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May 29, 2024
Stocks to buy: Charts suggest upside for ACC, Maruti Suzuki shares, Nifty support at 16650

By Rohan Patil

Last week was super volatile for the Benchmark index where prices traded in both directions and kept the traders on the sideline without giving any specific direction. Nifty has formed a Doji candlestick pattern on the weekly chart which indicates indecision among the trades.

The immediate support for the Nifty is placed near its 50 WEMA which is placed at 16650 levels and the upper band of the index is capped at 17400 levels if the index is closed above the said levels then the gate for the prices is open till 17700 levels.

Bank Nifty weakness continues

The Bank Nifty continued to trade in negative terrain for the two consecutive weeks and the index closed with a loss of more than three per cent on the weekly chart. Bank Nifty underperforms, down 2.20% as against Nifty losses of 1.28% on the 22nd April session.

The Banking index has formed a bearish island reversal pattern on the daily chart and the gap created on 18th April was felt unfiled and is acting as near-term resistance. The pries closed below its (21, 50 & 100) – day exponential moving averages on the daily time frame and the oscillator RSI (14) has drifted below 50 levels and also facing a strong resistance of a trend line near 60 levels.

The immediate support for the Bank Nifty is placed near 35000 levels and the upper band of the index is capped at 37500 levels if the index is closed above the said levels then the gate for the prices is open till 38200 levels.

ACC: BUYTarget: Rs 2385 | Stop Loss: Rs 2185Return: 5.50%

Over the past two months prices have formed a basing formation and in terms of classic technical stock has formed a bullish inverted head & shoulder pattern on the daily interval.

On April 21 prices have given a decisive breakout above its neckline resistance which is also a breakout of inverted head & shoulder pattern at 2270 levels. The breakout was followed by an above-average volume and prices successfully closed above its 21- day exponential moving average on the daily time frame.

The majority of indicators and oscillators are also in bullish range shift mode and reading above their line of polarity.

MARUTI Suzuki India: BUYTarget: Rs 8300 | Stop Loss: Rs 7680Return 5%

After a strong reversal from the lower levels, MARUTI share price consolidated in a rectangle pattern for almost one month. On April 22, prices witnessed a breakout above their trend line resistance placed at around 7800 levels.

The recent back to back green candles on the daily chart have given a breakout above its 21-day exponential moving average on the daily interval. We have also observed a gradual increase in the volumes in the last couple of trading sessions. Currently, we are expecting a rise in the share price of the MARUTI as indicators are moving higher above is previous high.

(Rohan Patil is a Technical Analyst at Bonanza Portfolio. Views expressed are the author’s own. Please consult your financial advisor before investing.)

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May 25, 2024
IT index beats Nifty 50 YTD; Why is it rising? Tech Mahindra, HCL Tech shares among analysts’ top stock picks

The Nifty IT index has risen over 6% year to date compared to a 14% surge in tech-heavy Nasdaq. In 2022, the Covid-19 pandemic accelerated the shift towards remote work and digitisation, leading to an increase in demand for IT products and services, taking the Nifty IT index above 36,800. But as questions arose over the valuation of IT stocks, the index fell below 26,200 in the later half of 2022. But, this year, IT has outperformed the Nifty 50 YTD, owing to better than expected financial results and the recent surge can be due to the Adani-Hindenburg saga. “Investors are finding safety in the IT sector compared to other sectors like banking, in the light of the Adani saga,” said Anita Gandhi, Director, Arihant Capital Markets. So should investors go bullish on IT stocks or remain cautious as it reaches crucial resistance levels? Here’s what analysts have to say:

Analysts bullish on Nifty IT; Mphasis, HCL Tech among top stock picks

The trend of Nifty IT remains bullish, according to analysts, since the index has already seen a correction. “The overall trend of the Nifty IT Index is bullish. We observed an ideal correction from the record high last year and saw a downside move of about 30%. Since the start of this year, IT stocks have been performing well. We are bullish on this sector up to the 34,000 level on the higher side, and the bullish view will be valid as long as it sustains above the 26,000 level, according to the technical chart” said Rameshver Dongre, Research Analyst – Equity Research.

