THE DAILY Date: 31 March 2021
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THE DAILY Date: 31 March 2021
The Daily Viewpoint
DOMESTIC INDICES All eyes on US President Biden, Indian markets to digest hefty
rise
Close Points % Change
U.S. stocks ended down slightly on Tuesday, with investors selling
SENSEX 50137 1128 2.30 tech-related growth shares after U.S. Treasury yields hit a 14-
NIFTY 14845 338 2.33 month high.
MIDCAP 20167 196 0.98 The Dow Jones fell 104 points to close at 33067, the S&P 500
SMALL CAP 20543 264 1.30 Index decreased by 13 points to 3959, while the Nasdaq was
down 14 points at 13045. The Nasdaq was on track for its first
SECTORAL INDICES monthly loss since November following the recent rise in yields.
President Joe Biden will unveil more details about the first stage
Close Points % Change
of his infrastructure plan later today, which could be worth as
much as $4 trillion.
IT 26738 907 3.51
TECK 12024 360 3.09 In economic data, U.S. consumer confidence raced in March to its
METAL 14292 354 2.54 highest level since the start of the COVID-19 pandemic,
supporting views that economic growth will accelerate in the
Healthcare 21248 488 2.35 coming months, driven by more fiscal stimulus and an improving
CD 32583 669 2.10 public health situation. Restrictions on non-essential businesses
Finance 7476 129 1.76 are being rolled back as more Americans get vaccinated against
BANKEX 38093 565 1.51 COVID-19.
OIL & GAS 14842 170 1.16 The dollar rose to a fresh one-year high versus the yen and traded
CG 21176 212 1.01 near multi-month peaks with other rivals on Wednesday as
AUTO 22253 202 0.92 investors bet that massive fiscal stimulus and aggressive
POWER 2509 23 0.92 vaccinations will help the U.S. lead a global pandemic
recovery. Bitcoin traded just below $59,000, trying to close the
REALTY 2621 1 0.02
distance to the record peak at $61,781.83 set earlier this month.
BSE 200 GAINERS/LOSERS Gold prices fell hard Tuesday, breaking beneath the $1,700
support it has held since mid-March, as the rival dollar reached a
GAINERS % LOSERS %
key bullish level on rising U.S. bond yields.
OFSS 9.83 GICRE -9.06 Domestic cues
AUBANK 9.70 NAUKRI -6.29 The Nifty gained 338 points or 2.33% to close at 14845. IT, Metal,
MPHASIS 8.69 HINDZINC -5.53 Healthcare, and FMCG indices took the lead. With the Nifty
surging higher and closing above the crucial resistances, the bulls
NHPC 8.17 ADANIPOWER -4.99 seem to have an upper hand in the short term.
MINDTREE 7.73 ADANIGREEN -4.54
Many stocks saw sharp moves in anticipation of large in-flows and
out-flows as per expected quarterly changes in indices. We
ADVANCE/DECLINES expect markets to consolidate and digest their recent gains on
the last session of this financial year. The Nifty could move up
BSE % further once the immediate resistance of 14879 is cleared. Short-
ADVANCES 1551 49 term support to watch on weakness is now at 14710.
DECLINES 1402 44
Tata Power bags orders to develop 60 MW solar project in
UNCHANGED 209 7 Gujarat:
Tata Power bagged an order to develop 60 MW (megawatt) solar
project for Gujarat Urja Vikas Nigam. The company has received a
INSTITUTIONAL ACTIVITY letter of award from Gujarat Urja Vikas Nigam Limited (GUVNL).
The energy will be supplied to GUVNL under a power purchase
Rs Cr 30/03/21 26/03/21 Apr Total agreement (PPA), valid for a period of 25 years from scheduled
commercial operation date.
FII 769 -50 719(prov.)
DII 2181 1703 3884 (prov.)
Page 2
The Daily Viewpoint
GLOBAL INDICES IDFC First Bank fixes floor price for Rs 3,000cr QIP at Rs 60.34
per share:
IDFC First Bank said it has fixed the floor price at Rs 60.34 per
Close Points % Chg share for Rs 3,000cr qualified institutional placement (QIP) issue.
DOW JONES 33067 -104.41 -0.31 The Capital Raising Committee of the Board also decided that the
S & P 500 3959 -12.54 -0.32 bank may at its discretion offer a discount of not more than 5 per
NASDAQ 13045 -14.25 -0.11
cent on the floor price for the issue, IDFC First Bank said in a
regulatory filing.
FTSE 6772 35.95 0.53
CAC 6088 72.53 1.21 BHEL bags Rs 400cr order for IOC unit:
DAX 15009 190.89 1.29 Bharat Heavy Electricals Limited (BHEL) announced that it has
NIKKEI 29209 -224.20 -0.76 bagged a major order for a sulphur recovery unit from IOCL
SHNAGAI 3426 -30.20 -0.87
against stiff international competitive bidding. With this order,
the company has made an entry into the downstream oil & gas
HANG SENG 28472 -100.75 -0.35 process package business. The package, valued at over Rs 400
BOVESPA 116850 1430.95 1.24 crore, envisages setting up a 525 TPD Sulphur Recovery Unit at
IOCL’s Paradip Refinery in Odisha.
