumbs up to this bold initiative and kickstart a virtuous cycle leading to rise in PSB share prices. This in turn would make it easier for them to raise equity capital from the market. Sectors such as construction, engineering, capital goods, cement and steel etc will benefit from this massive capital spend
- Ajay Bodke, CEO and Chief Portfolio Manager PMS, Prabhudas Lilladhar
07:33:10 PM IST, 24 October 2017
The index appeared to have registered an indecisive Doji Cross, suggesting caution on the part of market participants at higher levels. The Nifty50 is trading at the higher end of the trading range, whereas Bank Nifty is finding support at the lower end of its trading range around the 24,000 level. Any contribution from this index may give much-needed fillip to the bulls to absorb supplies, emanating from the around 10,250 level
- Mazhar Mohammad, Chief Strategist for Technical Research & Trading Advisory, Chartviewindia.in
07:04:15 PM IST, 24 October 2017
The index has been consolidating between 10,120 and 10,250 levels for last seven sessions and requires a decisive range breakout to commence the next leg of rally. Now, it has to continue to hold above the 10,178 level to witness an upward move towards the 10,250-10,280 zone while supports are seen at 10,178 and then 10,120 level
- Chandan Taparia, Technical & Derivative Analyst, Motilal Oswal Securities
06:33:07 PM IST, 24 October 2017
Nifty witnessed consolidation action in narrow range for second consecutive session ahead of Derivative expiry of Oct Series, representing tug of war between bulls and bears. Since past four sessions Nifty50 faced stiff resistance around the 10,240 level. If index manages to break this hurdle, then upward momentum is expected towards the 10,290-10,320 levels, while (10120-10105) bullish gap area formed on October 13 is likely to act as support zone for any minor corrective action in near term
- Rajesh Palviya, Head – Technical & Derivatives Analyst, Axis Securities
06:09:48 PM IST, 24 October 2017
Market continues to remain in a bull trend overall. We expect some increase in volatility in the short term, with volatility currently at historic lows. The max pain point in the current expiry is around the 10,100 level. We expect a settlement in the region of 10,100-10,200. We would advocate caution at this juncture and would not recommend fresh longs above 10,200 levels
- Nikhil Kamath, Co-Founder and Head of Trading, Zerodha
05:57:01 PM IST, 24 October 2017
Bank Nifty price action tomorrow will depend on the scale of recapatilsation.Bank Nifty gains in today’s session were partially subdued due to the lack of support from the private banks given the tepid results from HDFC Bank. We would be closely watching IDFC Bank, Kotak Mahindra and M&M Finance for tomorrow’s trading session
- Rahul Agarwal, Director Wealth Discovery
05:36:47 PM IST, 24 October 2017
Banking sector led the market higher on expectations over FM's announcement on recapitalisation plans for PSU banks later today, but earnings too did its part in keeping sentiments buoyant. F&O rollover has been low so far, understandably so with several central bank meetings lined up ahead, and potential for short covering shall keep market interested
- Anand James, Chief Market Strategist, Geojit Financial Services
05:21:08 PM IST, 24 October 2017
JUST IN
Cabinet approves PSU bank recap plan of Rs 2.11 lakh crore; Rs 1.35 lakh crore recap bonds for PSU Banks
04:30:09 PM IST, 24 October 2017
Volatility continued to plague market momentum as mixed global cues and the expiry of October derivatives contracts impacted investor sentiment. A sharp selloff in key index heavyweights weighed on market gains
- Karthikraj Lakshmanan, Senior Fund Manager – Equities, BNP Paribas MF
03:59:29 PM IST, 24 October 2017
INFOSYS REPORTS 7% YOY RISE IN Q2 NET PROFIT AT RS 3,726 CRORE
Infosys on Tuesday reported a 7 per cent YoY growth in net profit at Rs 3726 crore for the September quarter. The IT firm had reported a net profit of Rs 3,606 crore in the same quarter last year. On sequential basis, profit rose 3.4 per cent, the company said in a BSE filing. This was the company's first quarterly earnings after co-founder and former CEO Nandan Nilekani returned and took over the reins of the IT bellwether.