Risk-reward is favourable for India IT; Tech Mahindra, TCS among top picks

“We continue to believe risk-reward is favourable for India IT. In our view, reasonable valuation limits the downside based on 1) P/E closer to the five-year average, 2) robust OTD TCV performance, and operating margin on the mend as supply issues ebb (Q3 margin underscores this). Our top picks are Tech Mahindra and TCS among Tier-I firms and Coforge and Persistent Systems among Tier-II,” analysts at Elara capital said.

Investors should remain cautious as IT approaches crucial resistance levels

Investors should avoid fresh buy positions as IT stocks approach crucial resistance levels. “Even though Nifty IT stocks have done reasonably well compared to the other sectors mainly due to a pullback in the Nasdaq stocks, currently investors should remain cautious as IT stocks approach crucial resistance levels. Nifty IT has strong resistance at 31104 on the Daily charts. Till this resistance is broken on the Daily charts, investors should avoid fresh buy positions now and wait for support levels of 30018 & 29505 to initiate fresh buy positions,” said A R Ramachandran from Tips2trades.

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May 23, 2024
Gold Price Today, 13 Feb: Gold flat as traders eye US inflation data, US Treasury yields may rebound

Gold Price Today, Gold Price Outlook, Gold Price Forecast: Gold rate is trading flat on Monday as a result of mixed, while the silver rate is down 0.55%. On Multi Commodity Exchange, gold April futures were trading at Rs 56,728 per 10 grams, down Rs 13 or 0.02%. Silver March futures were trading lower by Rs 364 at Rs 66,300 per kg on MCX.

Globally, the yellow metal prices were lower on Friday as traders awaited U.S. inflation data that would give an insight into the US Fed’s monetary policy trajectory, according to Reuters. Spot gold was up 0.2% to $1,864.10 per ounce. US gold futures for February delivery settled 0.2% lower at $1,874.50 per ounce.

Gold likely to trade with negative bias: ICICIdirect report

Gold prices slipped amid a surge in the dollar index and US treasury yields. Yields moved up as several US Federal reserve officials insisted on a tighter monetary policy for some time to rein the inflation. Additionally, the uptick in US preliminary inflation expectation to 4.2% against the previous reading of 3.9% ahead of key CPI numbers has increased the bets for rate to remain at a higher level.

Gold prices are likely to trade with a negative bias amid a rebound in US treasury yields. Further, investors’ fears risk of higher readings after the Labour department revised its CPI data for the prior three months. Furthermore, futures now price Fed target rate to stay above 5% from May to November, with only a slight decline to 4.862% in December. MCX Gold is hovering near key support at 56,540. A move below would weaken the price towards next key support at 56,200. MCX silver has breached the key support of 50 day EMA at 67,200. Hence, it is expected to slide towards initial support at 66,100.

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May 21, 2024
Market Outlook: Nifty, Sensex gain, to be range-bound in short-term; uptrend vulnerable below 17,900

Indian benchmark equity indices, managed to close the weekly F&O expiry session in the green territory. The BSE Sensex closed above 61,300 and the NSE Nifty 50 settled above 18,000. However, profit taking in the banking,financials and auto heavyweights pared all the gains as the day progressed. Meanwhile, the broader indices outperformed the benchmark index and gained in the range of 0.7%-1%.

Markets Ahead: Global market influences domestic indices

Nifty couldn’t hold onto gains: Deepak Jasani, HDFC Securities

Data released Thursday showed that China’s January air passenger traffic rose 34.8% from a year earlier, suggesting that demand from the world’s largest importer of crude could bounce back relatively quickly after its decision to abandon its strict zero-COVID policy. Nifty rose as expected, but could not hold on to gains.

US economy resilient, fear of hawkish Fed caps gains: Vinod Nair, Geojit Financial Services

The domestic market absorbed the buoyancy in the global market, led by IT stocks, while upstream oil companies gained as a result of the slash in windfall tax. After robust jobs data, strong retail sales numbers in the US showed proof of resilience in the US economy amidst concerns over elevated inflation numbers. However, the gains were capped by worries that a stronger economy would attract a tighter monetary policy.

