Monday, 10 December 2018

Stock Recommendations for December 10 to December 14, 2018

Stock PickObservation
CompanyBharat Forge LimitedThe stock has formed a large bearish candlestick backed by an uptick in volumes on the weekly chart.
It has also given a breakdown below its 200-day EMA.
Derivative data indicates fresh short formation in the stock.

Buy or SellSell (Dec Futures)
Stop LossRs524
200 D-EMARs626


Friday, 7 December 2018

HCL Technologies to acquire select IBM Software products for $1.8bn

HCL Technologies (HCL) and IBM announced a definitive agreement under which HCL will acquire select IBM software products for $1.8bn. The transaction is expected to close by mid-2019, subject to completion of applicable regulatory reviews.

HCL and IBM have an ongoing IP Partnership for five of these products.

The products include Appscan for secure application development, BigFix for secure device management, Unica (on-premise) for marketing automation, Commerce (on-premise) for omni-channel eCommerce, Portal (on-premise) for digital experience, Notes & Domino for email and low-code rapid application development, and Connections for workstream collaboration.

OPTION CALL: BUY HCLTECH 960 PUT ABOVE 35.00 TARGETS 38.00 / 43.00 / 48.00 STOPLOSS 29.80 


Thursday, 6 December 2018

Power Grid wins bid for UP transmission line project; Stock up ~1%

Shares of Power Grid Corporation of Indiagained in the morning session today after it bagged a project to set up a transmission system for evacuating electricity from the 1,320MW Jawaharpur thermal power project and construct a substation in Uttar Pradesh.

Power Grid has been declared as the successful bidder under Tariff based competitive bidding to establish the transmission system for evacuation of power from 2 x 660MW Jawaharpur Thermal Power Project and construction of 400kV substation at Firozabad along with associated Transmission Lines' on build-own-operate-maintain (BOOM) basis,” the company said in a filing to the exchanges after-market hours on Wednesday.

FUTURE CALL: SELL NCC BELOW 78 TARGETS 77.60 / 77.10 / 76.20 STOPLOSS 78.50 




Wednesday, 5 December 2018

Rupee trades lower at 70.66 per dollar

The Indian rupee is trading lower by 17 paise at 70.66 per dollar against previous close of 70.49 per dollar.

The dollar-rupee December contract on the NSE was at 70.69 in the previous session. December contract open interest increased 1.71% in the previous session. 


We expect the USD-INR to find supports at lower levels. Utilise downsides in the pair to initiate long positions, it added.


Stock Cash Tips 


Tuesday, 4 December 2018

Asian markets decline as doubts emerge over Sino-US trade war truce

Asian stock markets slipped in the morning trade on Tuesday as investors remain doubtful of the US-China trade war getting resolved before the 90-day deadline. Japan, Korea and Australia markets dropped, while the yen advanced and Treasuries edged up. Shanghai Composite and Jakarta Composite are slightly up in today’s trade.

The temporary freeze on further hostilities in the trade war between the United States and China had sparked a global rally in equity markets on Monday, pushing MSCI’s all-country world index up 1.3%. But even before the trading day ended, indexes pulled back from intraday highs as investors pondered unresolved issues between the two countries.


Overnight, the Dow added 287.97 points or 1.13% to 25,826.43, while the Nasdaq climbed 110.98 points or 1.51% to 7,441.51 and the S&P gained 30.20 points or 1% to 2,790.37.


Oil extended rally after Saudi Arabia and Russia continued their cooperation pact. The pound erased gains as the threat of a vote to bring down British PM Theresa May’s government looms. 


Stock Cash Tips Today


Monday, 3 December 2018

Asian stock markets rally on trade news relief

Asian stock markets rallied on Monday after President Donald Trump and Chinese President Xi Jinping brokered a truce in their trade conflict, a relief for the global economic outlook and a tonic for emerging markets.

Nikkei, KOSPI, Jakarta indices were trading in the range of 1.5-2%, while Shanghai Composite, Hang Seng, and Straits Times are trading up over 2.5%, respectively.


President Donald Trump and Chinese President Xi Jinping approved the deal on Saturday in Buenos Aires. Trump and Xi promised to halt any new tariffs for 90 days as the countries continue negotiations, as per media reports.


It offers Beijing a reprieve from a planned increase in tariffs, scheduled for January 1, on $200bn in Chinese goods exports to the US tariffs were scheduled to rise to 25% from 10%, report added.


Meanwhile, oil surged on signs a supply glut may ease. Brent crude futures, the international benchmark for oil prices, were trading higher by $62.42 per barrel, while US West Texas Intermediate (WTI) crude futures were up at $53.72 a barrel. 


Stock Cash Tips


Saturday, 1 December 2018

Wall Street rises on trade hopes; S&P, Nasdaq post best weeks in seven years

Wall Street rose on Friday as investors hoped for progress on trade in a critical US-China meeting over the weekend, and the S&P 500 and the Nasdaq posted their biggest weekly percentage gains in nearly seven years.

The Dow saw its largest weekly advance in two years. Investors were encouraged this week by comments by Federal Reserve Chair Jerome Powell and subsequent minutes from the central bank's latest meeting that suggested that the Fed will take a data-driven rather than ideological approach to future rate-hikes.


All three major US indexes recorded modest monthly percentage gains for November.


A Chinese official said "consensus is steadily increasing" in trade negotiations between the US and China as the G20 meeting got underway in Buenos Aires, sparking hopes there would be a positive resolution in the ongoing tariff dispute between the world's two largest economies.


