Nifty 17026.45 (-2.91%)
Sensex 57107.15 (-2.87%)
Nifty Bank 36025.5 (-3.58%)
Nifty IT 34606.1 (-1.97%)
Nifty Financial Services 17614.7 (-3.56%)
Adani Ports 717.15 (-5.94%)
Asian Paints 3143.10 (-0.04%)
Axis Bank 661.75 (-2.67%)
B P C L 376.85 (-5.81%)
Bajaj Auto 3334.60 (-1.68%)
Bajaj Finance 6807.05 (-4.47%)
Bajaj Finserv 16682.55 (-3.95%)
Bharti Airtel 738.75 (-3.45%)
Britannia Inds. 3555.30 (-0.51%)
Cipla 966.70 (7.42%)
Coal India 155.90 (-1.67%)
Divis Lab. 4937.80 (2.88%)
Dr Reddys Labs 4750.90 (3.47%)
Eicher Motors 2433.90 (-3.43%)
Grasim Inds 1690.10 (-4.34%)
H D F C 2741.70 (-4.40%)
HCL Technologies 1110.05 (-1.31%)
HDFC Bank 1489.90 (-2.36%)
HDFC Life Insur. 670.65 (-2.64%)
Hero Motocorp 2529.40 (-2.52%)
Hind. Unilever 2335.10 (-0.59%)
Hindalco Inds. 417.00 (-6.72%)
I O C L 120.95 (-3.74%)
ICICI Bank 722.20 (-3.84%)
IndusInd Bank 901.80 (-5.99%)
Infosys 1691.65 (-1.79%)
ITC 224.00 (-3.16%)
JSW Steel 628.65 (-7.67%)
Kotak Mah. Bank 1964.30 (-3.48%)
Larsen & Toubro 1778.15 (-3.88%)
M & M 853.75 (-4.20%)
Maruti Suzuki 7170.50 (-5.31%)
Nestle India 19222.25 (0.23%)
NTPC 128.85 (-4.70%)
O N G C 147.10 (-5.16%)
Power Grid Corpn 202.00 (-1.10%)
Reliance Industr 2412.60 (-3.22%)
SBI Life Insuran 1130.35 (-2.51%)
Shree Cement 25945.80 (-2.72%)
St Bk of India 470.50 (-4.09%)
Sun Pharma.Inds. 767.30 (-1.99%)
Tata Consumer 766.70 (-5.09%)
Tata Motors 460.20 (-6.61%)
Tata Steel 1112.30 (-5.23%)
TCS 3446.85 (0.03%)
Tech Mahindra 1527.40 (-2.05%)
Titan Company 2292.30 (-4.40%)
UltraTech Cem. 7394.75 (-2.81%)
UPL 703.80 (-3.23%)
Wipro 621.45 (-2.40%)

Chart Busters: Top trading set-ups to watch out for Tuesday

Chart Busters: Top trading set-ups to watch out for Tuesday
by 5paisa Research Team 26/10/2021

The benchmark index Nifty opened with an upside gap and thereafter rapidly gave up its opening gain and lost nearly 273 points from the day's high. However, the index has taken support near the 20-day EMA level and recovered almost 167 points. The index has ended at a 18135.85 level with a gain of 10.50 points. The price has action has formed bearish candle with long lower shadow. The major contribution was seen from banking stocks. The banking benchmark index Bank Nifty has gained over 2%.

Here are the top trading set-ups to watch out for Tuesday.

Gland Pharma: After registering the high of Rs 4350, the stock has witnessed correction. The correction is halted near the 38.2% Fibonacci retracement level of its prior upward move (Rs 1700-Rs 4350) level. In the last three trading sessions, the stock has outperformed the benchmark indices and formed bullish candles. On Thursday, the stock has formed a spinning bottom candlestick pattern followed by a bullish candle and on Monday, the stock has formed a hammer candlestick pattern. Interestingly, on the weekly chart also the stock has formed a hammer candlestick pattern. The long lower shadow of the candle indicates the emergence of buying interest near trendline support. Further, on Monday, the volume spurt was seen in stock, which indicates that it is accumulated by smart investors at a lower level.

The momentum indicators and oscillators are also supporting the overall bullish chart structure. The leading indicator, 14-period daily RSI is currently quoting at 45.83 level. The daily RSI has given positive crossover and it is in rising mode. The fast stochastic is also trading above its slow stochastic line.

Going ahead, in case the stock sustains above its 20-day EMA on a closing basis, it can give some positive momentum going forward. On the downside, today's low of Rs 3312.15 will act as strong support for the stock.

Home First Finance Company India: After registering the high of Rs 691.80, the stock has witnessed minor correction along with low volume. The correction is halted near the 61.8% Fibonacci retracement level of its prior upward move (Rs 535.30-Rs 691.80). On Monday, the stock has formed a bullish candle with a long lower shadow, which indicates buying interest near the support zone. Since the last two trading sessions, the volumes recorded were above the 50-days average, which is a sign of accumulation.