Nifty Technical View: Nifty formed bearish candle

Below 17,900, uptrend vulnerable: Shrikant Chouhan, Kotak Securities

On the technical front, a small bearish candle on daily charts is indicating a range bound activity in the near future. For the bulls, 17,950-17,900 would act as a key support zone while 18,150-18,200 would be the crucial resistance zone. However, below 17,900, the uptrend would be vulnerable.

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May 17, 2024
NSE places 3 Adani stocks under short-term surveillance

The National Stock Exchange of India (NSE) on Thursday included Adani Enterprises, Adani Ports & SEZ and Ambuja Cements under the short-term additional surveillance measure (ASM).

The applicable rate of margin is 50% or the existing margin, whichever is higher, subject to a maximum of 100% on all open positions as on February 3 and new positions created from February 6.

The shortlisting of securities for placing in ASM is based on criteria such as price/volume variation, mcap, and delivery percentage as jointly decided by Sebi and the exchanges.

Shortlisting of securities under ASM is on account of market surveillance and does not imply an adverse action against the concerned companies. Brokers offering margin trading facility to their customers have already increased margin requirements on Adani group stocks in the past few days to as high as 70-80%, said people in the know. One of the leading brokers may put Adani Enterprises in its no-funding list.

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May 15, 2024
Rupee depreciates on strong dollar, rising crude prices; watch this range to take positions in USDINR pair

The Indian rupee opened 10 paise lower at 82.59 per dollar on Thursday against the previous close of 82.49. The local unit is expected to depreciate today amid rising crude oil prices and strong dollar. Further, persistent FII outflow from domestic equity markets may pressurise the rupee. Meanwhile, investors will closely watch initial jobless claims data from the US, which is expected to rise from 183,000 to 190,000. The US$INR is likely to trade towards 82.80 levels, according to ICICIdirect. In the previous session, rupee volatility remained low even after the RBI raised rates by 25 bps and kept its policy focused on withdrawal of accomodative stance.

USDINR(Spot) to trade sideways

RBI Governor Shaktikanta Das on Wednesday noted that core inflation could remain sticky. Retail inflation is projected to be at 6.5% for FY23 from the previous estimate of 6.7%. GDP is projected to be at 7% for FY23 from the previous estimate of 6.8%. No major reaction was seen on Rupee and it traded in a narrow range. “Today, volatility could remain low as no major economic data is expected to be released from the US. We expect the and quote in the range of 82.40 and 82.90,” said Gaurang Somaiya, Forex & Bullion Analyst, Motilal Oswal Financial Services.

Surge in crude oil prices, sustained FII outflows to cap upside in Rupee

“We expect Rupee to trade with a slight positive bias amid risk-on sentiments in global markets and softening of greenback. However, surge in crude oil prices and sustained FII outflows may cap sharp upside. Markets participants may remain cautious ahead of statements coming in from various Fed officials for any cues on stance of the US central bank. USDINR spot price is expected to trade in a range of Rs 81.80 to Rs 83.30,” said Anuj Choudhary – Research Analyst at Sharekhan by BNP Paribas.

Watch this range for taking fresh positions in USDINR pair

“The USDINR 24 February futures contract showed profit-taking at higher levels. As per the daily technical chart, we observed that the pair is trading above its trend-line support level of 82.15 and RSI is fetching above 60 levels. Looking at the technical set-up, MACD is showing positive divergence but the pair is facing steep resistance around 82.85 levels. If the pair sustains above 82.85 levels it could witness further strength towards 83.05-83.30, else it could test its support level of 82.55-82.30 again. We suggest closely watching the levels of 82.55-82.85 for taking fresh positions in the pair in today’s session, either side breakout of the range could give further directions,” said Rahul Kalantri, VP Commodities, Mehta Equities.

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May 15, 2024
Nestle shares climb nearly 2 pc after earnings announcement

Shares of Nestle India Ltd on Thursday climbed nearly 2 per cent after the FMCG major reported a 65.50 per cent increase in net profit in the fourth quarter ended December 31, 2022.