03:34:18 PM IST, 24 October 2017
CLOSING BELL: SENSEX ENDS 101 POINTS HIGHER
Nifty tops 10,200; PNB rallies 5%, Asian Paints 4%, SBI 3%.
03:18:59 PM IST, 24 October 2017
NIFTY INFRA INDEX SHOWS MAJOR STRUCTURAL RALLY IS BUILDING UP
The formation of a large bullish pattern, called Ascending Triangle, was observed on the weekly charts of the Nifty Infra Index. The 3,400-3,450 zone has seen formation of multiple tops since last four years, beginning 2014. Any breakout from this formation would mean a multi-year breakout for the index. A similar Ascending Triangle was observed also on the monthly chart of the Nifty Infra Index.
03:02:23 PM IST, 24 October 2017
03:01:47 PM IST, 24 October 2017
SBI PROFIT, CAPITAL HINGE ON NPA RESOLUTION: MOODY'S
The ongoing rounds of nonperforming loan resolutions initiated by the Reserve Bank of India hold the key to the State Bank of India credit profile, said Moody's Investors Service. "The resultant haircut on SBI's assets will likely show a substantial impact. Our scenario analysis concludes that SBI can absorb haircuts of up to 50-55 per cent, while maintaining a common equity Tier 1 ratio of above 9.5 per cent at the end of March 2019," it said in a report.
02:23:15 PM IST, 24 October 2017
NEW INDIA ASSURANCE'S RS 10,000 CRORE IPO TO OPEN ON NOVEMBER 1
New India Assurance (NIA), the largest general insurance company in India, will hit the capital markets on November 1 to raise an estimated Rs 10,000 crore through IPO, merchant banking sources said. The company's initial share sale will close on November 3, they added.
01:59:34 PM IST, 24 October 2017
01:35:25 PM IST, 24 October 2017
There is some more pain in banks for at least a couple of quarters more. Most of the corporate banks are going to face trying times in the next two or three quarters. It is best to be avoided at the moment but if you hit very, very attractive valuations, one can once again evaluate but at the moment, one can avoid these banks.
- Nischal Maheshwari, Head-Institutional Equities, Edelweiss Securities
01:17:55 PM IST, 24 October 2017
HDFC BANK Q2 PROFIT JUMPS 20% YoY TO RS 4,151 CRORE
HDFC Bank on Tuesday reported 20.1 per cent year-on-year rise in net profit at Rs 4,151 crore for the September quarter. The numbers came in line with the Street expectations. The bank said the interest earned during the quarter rose 22.6 per cent YoY to Rs 13,358 crore.
12:35:35 PM IST, 24 October 2017
TATA STOCKS RIDE CHANDRA-YAAN
Some key Tata Group stocks have outperformed Sensex and Nifty in the one year since the ouster of Cyrus Mistry as the Tata Sons chief, underlining investor support for steps taken by the N Chandrasekaran-led team. Rising commodity prices, share buybacks and successful restructuring in Tata Teleservices and Tata Steel have given investors confidence that the group may be able to put aside past troubles.
12:17:40 PM IST, 24 October 2017
ZEE ENTERTAINMENT REPORTS 148% YoY RISE IN Q2 NET PROFIT
Zee Entertainment on Tuesday reported nearly 148 per cent year-on-year rise in consolidated net profit at Rs 590.80 crore for the second quarter ended September 30, 2017. It had reported net profit of Rs 238.40 crore in the corresponding quarter last year. Consolidated total revenue of the company increased 2.68 per cent on a year-on-year basis to Rs 1,785.18 crore in Q2FY18 over Rs 1738.67 crore in Q2FY17.