EXCHANGE RATES
UltraTech Cement prepays Rs 5,000cr loan:
UltraTech Cement said it has prepaid its long-term loans of Rs
Value % Change 5,000 crore. This is in line with the company's endeavour to
USD/INR 73.4 0.20 maintain optimal capital structure, it added. The loan repayments
have been done through free cash flows that the company has
EURO/USD 1.171 -0.03 generated over the last few quarters despite the challenging
USD/GBP 1.373 -0.08 circumstances and severe business interruptions during the first
USD/JPY 110.7 0.29 quarter of the current fiscal year.
Insecticides India approved buyback worth Rs 60cr:
COMMODITIES Board has approved buyback of 10.4 lakh equity shares at
maximum Rs 575 per share. It would be done through open
market route. Company will spend Rs 60cr in the said buyback.
Value %
Gold ($ / Oz) 1680.4 -0.34 KNR Constructions gets work order worth Rs 2117cr:
KNR Constructions said that it has got Letter of Acceptance (LoA)
Silver ($ / Oz) 23.9 -1.02 for six laning of Ramanattukara Junction to start of Valanchery
Crude Oil Futures 60.6 0.07 bypass section of NH – 66. The project is worth of Rs 2117cr and
Brent Oil ($ / Barrel) 64.3 0.12 will be completed in 30 months.
DoT set to earmark more bands for 5G under updated spectrum
BOND YIELD allocation plan:
The Department of Telecommunications (DoT) is set to earmark
additional 5G spectrum bands in the run up to the next auction,
Value % Chg bps
in line with the telcos' call to offer more airwaves for the next-
IND10 Yr Bond Yield 6.143 +0.020 gen technology which will reduce cost of rollouts, and thus lower
consumer pricing. The department is likely to unveil a revised
spectrum policy document in early-April that will include
ADR spectrum across the sub-1 Ghz, 1-6 Ghz and millimeter wave
bands (above 6 Ghz) that will make up India’s updated National
Value $ % Frequency Allocation Plan (NFAP).
Dr Reddys Labs 61.1 0.20
Wipro appoints former Walmart executive Subha Tatavarti as
HDFC Bank 80.9 2.67 CTO:
ICICI Bank 16.2 1.12 Wipro Ltd has appointed Subha Tatavarti as the chief technology
Tata Motors 20.5 0.74 officer (CTO) of the company. She joins from Walmart where she
Wipro 6.39 1.59
led product, technology development, and commercialization of
enterprise infrastructure along with security, data science, and
Vedanta Ltd 12.44 -1.35 edge platforms.
INFOSYS 18.80 2.01
Page 3The Daily Viewpoint
WABAG secures financial closure of its second HAM project and partners with PTC India Financial Services:
VA TECH WABAG ('WABAG') has completed the financial closure for its Hybrid Annuity Model ('HAM') project received
from Bihar Urban Infrastructure Development Corporation (`BUIDC0'). To meet the project debt funding requirement,
WABAG has partnered with PTC India Financial Services Limited ('PFS'). WABAG had earlier secured a contract worth Rs
1,187crore from Bihar Urban Infrastructure Development Corporation ('BUIDCO') under the prestigious National Mission
for Clean Ganga (`NMCG') Scheme to develop Sewage Treatment Plants (STR) of 150 MLD capacity along with sewerage
network of over 453 km in the Digha and Kankarbagh zones of Patna.
Important news/developments to influence markets
Japanese retail sales fell for the third straight month in February as households kept a lid on expenditure amid the
coronavirus emergency, underscoring the fragile nature of the economy’s recovery from last year’s slump. Retail
sales lost 1.5 percent in February from a year earlier.
Economic confidence across the European Union has hit its highest level since Covid-19 hit Europe early last year, as
consumers and businesses express more optimism about future prospects. Economic Sentiment Indicator (ESI) rose
in both the EU, jumping 6.9 points to 100, and the euro area, where it surged by 7.6 points to 101.0.
Consumer confidence in the US improved sharply in March with the Conference Board's Consumer Confidence Index
rising to 109.7 from 90.4 in February.
United States home prices increased at the fastest pace in seven years in January as the coronavirus pandemic has
fuelled demand for single-family houses even as the supply for such homes shrinks. The Index rose 11.1% in January
from a year earlier.
Page 4The Daily Viewpoint
Daily Technical View on Nifty
Observation: Markets ended with hefty gains on Nifty View for Reversal 7-Day Reversal
Tuesday despite rising COVID cases. The Nifty finally 1-2 days View
gained 337.8 points or 2.33% to close at 14,845.1.
14845 Bullish 14710 Bullish 14414
Broad market indices like the BSE Mid Cap and Small
Cap indices gained less, thereby under performing the
Target Target
Sensex/Nifty. Market breadth was positive on the 15000 15336
BSE/NSE.