The stock gained 1.64 per cent to settle at Rs 19,562.05 apiece on the BSE. During the day, it climbed 2.87 per cent to Rs 19,799.95.

Nestle India Ltd on Thursday reported a 65.50 per cent increase in net profit at Rs 628.06 crore for the fourth quarter ended December 31, 2022.

The company, which follows the January-December financial year, had posted a net profit of Rs 379.48 crore in the same period a year ago, it said in a regulatory filing.

Nestle India’s net sales rose 13.95 per cent to Rs 4,233.27 crore during the period under review, as against Rs 3,714.86 crore in the corresponding period last fiscal, the company said.

Its total expenses in the October-December quarter were at Rs 3,427.27 crore, up 12.78 per cent, as against Rs 3,038.84 crore in the corresponding period.

The total income of Nestle India was Rs 4,286.34 crore in the October-December quarter.

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May 12, 2024
Nifty to stage a pullback or bears to keep control amid volatility? 7 things to know share market opens

Indian share market is likely to open on a positive note on the week’s last trading day, hinted SGX Nifty. On the Singapore Exchange, Nifty futures traded higher at 17688 level. In the previous session, BSE Sensex gained 224 pts to 59,932, while NSE Nifty 50 fell 6 pts to 17,610. “Participants were anticipating some respite after the dovish tone from the US Fed however continuous decline in Adani group counters combined with the scheduled weekly expiry kept the tone negative for most of the session. Indications are pointing towards further consolidation in the index thus we recommend maintaining a sector/stock-specific approach. Among the sectors, IT, FMCG, and select auto look positive to us while others may continue to trade mixed so plan accordingly, said Ajit Mishra, VP – Technical Research, Religare Broking Ltd.

7 things to know before share market opens

Asia markets: Stocks in the Asia-Pacific were mixed on Friday after Wall Street’s rally driven by technology stocks. Hong Kong’s Hang Seng index fell 1.7%, leading losses in the region. In mainland China, the Shanghai Composite fell 0.74% and the Shenzhen Component lost 1.06%. Japan’s Nikkei 225 rose 0.64% and the Topix fell 0.41%. In South Korea, the Kospi also fell 0.14% while the Kosdaq lost 0.13%. Overnight in the US, Dow Jones fell 0.11%, S&P 500 gained 1.47%, and Nasdaq added 3.25%.

Key levels to watch: “Volume profile indicates Nifty has a strong support around 17400-17500 zone. Coming to the OI Data, on the call side, the highest OI observed at 17800 followed by 18000 strike prices while on the put side, the highest OI was at 17500 strike price. On the other hand, Bank Nifty has support at 39900-40100 while resistance is placed at 41200-41300 range,” said Ameya Ranadive, Equity Research Analyst, Choice Broking.

Q3 Results today: ITC, State Bank of India, Divi’s Labs, Bank of Baroda, Tata Power, InterGlobe Aviation, One 97 Communications (Paytm), Marico, Mahindra & Mahindra Financial Services, Zydus Lifesciences, Manappuram Finance, Aarti Industries, Borosil, Clariant Chemicals, Elgi Equipments, Emami, Engineers India, India Cements, Intellect Design Arena, JK Tyre & Industries, Jubilant Pharmova, Kansai Nerolac Paints, Nava, Praj Industries, Quess Corp, Shipping Corporation of India, Sun TV Network, and Tube Investments of India will report their quarterly earnings on 3 February.

FII and DII data: Foreign institutional investors (FII) sold shares worth Rs 3,065.35 crore, while domestic institutional investors (DII) purchased shares worth Rs 2,371.36 crore on 2 February, according to the provisional data available on the NSE.

Stocks under F&O ban on NSE: The National Stock Exchange has Adani Ports and Ambuja Cements under its F&O ban list for 3 February. According to the NSE, the stock mentioned above is prohibited in the F&O sector because it has exceeded 95% of the market-wide position limit (MWPL). During the F&O ban period, no new positions are permitted for F&O contracts in that stock.