Stock Cash Tips


Friday, 30 November 2018

Rupee rises 13 paise to 69.72 against the dollar

The Indian rupee extended its gain on Friday on the back of easing global oil prices and a steady US dollar. The rupee was trading by 13 paise at 69.72 a dollar from Thursday’s close of 69.85. It has touched a high and a low of 69.67 and 69.74/$ today.

The yields on the 10-year government bonds rose 0.22% to 7.63%.


On the economy front, India's GDP data, Fiscal Deficit for April-October period, India Eight Infrastructure Industries Index for October, RBI monetary policy meeting, OPEC meeting, and outcome of state election results will be on investors' radar.


Reserve Bank of India (RBI) on Thursday halved the minimum holding period of their loans of above five years. As per the revised norms, loans of original maturity of more than five years can be securitized after receiving the repayment of six-month instalments or two quarterly instalments.


RBI's reference rate for the dollar stood at Rs69.91, while for the euro, it was at Rs79.58. Further, its reference rate for the yen stood at Rs61.71, while that for the British pound sterling, it was at Rs89.73. 


Stock Cash Tips Today


Thursday, 29 November 2018

Asian markets trade higher ahead of US-China talks

Asian stock markets gained on Thursday ahead of a crucial meeting between President Donald Trump and Chinese leader Xi Jinping, which many are hoping would help to ease trade tensions. The chairman of the US Federal Reserve suggested it may be nearing an end to its three-year rate tightening cycle, boosting interest in riskier assets.

The dollar struggled in today’s session and US Treasury yields dipped after Jerome Powell said that US policy rates were "just below" neutral, less than two months after saying rates were probably "a long way" from that point.


Japan’s Topix index climbed 0.80%, South Korea’s Kospi index rose 0.59%. Hong Kong’s Hang Seng slightly lower. The Shanghai Composite gained 0.13% and Australia’s S&P/ASX 200 Index advanced 0.6%.


In commodities, US crude futures were up 0.44% and West Texas Intermediate crude gained 0.70%.


Stock Cash Tips


Tuesday, 27 November 2018

Rupee extends losses; trades at 70.96/$

The Indian rupee extended its losses for the second consecutive trading session on Tuesday. The domestic currency opened 4 paise down at 70.91 against the American currency vs. its previous close of 70.87 per dollar.

On Monday, the currency depreciated by 18 paise to 70.87 against the American unit. Meanwhile, over the past seven days of winning streak, the currency has gained 220 paise against the dollar.


The fall is probably on the back of a rebound in crude oil prices. Also, a recent comment from the United States president Donald Trump that his government may opt for further China tariff hikes in the absence of a trade deal may have had an impact.


Meanwhile, the 10-year government bond yield stood at 7.747% from its previous close of 7.727%. Bond yields and prices move in opposite directions. 


Stock Cash Tips Today


Monday, 26 November 2018

Top stocks in focus today: HCL Tech, Bajaj Finance, IOC, Hudco

HCL Technologies and Bajaj Finance will be included in BSE Sensex from December 24, while Wipro and Adani Ports and Special Economic Zones Ltd will be dropped from the Sensex, as per BSE website.

Strides Pharma Science Ltd announced that its board has approved the company's participation in the Series-B fundraiser of Stelis Biopharma Pvt Ltd (Stelis) with a commitment of US$15mn in a US$100mn fund raising plan. 


Oriental Bank of Commerce intends to divest its stake in its Joint Venture – Canara HSBC Oriental Bank of Commercial Life Insurance at an appropriate time depending on the market conditions. 


BEML was awarded contract worth Rs3,015cr for supply of 378 Metro coaches. The deliveries are scheduled to commence July 2020 until Sep 2022.

Indian Oil Corporation’s finance director AK Sharma said that the company hopes to meet 9mn tonnes of Iran oil import target for the financial year 2019.


Infosys’ arm announced successful completion of digital payment solutions to Cyprus based RCB Bank.


HEG stock in focus today as company to consider proposal for buyback of its shares.


GPT Infraprojects bagged an order worth Rs81.50cr.


Housing & Urban Development Corp. and GIC Housing Finance to announce Q2FY19 results today. 


Stock Cash Tips


Saturday, 24 November 2018

Wall Street drops, S&P 500 confirms correction

US stocks closed lower in a shortened post-holiday trading session on Friday as the energy sector tumbled on continued weakness in oil prices, and the benchmark S&P 500 confirmed its second correction of 2018.


The three major US indexes all fell well over 3 percent for the week, with the Dow industrials and the Nasdaq posting their biggest weekly percentage declines since March.


The S&P 500 ended about 10.2 percent down from its September 20 closing record high, confirming it had entered a correction.


The S&P last entered a correction earlier this year after posting a then record high in late January, and falling more than 10 percent by early February. That correction lasted roughly seven months, until the index posted a fresh record high in late August.


Stock Cash Tips


Friday, 23 November 2018

Bank Nifty plummets as put option writers run for cover

Markets traded with a negative bias throughout the day as across-the-board short-selling was seen in all the major counters.

Metal stocks such as Tata Steel, Hindalco, and Jindal Steel & Power added fresh short positions, as the open interest soared higher along with a fall of ~2% in the underlying price.


Zee Ltd was the top index gainer, adding fresh long positions. The market breadth ended in the favor of declines with the advance/decline ratio closing at 2:3x.


Tracking the derivative data points, Bank Nifty Futures witnessed a marginal reduction in open interest, indicating an unwinding of long positions.


On the options front, Bank Nifty November 22, 2018, expiry contracts saw an unwinding of short positions in all the major put option strikes as option writers ran for cover. Bank Nifty 26200PE shedded ~90% of its open positions as the index plummeted ~1.25%. 


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