Strategy: CEATLTD added around 13% of open interest as long positions. Daily vwap is around 1210 levels. On charts, it is trading on verge of trendline breakout on daily charts, it is also trading above short term as well as long term moving averages on same time frame. We suggest buying CEATLTD 1220 CE as per levels given below.
* Nifty Feb futures volume weighted average price (VWAP) is at 8540 and Banknifty futures is at 19400.
* Put writing was seen at 8500 & 8600 strikes. Highest positions are at 8400 PE and 9000 CE.
* Nifty is expected to be in the range of 8450-8850.
* Cement, Finance & Metal stocks gained the mos
* The stock advanced gradually post giving break-out from falling trend line, where it surged taking support of its short-term moving average 20-day SMA.
* Rise in RSI & MACD from their lower level is signaling overall strength in the stock.
* As per the current daily set-up, we believe the stock will soon sur
STOCK IN FOCUS
* Ambuja Cements (ACL) surged over ~2% in Wednesday’s trade on the anticipation of favourable announcements to be made in upcoming Budget 2017-2018, which may aid demand recovery
* Though 4QCY16 result will be subdued, group restructuring and likely enhancement in operating synergies augur well for ACL in the long-term.
IGL added around 17% of open interest as long positions. It has rolled 67% into Feb series. On chats, it is trading on verge breakout from congestion zone of last 20 trading sessions or so. We suggest buying IGL Feb futures as per levels given below.
BUY IGL FEB FUTS BETWEEN 932-934, SL 920, SL 960.
Kansai Nerolac Paints Limited
KANSAINER has formed “Inverted Head and Shoulder” pattern on daily chart, it is a bullish reversal pattern. It also attracted decent volume at the time of neckline breakout, indicating bullish bias ahead.
Buy Kansai Nerolac Pai
Century Textiles & Industries Limited
CENTURYTEX has consolidated lot near its 100 EMA and now it’s current chart pattern suggests it is set for fresh breakout. Hence, we advocate buying in mentioned range.
Buy Century Textiles & Industries Limited
MOTHERSUMI added around 40% of open interest as fresh long positions. It has rolled 48% into next contract so far. On charts, it is trading on verge of resistance breakout from the congestion zone of last four months or so. We suggest buying Feb futures as per levels given below.
BUY MOTHERSUMI FEB FUTS BETWEEN 330
Oil & Natural Gas Corporation Limited
ONGC is in long-term up trend, firmly trading near its 52-week high. It is among the few large-cap stocks which were not impacted by the demonetization of currency notes and kept their overall bullish trend intact. At current juncture, it is set for fresh breakout on daily chart. Hence, we recommend buying in t
Petronet LNG Limited
From past two weeks, PETRONET is consolidating just above its 100 EMA support, which is a positive development. And, is also set for fresh breakout from “Triangle” pattern on weekly chart. All this goes to show bullish bias is here to last.
SCRIP SYMBOL - INDUSNINDBK
TECHNICAL RATIONALE – INDUSNINDBK, after the recent surge, has taken a pause and currently consolidating around the record high. Its chart pattern and overall positivity in banking space indicates possibility of fresh breakout in near future. Traders should use this phase to accumulate in the given range.
* The stock slipped to three week low post giving break-down from Rs1200.
* RSI once again reversed from sub-55 level and currently trading below its average, which is signaling lack of strength in the stock.
* Negative cross-over in MACD & fall in Histogram is also in favor of probable decline.
BIOCON added around 5.7% of open interest as fresh long positions. Put writing was seen at 980 strike. It has rolled around 33% into February series. On charts, it has formed a buying pivot on daily charts. We suggest doing a covered call strategy as per levels given below.
BUY BIOCON FEB FUTS BETWEEN 995-1000 &
STOCK IN FOCUS
* KEC International closed 1.8% higher in trade on Monday.
* We are positive on the stock due to its Diversified business model with global reach, Margin improvements ahead, legacy orders nearing completion & Order inflow traction to remains intact.
* The company has seen improved traction in T&D business, bot
Hindalco Industries Limited
Yesterday, i.e. 23rd January, it posted fresh breakout from rectangle pattern on intraday chart. It is a continuation chart pattern indicating bullish bias to persist when formed at northward facing chart.
Buy Hindalco Industries Limited&nbs
Bajaj Finance Limited
BAJFINANCE has shown good amount of recovery from demonetization impact. Post consolidating just above its 200 EMA on daily chart, it is all set for fresh breakout above its 100 EMA trading zone as well. Considering its current chart pattern, we strongly believe it is head higher in the near–term.