Sectorally, the top gainers were the BSE IT, Metal,
Healthcare and FMCG indices. There were no losers. Nifty – Intraday 15 min. chart
Zooming into the 15 minute chart, we can see that the
Nifty opened today with an up gap. And buying
continued through the day as the index gradually
moved higher.
The 15 minute intra day moving averages are also
giving positive signals as the 20 period moving average
is above the 50 period moving average and the Nifty
index is trading above both these MA on the 15 min
intra charts. It will be important that the Nifty holds
above the recent swing lows of 14710 for the short
term uptrend to continue in the very near term.
On the daily chart, the Nifty has bounced back from an
upward sloping trend line and closed above the 20 and
50 day SMA. This indicates that the bulls are gaining
control after the recent weakness from all time highs.
A reversal of the recent downtrend would be
confirmed once the Nifty closes above the recent Nifty – Daily Timeframe chart
swing high of 14879. In this scenario, the Nifty could
once again be headed towards the life highs of 15432.
Conclusion: The 1-2 day trend of the Nifty remains
positive with the Nifty breaking out of an intra day
trading range and holding above its 15 minute intra
day moving averages.
On the larger daily timeframe, the index has bounced
back from a trend line support and also closed above
the 20 and 50 day SMA, indicating that the bulls are
gaining an upper hand.
A reversal of the recent downtrend would be
confirmed once the Nifty closes above the recent
swing high of 14879.
Page 5The Daily Viewpoint
SHORT TERM TRADING CALLS
NO. RECO DT. RECO COMPANY NAME ENTRY CMP SL TARGET UPSIDE % VALID TILL
1 30-MAR-21 BUY NIFTY APR FUT 14897.80-14830 14917.0 14800.0 15020.0 1 2-APR-21
BANK NIFTY 34000
2 30-MAR-21 BUY APR CALL OPTION 664.05 657.0 570.0 800.0 22 31-MAR-21
(8TH APRIL EXPIRY)
NIFTY 15000 APR
3 30-MAR-21 BUY CALL OPTION (8TH 126.6 126.0 95.0 160.0 27 6-APR-21
APRIL EXPIRY)
BRITANNNIA APR
4 23-MAR-21 BUY 3550.80-3480 3593.7 3450.0 3660.0 2 26-MAR-21
FUT
5 30-MAR-21 BUY TORRENT PHARMA 2511.50-2415 2529.3 2390.0 2675.0 6 8-APR-21
6 30-MAR-21 BUY DIVIS LAB 3564.70-3450 3584.3 3400.0 3770.0 5 8-APR-21
7 30-MAR-21 BUY AJANTA PHARMA 1820-1861.70 1862.7 1790.0 2000.0 7 13-APR-21
OPEN CASH POSITIONAL CALLS
TARGET TARGET
NO. RECO DT. RECO COMPANY NAME ENTRY CMP SL UPSIDE % VALID TILL
1 2
1 7-JAN-21 BUY NESCO* 563.0 520.3 516.0 610.0 675.0 30 7-APR-21
2 28-JAN-21 BUY BIOCON* 384.3 408.5 352.0 415.0 450.0 10 28-APR-21
3 11-FEB-21 BUY SUN TV 522.0 463.9 390.0 640.0 735.0 58 10-AUG-21
PNB HOUSING
4 16-FEB-21 BUY 402.1 381.3 325.0 475.0 523.0 37 15-AUG-21
FINANCE*
TRIVENI
5 3-MAR-21 BUY 90.4 85.0 79.0 104.0 104.0 22 1-JUN-21
ENGINEERING
6 3-MAR-21 BUY FLURO CHEMICALS 607.7 581.4 530.0 682.0 682.0 17 1-JUN-21
*= 1st Target Achieved
Page 6The Daily Viewpoint
OPEN DERI POSITIONAL CALLS
VALID
NO. RECO DT. RECO COMPANY NAME ENTRY CMP SL TARGET 1 TARGET 2 UPSIDE %
TILL
LIC HOUSINNG APR TILL 29TH
1 19-MAR-21 SELL 412.1 422.6 436.0 386.0 370.0 12
FUT APR 21
TILL 29TH
2 19-MAR-21 SELL SRF APR FUT 5325.0 5458.0 5646.0 5000.0 4810.0 12
APR 21
BANK OF BARODA TILL 29TH
3 19-MAR-21 BUY 73.6 73.5 66.0 79.0 88.0 20
APR FUT APR 21
OPEN E-MARGIN POSITIONAL CALLS
VALID
NO. RECO DT. RECO COMPANY NAME ENTRY CMP SL TARGET 1 TARGET 2 UPSIDE %
TILL
1 23-NOV-20 BUY BATA INDIA* 1464.0 1404.3 1330.0 1630.0 1850.0 32 23-MAY-21
2 5-JAN-21 BUY FINOLEX CABLE* 358.8 389.3 320.0 402.0 450.0 16 5-APR-21
*= 1st Target Achieved
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