Markets Traded Choppy After Making Fresh Lifetime High
Market Outlook – 17 July 2017
Markets Traded Choppy After Making Fresh Lifetime High; It Remains Subdued With Minor Losses While Bank Nifty Shines; Short As Well As Primary Trend Remains Up; But May See Consolidation; Look For A Buying Opportunity In Individual Stocks.
Nifty had a choppy day but with some bullish bias due to recovery recorded in the index after initial dip. After an early dip that pushed index to intraday low near 9850, prices bounced back sharply that helped Nifty to close near the yesterday’s close at 9886.35. Earlier, Nifty opened at fresh highs above 9900 but struggled to cross day’s high.
WHAT LIES AHEAD: In India, the bull market is still in progress. There will be periods of deep correction / consolidation as the bull market moves ahead. These dips should be treated as buying opportunities for blue chip stocks. We cannot predict when and at what levels the bull market will terminate. We do not need to do so.
We understand that bull markets can far exceed initial expectations. So, we go with the flow, stay on the buy side.
The short term trend remains up. If you want to take long positions, do so but on sharp dip, just exit if Nifty falls below 9800. Longs can further be accumulated if Nifty clears and sustains above 9950 level with the same stop at 9800. Nifty is currently in uncharted territory so there are no set targets and as we have been doing so far just trail your profits above those levels with appropriate stops).
Due to recovery in the second half, bank nifty manages to close near lifetime highs. Index started the session with a gap up of 85 points at 23950 but saw a dip that took prices to intraday low near 23750. However, index bounced back sharply and made intraday high in last few minutes of trading at 23963.65. Bank Nifty closes near the high at 23943.20 with a gain of 78 points.
On the daily charts, Bank Nifty was in a trading range (23100-23800) from the month of May. Yesterday, prices broke out from range but eventually closed near its resistance; so breakout was not confirmed yesterday. Today, index sustain above its resistance for second consecutive day. So, trading range breakout is now confirmed in Bank Nifty. We were waiting for a decisive breakout in Bank Nifty for a buying opportunity.
Therefore, swing traders should look to buy the index above today’s high i.e. 23965. However, if price opens above this level then apply 15-min Rule.
The idea is to wait for first 15 minutes to be over. Your entry point will be the high made between 09:15 to 09:30 AM. If prices cross 15-minutes high, then take a long trade. Your stop will be same in both the cases at 23750.
|CADILAHC||533||BUY||Intermediate and Short Term Trend is up in CADILAHC. The stock has seen an upside rally and then started a process of correction. Prices have formed a trading range and broken above to it. Buy this stock above 535. If this trade executes then place a stop at 530 and a target at 545|
|SREINFRA||114||BUY||Intermediate and Short Term Trend is up in SREINFRA. The stock has seen an upside rally and then started trading inside a range. We may see a breakout here. Buy this stock above 115. If this trade executes then place a stop at 113 and a target at 119.|
|Stock Name||Strike Price||Buy/Sell||CMP||Initiation||Stop Loss||Target||Remarks|
|INDIAN BANK||JUNE FUT||BUY||317.6||CMP||308||330-340||OI Increase|
|Long Buildup||Short Buildup|
|Stocks||Price||Price%||OI %||OI||Stocks||Price||Price%||OI %||OI|
|AUROPHARMA.17.07 Jul||747.05||5.55||0.37||12724000||NATIONALUM.17.07 Jul||70.2||-3.77||15.24||9072000|