11:53:54 AM IST, 24 October 2017
A WORLD OF RISK: BLACKROCK’S LIST OF TOP GEOPOLITICAL THREATS
11:28:57 AM IST, 24 October 2017
OVER 60 STOCKS HIT FRESH 52-WEEK HIGHS
Over 60 stocks, including Bharti Airtel, Delta Corp, Electrosteel Steels and Ganges Securities hit fresh 52-week highs on NSE in Tuesday's trade. Stocks such as Gujarat Mineral Development Corporation, Godrej Properties, Gujarat State Petronet, Hexaware Technologies, Indraprastha Gas, MOIL, Page Industries, Petronet LNG, Reliance Industries, Tata Chemicals, Tata Steel, Torrent Power and Zuari Global too hit a fresh 52-week highs today.
11:13:31 AM IST, 24 October 2017
MACD CHARTS SHOW 50 STOCKS SET FOR CORRECTION
Among the stocks that saw bearish crossovers were Indiabulls Ventures, Avenue Supermarts, Fineotex Chemical, Titan Company, MMTC, Dabur India, JK Tyre, Lupin, Tribhovandas Bhimji Zaveri and TVS Motor.
10:45:12 AM IST, 24 October 2017
COCHIN SHIPYARD GAINS 2% ON FORMING JV WITH HOOGHLY DOCK
Shares of Cochin Shipyard climbed as much as 2 per cent in morning trade after the company formed a joint venture with Hooghly Dock & Port Engineers for upgradation and modernisation of shipbuilding infrastructure at the two shipyard sites of Salkia and Nazirgunge in Kolkata. The stock had hit 52-week high of Rs 592.20 on October 11, 2017 and 52-week low of Rs 435 on August 11, 2017. On the BSE, 47,000 shares were traded in the counter so far, compared with average daily volumes of 2.70 lakh shares in the past two weeks.
10:26:03 AM IST, 24 October 2017
RCOM DROPS AFTER DOT OKAYS MERGER WITH SSTL
Shares of Reliance Communications were trading marginally lower in Tuesday's trade after the telecom department approved the company's merger Sistema Shyam Telecom Limited (SSTL), which operates the MTS brand in nine circles in India, two sources aware of the development said.
10:07:50 AM IST, 24 October 2017
INFOSYS, HDFC BANK, 3 OTHERS NIFTY STOCKS RISE AHEAD OF Q2 RESULTS
Shares of result-bound five Nifty50 companies were trading flat to positive note in Tuesday's trade. These companies are scheduled to report quarterly earnings later in the day. Shares of Infosys were trading 0.05 per cent lower at Rs 939.15. Shares of HDFC Bank were trading 0.34 per cent higher at Rs 1,869. Shares of Ambuja Cements advanced 0.75 per cent, while those of Zee Entertainment were trading 0.90 per cent higher. Asian Paints added 1.16 per cent to Rs 1,185.95.
09:49:16 AM IST, 24 October 2017
HAVELLS INDIA PLUNGES 5% ON LESS-THAN-EXPECTED Q2 PROFIT
Shares of Havells India dropped over 5 per cent in Tuesday's trade on less-than-expected quarterly numbers. Taking its losing streak to second session, the stock fell 5.06 per cent to hit a low of Rs 514 on BSE. The had closed 1.08 per cent lower on Monday after the company said its net profit for the September quarter stood at Rs 171.02 crore. The numbers included the figures for the acquired consumer durable business of Lloyd Electric and Engineering.
09:20:57 AM IST, 24 October 2017
OPENING BELL: SENSEX RISES 100 PTS, NIFTY TOPS 10,200
Sensex rises 100 pts, Nifty tops 10,200; Tata Steel, Kotak Bank up 1%; ICICI Bank slips 1%.
09:02:27 AM IST, 24 October 2017
PRE-OPEN SESSION: NIFTY ABOVE 10,200
Nifty above 10,200; Sensex up over 50 points; Rupee trades at 64.96 against US dollar.