Crude oil headed for a weekly loss: Oil prices made modest gains in early trade on Friday but were heading for a second straight week of losses, as the market looked for more signs of a strong recovery in fuel demand in China to offset looming slumps in other major economies. Brent crude futures rose 16 cents, or 0.2%, to $82.33 a barrel at 0110 GMT, while U.S. West Texas Intermediate (WTI) crude futures gained 18 cents, or 0.2%, to $76.06 a barrel. So far this week, Brent has dropped by 4.8%, extending a 1.1% loss from the previous week. WTI has fallen by 4.5% after sliding 2% in the prior week.

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May 12, 2024
Karauli Rajasthan Assembly Constituency Election 2023: Date of Result, Voting, Counting; Candidates

Karauli RJ Assembly Election 2023 Details: The election for Karauli Assembly Constituency in Rajasthan will be held on November 25 this year. The final date of voting and result were known after the formal announcement by the Election Commission of India. Here are the important details of the Karauli Constituency Assembly Election 2023 that you should know.

Karauli Constituency Rajasthan Assembly Election 2023: Voting Date

November 25 is the date of voting for the Karauli Assembly Constituency Election 2023 as announced by the Election Commission of India.

Karauli Constituency Rajasthan Election 2023: Candidates List

Bharatiya Janta Party (BJP), Congress and other political parties in the state will announce their candidates for the Karauli Assembly Constituency Election 2023 after the announcement of voting dates by the Election Commission of India.

Why Karauli Constituency Assembly Election 2023 is Important

Karauli is a state Assembly/Vidhan Sabha constituency in the state of Rajasthan and is part of the Karauli Lok Sabha/Parliamentary constituency. Karauli falls in the Karauli district of Rajasthan and is categorised as an urban seat.

Karauli Constituency RJ Election Result: What happened in 2018

Lakhan Singh of the Bahujan Samaj Party was the winning candidate from the Karauli constituency in the RJ Assembly elections 2018, securing 61163 votes while 51601 votes were polled in favour of Darshan Singh of the Indian National Congress. The margin of victory was 9562 votes.

2018 Karauli Assembly Constituency Election Result

Winning Candidate NameParty NameTotal VotesLakhan SinghBahujan Samaj Party61163

Candidate List Party Name Votes Gained (Vote %) Lakhan Singh Bahujan Samaj Party 61163 (35.75%) Darshan Singh Indian National Congress 51601 (30.16%) Om Prakash Saini Urf O P Saini Bharatiya Janata Party 47022 (27.49%) Vedprakash Urf Bantu Neta Independent 4986 (2.91%) Kuldeep Pal Rashtriya Loktantrik Party 2331 (1.36%) None Of The Above None Of The Above 1144 (0.67%) Madanlal Independent 977 (0.57%) Naresh Pal Independent 396 (0.23%) Gajraj Singh Peoples Party Of India (democratic) 376 (0.22%) Kamlesh Independent 242 (0.14%) Amarsingh Jatav Independent 198 (0.12%) Akhlesh Kumar Independent 193 (0.11%) Sahab Singh Shiv Sena 140 (0.08%) Chandrakala Abhinav Rajasthan Party 123 (0.07%) Vikram Bharatiya Yuva Shakti 96 (0.06%) Jaswant Singh Jago Party 82 (0.05%)

Karauli Constituency RJ Election Result: What happened in 2013

Darshan Singh of the Indian National Congress was the winning candidate from the Karauli constituency in the RJ Assembly elections 2013, securing 52361 votes while 35194 votes were polled in favour of Rohini Kumari of the Bharatiya Janata Party. The margin of victory was 17167 votes.