Currently, the stock is trading above its short and long-term moving averages. These averages are in the rising mode, which is a bullish sign. The leading indicator, 14-period daily RSI has given positive crossover and it is in rising mode. The daily stochastic has also given positive crossover. The daily MACD stays bullish as it is trading above its zero line and signal line.

Considering the robust technical structure of the stock we believe it is likely to touch new highs and hence one can accumulate this stock. On the downside, the 20-day EMA is likely to act as strong support for the stock, which is currently quoting at Rs 625 level.

Open Demat Account

Enter First Name & Last Name
Enter Mobile Number
Enter correct otp
Please enter referal code
Start investing in just 5 mins
Free Demat account, No conditions apply
  • 0%* Brokerage
  • Flat ₹20 per order
Next Article

Cues from the F&O market for Tuesday, October 26

Cues from the F&O market for Tuesday, October 26
by 5paisa Research Team 26/10/2021

The Nifty50 yesterday barely managed to close in green and was volatile for the entire day. At one point in time, it was trading below the 18000 mark, however, at the time of close, it was up by 10 points. Fresh put writing at 17500, as well as 18000, pushed the market down.

Highest put writing was seen at strike price 17,600 (11,361 contracts added on October 25), followed by 17,400 (11,235 lakh contracts added on October 25), while there was put unwinding at strike price 16,000 (8519 contracts shed), followed by 18,200 (8280 contracts shed).

The highest total put open interest of 81062 contracts stood at strike price 18,000, which will act as a crucial base for the market in the October series. This is followed by strike price 17500, which saw a total put option of 78,776 contracts, while strike price 17,000 had 74,779 contracts in open interest.

On the call options front, maximum open interest was at strike price 19000, which stood as a strong resistance. Total call open interest of 141743 contracts stood at a strike price of 19,000. Call writing was seen at strike prices of 18,900 and 18,600. Total open interest for the strike price of 18,900 and 18,600 stood at 70598 and 82820 respectively.

The Nifty 50 put call ratio (PCR) closed at 0.64. A PCR above 1 is considered bullish while a PCR below 1 is considered bearish.

Following table shows the participant wise action of key players on the index options front.

   

Index Put Options  

Client Type  

Change of OI*  

% Change of OI*  

Oct 25 2021  

Oct 22 2021  

Oct 21 2021  

Client  

68753  

-19.34%  

-286667  

-355420  

-338375  

Pro  

-63869  

-221.97%  

-35095  

28774  

18590  

DII  

-4745  

-6.88%  

64190  

68935  

77118  

FII  

-139  

-0.05%  

257572  

257711  

242667  

*Change from Previous Day  

   

   

   

   

   

   

   

Index Call Options  

Client Type  

Change of OI*  

% Change of OI*  

Oct 22 2021  

Oct 21 2021  

Oct 20 2021  

Client  

32985  

48.66%  

100769  

67784  

-14875  

Pro  

-45587  

31.31%  

-191180  

-145593  

-90785  

DII  

0  

0.00%  

401  

401  

401  

FII  

12602  

16.28%  

90010  

77408  

105260  

*Change from Previous Day  

   

   

   

   

   

  

   

Net Change in Open Interest  

Client Type  

Change of OI*  

% Change of OI*  

Oct 22 2021  

Oct 21 2021  

Oct 20 2021  

Client  

-35768  

-8.45%  

387436  

423204  

323500  

Pro  

18282  

-10.48%  

-156085  

-174367  

-109375  

DII  

4745  

-6.92%  

-63789  

-68534  

-76717  

FII  

12741  

-7.07%  

-167562  

-180303  

-137407  

*Change from Previous Day 

   

   

   

   

   

 

Open Demat Account

Enter First Name & Last Name
Enter Mobile Number
Enter correct otp
Please enter referal code
Start investing in just 5 mins
Free Demat account, No conditions apply
  • 0%* Brokerage
  • Flat ₹20 per order
Next Article

Safe to invest in real estate directly and indirectly? Lodha Group- giant leap in Net sales

by 5paisa Research Team 26/10/2021

Macrotech Developers, more commonly known as Lodha Group was founded in 1980 and their headquarter is in Mumbai.

Ever since the IPO was issued, the company has entered into 5 Joint Development Agreements worth Rs.46 billion. The company has also reached a decision to raise Rs.40 billion worth of capital for growth and this can in-turn add Rs.400 billion worth of projects and it will also bring down the net debt to under Rs.100 billion.

The residential sales which fell strongly owing to the pandemic, increased sharply in Q2 FY22 as the prices had significantly decreased which attracted more and more customers even though the second quarter of the year is generally very slow due to the monsoon season and also the Shraadh season (when people usually don’t buy houses). The decrease in home loan interest by banks was the icing on the cake.

