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Closing Bell
Domestic equity benchmark BSE Sensex closed above the key pschological 40,000 mark on the back of expectations that the government would withdraw long-term capital gains tax (LTCG). Also, better than expected corporate earnings coupled with revival in auto demand in the festive season aided the positive sentiment.
Optimism over US-China trade deal and the European Union extending Brexit deadline to January 31, 2020, also triggered renewed buying interest.
Traders were also looking at the US Federal Reserve’s decision on interest rate cut.
In line with the market buoyant sentiment, the BSE benchmark Sensex opened firm at 40,055.63, and touched an intraday high of 40,178.12, before finishing at 40,051.87, up by 220.03 points.
It ended yesterday at 39,831.84.
Market breadth remain positive
The market breadth was positive. Out of the total 2,673 shares traded on the BSE, 1,384 shares rose and 1119 shares declined. A total of 170 shares were unchanged.
On the NSE, the Nifty, after touching a high of 11,883, ended at 11,844.10, up 57.25 points over previous close.
PSU Banks, prominent gainers
Sectoral indices such as PSU Banking, IT and FMCG scored signifcant gains today. (SEE CHART BELOW)
PSU Banking index, on the NSE, went up 3.75% to 2,413.40 and the IT index gained 1.41% to 15,395.65.
BHEL rallies on new orders
The stock of public sector major BHEL went up over 9 per cent today after the company recently bagged an order for the turbine generator and associated packages for the greenfield 2x660 MW Khurja Super Thermal Power Project in Bulandshahr, Uttar Pradesh.
The order, valued at around ₹1,600 crore, was received from THDC India Ltd, a joint venture between the Government of India the Uttar Pradesh Government.
On the BSE, BHEL was up by Rs 5, or 9.58 per cent, at Rs 58.90. Volumes traded in the counter were higher at 59.71 lakh shares against the two-week average quantity of 38.70 lakh shares.
FMCG CHART AND STOCKS
FMCG chart and stock price
FMCG chart and stock price
BSE SENSEX CHART
Sensex chart
NIFTY IT STOCKS
Reliance General Insurance scraps IPO plan; withdraws offer documents
Reliance General Insurance, part of Anil Ambani-led Reliance Group, has decided to withdraw its proposed initial share sale offer.
The initial public offering (IPO) was slated for fresh issue of shares worth Rs 200 crore.
Anil Ambani
PSU Bank stocks
BHEL stock surges nearly 10% on heavy volumes
The stock of public sector major BHEL went up over 9 per cent today after the company recently bagged an order for the turbine generator and associated packages for the greenfield 2x660 MW Khurja Super Thermal Power Project in Bulandshahr, Uttar Pradesh
Rupee: Tread with caution ahead of Fed meet
The rupee closed marginally higher at 70.84 against the dollar on Tuesday. In today’s session, it opened at 70.88 and looks a tad weaker. It is approaching a key level of 71. Taking a broader view in the chart, the rupee seems to have formed a range between 70.75 and 71.
At the interbank foreign exchange, the rupee opened at 71.60. File Photo
Nifty 50 October Futures (11,846)
After some initial volatility, the Sensex and the Nifty started to trend up on the back of buying interest and have gained 0.5 per cent each. The market breadth of the Nifty index is biased towards advances.
NIFTY INDICES
Beware of your risk: All F&O stocks are now physically settled
All stocks in the derivative segment will be physically settled. This means delivery of shares is a must, if one fails to square-off his or her position ahead of the expiry date.
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BSE to introduce weekly F&O contracts on stocks in equity derivatives on September 19
The weekly futures and options contracts will expire on every Thursday of the week, excluding monthly expiry week.
Edelweiss Financial Services up 4% on positive cues about Kora investment
Shares of Edelweiss Financial Services traded 4 per cent higher today after it got approvol recently from the Competition Commission for the US-based Kora’s proposed investment worth USD 75 million (about Rs 532 crore) in Edelweiss Group.
Broker's call
Geojit Financial
Ultra Tech Cement Ltd : Buy
CMP: Rs.4,122
Target Price: Rs.5,170
UltraTech registered robust growth in consolidated revenue in Q2FY20 (+21.9% YoY) primarily driven by higher realisations (+23.2% YoY). EBITDA margin expanded 320 bps YoY to 21.5% benefited from lower power and fuel costs and improved product mix.
However, cement volumes declined 1.0% YoY to 18.7m t owing to continued tepid demand. The company is set to benefit from gradual revival of cement demand in the second half, amid low fuel cost environment, improved contribution from new acquisitions owing to uptick in utilization and deleveraging with strong cash flow generation and potential non-core asset sale.