2013 Karauli Assembly Constituency Election Result

Winning Candidate NameParty NameTotal VotesDarshan SinghIndian National Congress52361

Candidate List Party Name Votes Gained (Vote %) Darshan Singh Indian National Congress 52361 (36.03%) Rohini Kumari Bharatiya Janata Party 35194 (24.22%) Lakhan Singh National People’s Party 33755 (23.23%) Suresh Bahujan Samaj Party 8042 (5.53%) Somya Gurjar Independent 5854 (4.03%) Akhalesh Kumar Independent 3413 (2.35%) None Of The Above None Of The Above 1515 (1.04%) Anshul Godara Independent 1225 (0.84%) Dinesh Meena Nationalist Congress Party 1063 (0.73%) Bhoor Singh Choudhary Lok Jan Shakti Party 755 (0.52%) Lalit Kumar Mali Independent 543 (0.37%) Dharm Singh Samajwadi Party 436 (0.3%) Jaswant Singh Jago Party 417 (0.29%) Atar Singh Bharatiya Yuva Shakti 356 (0.24%) Bhoodev Singh Dagur Rashtriya Lok Dal 271 (0.19%) Tejram Lok Dal 127 (0.09%)

Karauli Constituency RJ Election Result: What happened in 2008

Rohini Kumari of the BJP was the winning candidate from the Karauli constituency in the RJ Assembly elections 2008, securing 44937 votes while 43681 votes were polled in favour of Darshan Singh of the BSP. The margin of victory was 1256 votes.

2008 Karauli Assembly Constituency Election Result

Winning Candidate NameParty NameTotal VotesRohini KumariBJP44937

Candidate List Party Name Votes Gained (Vote %) Rohini Kumari BJP 44937 (35.02%) Darshan Singh BSP 43681 (34.05%) Chandra Prakash INC 35643 (27.78%) Suresh Kumar IND 879 (0.69%) Anil Kumar JGP 832 (0.65%) Vijay Kumar IND 626 (0.49%) Lalit IND 492 (0.38%) Nitya Prakash IND 325 (0.25%) Bhoor Singh Choudhary LJP 269 (0.21%) Udai Ram SAP 210 (0.16%) Ramji Lal IND 150 (0.12%) Tara Chand IND 88 (0.07%) Devi Charan Meena IND 85 (0.07%) Narsi RJVP 83 (0.06%)

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May 9, 2024
Nifty short-term term trend weak, fresh pullback rally possible above 17050; Buy SBI, Lupin, BPCL stocks

By Shrikant Chouhan

The benchmark indices corrected sharply, the Nifty 50 ended 215 points lower while the BSE Sensex was down by 703 points. On Tuesday, the market opened with a positive note but in the late afternoon it witnessed exceptional intraday sell-off. In the last two hours, the Nifty corrected over 390/1200 points. Among sectors, IT, FMCG, Reality lost the most, shed over 3 percent. Technically, on daily charts the index has formed a long bearish candle and after a long time it succeeded to close below the 200 day SMA which indicates further weakness from the current levels.

Technical stocks to buy

Cholamandalam Investment and Finance Company

BUY, CMP: Rs 736.85, TARGET: Rs 775, SL: Rs 720

The counter is trading in a rising channel constantly. The higher high and higher low chart formations are apparent in the counter. Additionally, trend indicators such as MACD and ADX are showing bullish strength. Therefore, upward movement from the current level is very likely to remain in the near term.

Lupin BUY, CMP: Rs 769.5, TARGET: Rs 810, SL: Rs 750

The stock is into a gradual up move with a higher low series on the daily scale. Additionally, it is trading in a rectangle formation near its short term moving averages. Hence, a strong base has been shaped for the new leg of an uptrend from current levels.

State Bank of India (SBI) BUY, CMP 511.8, TARGET 540, SL 500

The stock has shown a remarkable rally in the last few weeks and the trend of the stock is still in the rising direction. The higher high and higher low chart formation is evident in the counter. Additionally, the rise in volume activity is indicating a bullish continuation pattern in the near future.

Bharat Petroleum Corporation BUY, CMP: Rs 375.85, TARGET: Rs 395, SL: Rs 365

The stock had presented a remarkable up move with the bullish continuation chart patterns continuously. After a breather of a few trading sessions, the counter has formed an inverted hammer which suggests that it is ready for further upward movement from the current levels.

(Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities, Views expressed are the author’s own.)

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