Despite the high disruption caused by the pandemic Macrotech Developers reported a high operational performance with an increased amount of booking. The Net sales increased from Rs.16054 million in Q1 FY22 to Rs.21238 million in Q2 FY22 which is a 32.3% increase QoQ and a 135.8% increase YoY. The adjusted PAT increased 37% QoQ. In the financial year 2022 the net debt remained stable at Rs.12,508 crore.

The company’s projects in UK saw a sharp upturn in sales booking in the second quarter given the easing of restrictions. If this upturn continues then the company can capitalize on the UK project and this will help further the aim of deleveraging by the end of FY22.

The company plans on adding Rs.100-Rs.70 billion worth of projects by FY22 and most of the development will be focused in Pune, Eastern suburbs of Mumbai and Navi Mumbai, before they move on to newer markets. Also the company reported their agenda to launch Rs.60 billion worth of projects in this financial year.

The prices of all the projects are being increased by 2-4% owing to the increase in raw material (+10% YoY) and input costs which are being passed on to the customers. The demand still looks strong and the pent up inventory is decreasing at an increased level which gives us a positive future outlook.

The company is also in talks with different agencies in order to invest in and create a platform for Digital infrastructure.

The company is on a firm track to realizing its aim of deleveraging by end of FY22 in presence of the high amounts of JDA. Lodha being a well trusted and very reputed company has attracted more and more land owners and small builders thus leading to a lot of JDA opportunities.

Macrotech has set a goal of achieving Rs.9000 crore worth of sales bookings, 50% more than what it achieved in FY21.

Keeping in mind all the positive aspects, a BUY call has been reported by the analysts, along with a price target of Rs.1262.

Open Demat Account

Enter First Name & Last Name
Enter Mobile Number
Enter correct otp
Please enter referal code
Start investing in just 5 mins
Free Demat account, No conditions apply
  • 0%* Brokerage
  • Flat ₹20 per order
Next Article

Multibagger Alert: This leading wires and cables manufacturer has given investors 164% in the past year!

Multibagger Alert: This leading wires and cables manufacturer has given investors 164% in the past year!
by 5paisa Research Team 26/10/2021

On a YTD basis, the stock has given a return of 123%.

The stock of India’s largest manufacturer and seller of cables and wires, Polycab India has given investors stellar returns of 164.72% over the last year. The share price stood at Rs 883.45 on October 23, 2020, and since then, the stock has more than doubled investor wealth.    

Wire and cables manufacturer Polycab India’s revenues jumped strongly in the second quarter as the economic recovery from the coronavirus bolstered demand across all markets and product categories. The company’s top-line grew by 48.03% to Rs 3128.83 crore from Rs 2113.68 crore in Q2FY21. Total expenditures in comparison grew by 56.89% to Rs 2825.98 crore during the same period because of the higher raw material expenses. Due to higher increase expenditure in comparison with revenue, the operating profit of the company declined by 4.63% YoY to Rs 329.24 crore during the quarter. PAT stood at Rs 200.84 crore, down 9.46% YoY.

Given its scale and size, Polycab India is building on market share gains through the expansion of its distribution network and by increasing ad spending. The company’s retail share of revenue has increased from 30% to 40% led by strong growth in the Fast-moving electrical goods (FMEG) business, which it started in FY14. Meanwhile, the increasing pace of project execution in infrastructure and construction on a sequential basis is supporting revenue on the institutional side. In the export market, the company has a healthy order pipeline from the US, Australia and other markets.

Wires and cables play a vital role in every aspect of infrastructural growth and have extensive usage across many industries. The growing demand for power, light and communication has kept demand high for cables and wires which constitute 40% of India’s electrical industry. Currently, around USD 38-40 billion of cables are imported from various countries. Favourable government initiatives and reforms to promote indigenous manufacturing, foreign investments, renewable energy and pan-India digital connectivity ensure that the prospects of the wires and cables industry and thereby Polycab India remain bright.

Polycab is India’s largest manufacturer and seller of an extensive range of cables and wires, and a fast-growing player in the fast-moving electrical goods (FMEG) industry, along with an established export presence.

At 12.10 pm on Tuesday, the stock is trading at Rs 2314.35, down by 1.04% or Rs 24.30 per share as against a 0.03% gain in the benchmark index. The 52-week high of the scrip is recorded at Rs 2,647.40 and the 52-week low at Rs 900 on the BSE.

Open Demat Account

Enter First Name & Last Name
Enter Mobile Number
Enter correct otp
Please enter referal code
Start investing in just 5 mins
Free Demat account, No conditions apply
  • 0%* Brokerage
  • Flat ₹20 per order
Next Article

Container corporation of India- Potential 18% upside with a strong growth of 21% in FY22

by 5paisa Research Team 26/10/2021

Container corporation of India was founded in 1988 and is owned by the Indian Railways, Government of India. The company is a part of the logistics sector. The logistics sector of the country is valued at $160 billion as of 2019 and contributes a whopping 14.4% of the GDP.