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Ultratech Cement: Low volume growth, weak realisations play spoilsport with analysts’ projections
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UltraTech Cement net up 63 per cent on lower cost, higher realisation
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BSE MIDCAP SELECT INDEX
Shriram City Union Finance down on muted sales numbers
The stock of Shriram City Union Finance went down today on the back of selling pressure after the comany reported muted sales numbers for the second quarter ended September 30, 2019.
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Shriram City aims for quarterly reduction in NPAs
Hopes entry into newer markets will drive SME and two-wheeler loans
Rupee slips 11 paise against dollar in early trade
The rupee depreciated by 11 paise to 70.95 against the US dollar in morning trade on Wednesday, as investors were cautious ahead of the US Federal Reserve’s interest rate decision.
Apollo Hospitals stock in fine fettle; up 3%
Apollo Hospitals shares rose over 3% to Rs 1,476 on the BSE today. On the BSE, volumes traded in the counter were around 30,000 shares as at 10.45 am.
Recently, promoters of Apollo Hospitals divested 3.6 per cent holding in Apollo Hospitals Enterprise Limited (AHEL)...
ITI Ltd shares zoom nearly 13% on cloud services solution launch
The stock of ITI shares zoomed nearly 13% today to Rs 97.40 on the BSE. Volumes traded in the counter were 4.45 lakh shares as at 10.30 am today.
HDFC Life hits new high at Rs 637
Shares of HDFC Life Insurance hit a new all-time high at Rs 637.70 on the BSE, despite talk of a stake sale at a sharp discount.
The counter witnessed a volume of 10.74 crore shares, as against the two-week average of about 1.90 crore shares on the BSE.
BSE SMALL CAP STOCKS
ADVANCES AND DECLINES ON THE BSE
ADVANCES/DECLINES ON BSE
NIFTY INDICES
Intraday stock futures Recommendation
Buy Tata Steel in the range of Rs 394.00-395.00
Sell United Breweries in the range of Rs 1298.00-1299.00
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Why Vodafone Idea and Bharti Airtel shares are crashing
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Bharti Airtel defers Q2, half yearly results to November 14 on AGR issues
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Vodafone Idea partners Red Hat, TCS in the fight against Jio, Airtel
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Broker's technical call on Nifty and Bank Nifty
ICICI SECURITIES
Derivatives View (October 30):
Buy Nifty in range of 11770-11792
Buy Bank Nifty in range of 29800-29850…
Nifty
The Nifty continued its upward journey and witnessed sharp upsides on the back of a strong up move among auto and metal stocks. Broader market participation also continued as both midcap and small cap indices ended with strong gains. Writing continued at ATM Put strikes of 11700 and below indicating further upsides are expected. Nifty futures ended at a premium of 9 points with a rise in IVs by 3.47%. The highest Put base is at 11700 strike with almost 31 lakh shares while the highest Call base is at the 12000 strike with 30 lakh shares.
Bank Nifty
Post a flat opening, the Bank Nifty saw strong buying momentum throughout the sessions to extend its gain towards 30000 on the back of a strong recovery in Axis Bank and other midcaps. Closure of positions was seen at 30000 Call in the first session of the week itself indicating further upsides. We feel short covering can be seen once the index closes above 30000.
Domestic equity benchmark BSE Sensex crossed the key pschological 40,000 market in the opening session.
The BSE benchmark Sensex opened firm at 40,055.63, immediately touched a high of 40,100.26. Now, the index was being quoted at 39,892.40, up by 60.56 points.
On the NSE, the Nifty after touching a high of 11,883 initially, met with profit booking and was now quoted at 11,808.80.
The number of advancing scrips were higher at 843 against the decliners at 519. The advancers to decliners ratio was at 58:36.
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Pre-Open session
Domestic equity benchmark BSE Sensex has crossed the key pschological 40,000 market today in the pre-open session.
The Sensex rose 223 points to 40,054.
On the NSE, the Nifty gained 87 points to 11,883.
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Today's Pick: ITI (₹86.6): Buy
The stock of ITI jumped 7.6 per cent accompanied by above average volume on Tuesday, rebounding from a key support level of ₹80. This rally provides investors with a short-term perspective an opportunity to buy the stock at current levels.
Japan's Nikkei index opens lower
Japan's main Nikkei index opened lower on Wednesday with investors cautious ahead of the US Federal Reserve's interest rate decision and the Bank of Japan's policy announcement this week.
MSCI's broadest index of Asia-Pacific shares outside Japan was up 0.1 per cent. File Photo
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Day Trading Guide for October 30, 2019
Given below are supports and resistances for Nifty 50 futures and seven key stocks that can help in your intra-day trading:
₹1242 • HDFC Bank
Broker's call: SBI (Accumulate)
Dolat Analysis
SBI (Accumulate)
CMP: ₹280.5
Target: ₹315
The bank reported a loss on account of higher credit costs. Including the exceptional item, the profit has been ₹3,000 crore. The bank has not taken the benefit of the new tax rate (at this juncture)
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