|JUBLFOOD.17.07 Jul||1170.2||4.73||3.24||2646000||JUSTDIAL.17.07 Jul||359||-2.35||5.72||4950000|
|STAR.17.07 Jul||1050||4.3||2.36||2251000||ICIL.17.07 Jul||164.8||-2.17||0.55||8928500|
|CESC.17.07 Jul||908.65||4.25||4.75||6743000||IOC.17.07 Jul||374.65||-2.05||2.49||26571000|
|ACC.17.07 Jul||1747.6||3.12||2.04||1682400||RAYMOND.17.07 Jul||795.3||-1.78||5.45||1872800|
|Short covering||Long Unwinding|
|BIOCON.17.07 Jul||8.59||-6.51||11552400||398.65||SINTEX.17.07 Jul||32.95||-3.65||-2.73||24638250|
|GAIL.17.07 Jul||4.68||-1.54||10596000||390.2||JPASSOCIAT.17.07 Jul||20.8||-2.35||-1.12||1.56E+08|
|INDIANB.17.07 Jul||4.11||-0.12||3226000||317.6||ADANIPOWER.17.07 Jul||29.85||-1.81||-0.55||1.2E+08|
|HINDPETRO.17.07 Jul||3.82||-0.67||27661725||389||IBREALEST.17.07 Jul||197.55||-1.54||-2.31||30080000|
|MFSL.17.07 Jul||2.74||-3.5||4819000||600.95||WIPRO.17.07 Jul||260.25||-1.36||-0.3||25358400|
TOP DELIVERY PERCENTAGE
|Stocks||Price||%Chg||Vol||Delivery||Del %||% Change|
|KAJARIA CERAMICS LTD||679.6||0.66||129482||392570||89.51||Nifty 50||9886.35||-0.05||27801990|
|Axis Bank Limited||512.95||0.21||3160157||19190329||86.32||Nifty Bank||23937.7||0.21||11493433|
|Bajaj Auto Limited||2809.8||0.72||150816||249264||82.03||Nifty IT||10330.65||-1.05||1890450|
|Kotak Mahindra Bank Limi||977.2||1.57||3771140||2249748||80.72||INDIA VIX||11.17||-0.71||2.44E+08|
|Hero MotoCorp Limited||3758.05||0.19||187230||304453||79.13||Nifty Pharma||9958.25||0.84||27655469|
|Mah & Mah Ltd.||1375.55||0.38||653673||604713||76.08||Nifty Realty||276.3||-0.72||9.92E+08|
|ICICI PRUDENTIAL LIFE IN||484.35||-0.39||309227||918938||75.85||Nifty Infrastructure||3338.8||0.3||82376658|
|HDFC Ltd.||1647.7||-0.56||1214121||2048254||75.06||Nifty PSU Bank||3519.9||0.96||78263140|
|Lupin Limited||1139.15||-0.25||855906||933108||74.66||Nifty Auto||10892.25||-0.41||25192082|
|Sun Pharma Ltd||572.55||0.57||3111057||3215026||73.66||Nifty Metal||3140.05||-0.42||87338013|
UPCOMING ECONOMIC DATA
|•RBI Monetary Policy on 02nd August, 2017.||•US Crude Oil Inventories on 19th July, 2017.
•Initial Jobless Claims on 20th July, 2017.
•Fed Interest Rate Decision on 26th July, 2017.
|•Maruti Suzuki has roped in IBSFINtech India, an expert in currency and securities management, to automate its entire treasury operations to protect itself from currency and market volatility, and eliminate errors.
•Inox Wind is headed for insolvency after the National Company Law Tribunal’s (NCLT) Chandigarh bench ordered the commencement of the process in response to an operational creditor’s plea, in the first such case in the renewable energy sector.
•The Competition Commission today ordered a fresh investigation against state-owned GAILBSE 4.85 % (India) for alleged abuse of dominant position with regard to supply of natural gas.
Source: Economics Times
|Company Name||Purpose||Date||Company Name||Purpose||Date|
|Company Name||Purpose||Ex-Date||Company Name||Purpose||Ex-Date|
|ASTEC||Final Dividend – Rs. – 1.5000||17-Jul-17||GRINDWELL||Dividend – Rs. – 4.0000||17-Jul-17|
|ATFL||Dividend – Rs. – 2.0000||17-Jul-17||INTELLECT||Right Issue of Equity Shares||17-Jul-17|
|BIMETAL||Dividend – Rs. – 7.5000||17-Jul-17||KALYANIFRG||Dividend – Rs. – 3.0000||17-Jul-17|
|DLINK||Dividend – Rs. – 2.0000||17-Jul-17||ORICON||Dividend – Rs. – 0.4600||17-Jul-17|
|DRREDDY||Dividend – Rs. – 20.0000||17-Jul-17||PVR||Final Dividend – Rs. – 2.0000||17-Jul-17|
|EVERESTIND||Dividend – Rs. – 1.0000||17-Jul-17||SHANKARA||Dividend – Rs. – 2.7500||17-Jul-17|
|GET&D||Dividend – Rs. – 1.8000||17-Jul-17||ALFREDHE||Dividend – Rs. – 2.0000||18-Jul-17|
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