08:40:49 AM IST, 24 October 2017
SIGNAL FROM SINGAPORE
Nifty50 futures on the Singapore Stock Exchange were trading 10 points, or 0.10 per cent, lower at 10,190, indicating a flat to negative start for the domestic market.
08:40:36 AM IST, 24 October 2017
NIFTY TECHNICAL CHARTS
Manas Jaiswal, Manas Jaiswal Technical Research Group said that the index did not breach its Thursday’s low of 10,125, which suggested that the index has a strong support near to 10100.
"Keep your stop loss below 10,100. After some consolidation, Nifty can give a breakout above 10,250. And if it breaks that, then it can very soon test 10,350 or 10,400 level. It's a buy on declines market. Any decline would be a great buying opportunity with a stop loss of 10,100," Jaiswal told ET NOW.
"Keep your stop loss below 10,100. After some consolidation, Nifty can give a breakout above 10,250. And if it breaks that, then it can very soon test 10,350 or 10,400 level. It's a buy on declines market. Any decline would be a great buying opportunity with a stop loss of 10,100," Jaiswal told ET NOW.
08:40:24 AM IST, 24 October 2017
MARKET-WIDE ROLLOVERS AT 19%
Market-wide rollovers till Monday stood at 19 per cent compared with an average rollover of 22 per cent seen in the last three F&O series. Nifty futures rollovers at 17 per cent too stood lower than 22 per cent rollovers seen on an average in last three series.
08:40:09 AM IST, 24 October 2017
WATCH OUT: KEY EARNINGS TODAY
Infosys, HDFC Bank, Asian Paints, Ambuja Cements, Zee Entertainment, Can Homes, ABB, Rallis India, Raymond and ICICI Prudential are some of the companies scheduled to announce quarterly results on Tuesday.
08:39:49 AM IST, 24 October 2017
RELIANCE NIPPON SEES HUGE DEMAND FROM ANCHOR INVESTORS
Anil Ambani-led Reliance Group’s asset management arm is expected to see a huge demand of over Rs. 15,000 crore from anchor investors against the earmarked book size of Rs. 462 crore for them under its forthcoming IPO, merchant banking sources said.
08:38:57 AM IST, 24 October 2017
BHARAT 22 LIKELY BY NOVEMBER-END
The government is expected to launch the Bharat-22 exchange-traded fund (ETF) by November-end. An inter-ministerial panel headed by finance minister Arun Jaitley on Monday finalised the launch date and quantum of issuance of the exchange-traded fund.
08:38:37 AM IST, 24 October 2017
M&A WATCH: RCOM, SISTEMA RECEIVE DOT NOD FOR MERGER
The Department of Telecom (DoT) has cleared the merger of Sistema Shyam Teleservices with Reliance CommunicationsBSE 7.60 %, a deal that will reduce the number of mobile operators in the country to ten.
08:37:40 AM IST, 24 October 2017
RUPEE SETTLES HIGHER AGAINST DOLLAR
Snapping its two-session losing trend, the rupee on Monday ended marginally higher by 2 paise at 65.02 a dollar on fresh selling of the American currency by banks and exporters coupled with firm local equities.The domestic currency largely shrugged off the initial volatility and rebounded sharply towards the fag-end trade despite the US dollar gaining strength against key rivals overseas.
08:37:20 AM IST, 24 October 2017
US STOCKS EDGED LOWER
The Dow Jones Industrial Average index fell 54.25 points, or 0.23 percent, to 23,274.38, the S&P500 index lost 10.19 points, or 0.40 percent, to 2,565.02 and the Nasdaq Composite index dropped 42.23 points, or 0.64 percent, to 6,586.83.
08:37:02 AM IST, 24 October 2017
SENSEX ON MONDAY
The domestic market on Monday ended on a positive note with Nifty50 closing at 10,192.25, up 0.45 per cent or 46 points and BSE Sensex at 32,506.72, up as many as 117 points or 0.36 per cent.
08:31:55 AM IST, 24 October 2017
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