In the Second quarter of FY22 the revenue, standing at Rs.18.2 billion, saw an upwards growth of 21% YoY mainly due to a domestic growth of 43% YoY and export import growth of 14% YoY. There was a substantial increase in domestic handling volume which increased by 34% YoY. In Q2 FY22, the domestic handling volume grew by 7% whereas the Exim (export import) volume declined by 3%. According to the management, the shortage of containers has stunted the growth of the company which would have otherwise been 10% higher than what it is right now. The PAT increased by 41% YoY to Rs.2.64 billion and there was a 3.6% increase QoQ. The EBITDA Margin fell by 60bps which can be attributed to the fact that the operational efficiency was disrupted due to the container shortage fiasco. The total expenses of the company rose from Rs.11897 million in Q2 FY21 to Rs.13975 million in this quarter, displaying an increase of 17.5% YoY. EBITDA jumped up by 46% YoY to Rs.426 crores due to the increase in operating margins. For the second quarter, the board has decided to pay an interim dividend of Rs.4.

Concor started offering a 50% discount on rail freight for the relocation of empty containers from different ports to hinterland terminals. From September a higher rebate of 75% is to be give to shipping lines if they offer 10k containers per month and a 100% discount if 15k containers are offered.

From October 2021, a pan-India hike of Rs.1000/teu for container handling in terminals is to be initiated. According to managements, the domestic segment will be the higher growth driver in the near future and thus has plans to change the Exim: domestic ratio from 70:30 to 60:40.

Analysts have recommended a BUY call for this share, with a target price of Rs.800. A potential upside of 18% can be estimated from this share.

Open Demat Account

Enter First Name & Last Name
Enter Mobile Number
Enter correct otp
Please enter referal code
Start investing in just 5 mins
Free Demat account, No conditions apply
  • 0%* Brokerage
  • Flat ₹20 per order
Next Article

These penny stocks are locked in the upper circuit on Tuesday

These penny stocks are locked in the upper circuit on Tuesday
by 5paisa Research Team 26/10/2021

On Tuesday, the benchmark indices were trading mixed amid volatility with Sensex trading 97.29 points higher at 61,064.34 level and Nifty 50.45 points up at 18,175.85 level.

Tech Mahindra, Titan, SBI, Ultra Tech Cement and Tata Steel are the top 5 gainers in the Sensex group whereas IndusInd Bank, Axis Bank, HUL, ICICI Bank and Powergrid Corporation were among the top 5 losers within the index. The stocks of SBI and Tech Mahindra have made fresh 52-week highs in Tuesday’s trading session.

In the broader markets, the BSE Midcap and BSE Smallcap indices are seen outperforming benchmark indices gaining 1.05% and 1.60%, respectively. Macrotech Developers (LODHA) is holding the top position in the BSE Midcap index whereas, in the smallcap space, KEI industries has caught the spotlight jumping 13.34% on an intraday basis.

On the sectoral front, apart from BSE Bankex, all the sectoral indices are seen trading in green. BSE Realty index is shining and has managed to trade 2.9% higher in the Tuesday trading session, amid volatility. The top-performing stock lifting the index is Brigade Enterprises, zooming up to 6.21% followed by Oberoi Realty, Mahindra Lifespace Developers and Prestige Estates.

The BSE Bankex Index is the weakest performing sector in Tuesday’s trading session, declining 0.21%. IndusInd Bank, ICICI Bank, Axis Bank, Bandhan Bank and Kotak Mahindra Bank were the stocks facing the highest pressure within the BSE Bankex index.

In a volatile day, several penny stocks were seen outperforming the markets gaining up to 4.82%.

Following penny stocks locked in the upper circuit on October 26, Tuesday -

Sr No   

Stock   

LTP   

Price Gain (%)   

1  

Lloyds Steels  

6.1  

4.27  

2  

Shriram EPC   

6.75  

4.65  

3  

Viji Finance   

2.7  

3.85  

4  

Ankit Metal Power   

3.9  

4  

5  

SITI Networks   

1.9  

2.7  

6  

Indosolar Industries   

3.65  

4.29  

7  

Zenith Birla   

1.15  

4.55  

8  

Eastern Silk   

4.35  

4.82  

9  

DCM Financial  

3.9  

4  

10  

W S Industries   

9  

4.65  

Open Demat Account

Enter First Name & Last Name
Enter Mobile Number
Enter correct otp
Please enter referal code
Start investing in just 5 mins
Free Demat account, No conditions apply
  • 0%* Brokerage
  • Flat ₹20 per order