IGI Logo

Nifty Outlook

Markets witnessed a healthy rebound and gained nearly a percent, taking a breather after the recent dip. The banking stocks led the charge, thanks to the dovish monetary policy wherein the RBI left rates unchanged and maintained its accommodative stance.

Finally, the Nifty index ended higher by 0.9% at 14,819 levels. The broader markets too witnessed healthy buying interest wherein both Midcap and Smallcap ended higher by 0.8% and 1.3%. All the major sectors ended in the green wherein auto, banking and metal were the top gainers.

With RBI policy behind us, the investors' focus would shift back to fundamentals and global cues. The rising COVID-19 cases and earnings announcement from companies would dictate the trend ahead. A decisive break above 14,900 in Nifty may result in a sustainable surge else consolidation will continue. Meanwhile, prefer hedged positions and focus more on the selection of stocks.

News

* Dr. Reddy’s Laboratories announced the launch of Sapropterin Dihydrochloride Powder for Oral Solution, 100mg, a therapeutic equivalent generic version of Kuvan (sapropterin dihydrochloride) Powder for Oral Solution, 100 mg, USP, approved by the US FDA.

* Tata Power Solar Systems Limited, a wholly-owned subsidiary of Tata Power, today announced a significant expansion of its state-of-the-art manufacturing facility in Bengaluru, taking the total production capacity of cells and modules to 1,100 MW.

* Steel Strips Wheels announced that it has received export orders of close to 4,00,000 wheels for US & EU caravan trailer market, US mobile home and US truck trailer market. The company will complete their execution by early July 2021 from its Chennai & Dappar plant.

Derivative Ideas

INDIGO FUTS added around 5% in open interest as long buildup was seen in it till closing time. Current chart pattern also indicates further up move in its price. We suggest buying INDIGO as per below levels.

Strategy:- BUY INDIGO BETWEEN 1585-1592 STOP LOSS 1570 TARGET 1625

Investment Pick - Crompton Greaves Consumer Electricals Ltd.

Crompton Greaves Consumer Electricals (CGCE) is engaged in manufacturing and marketing of a wide range of consumer products ranging from fans, light sources and luminaires, pumps and household appliances such as geysers, mixer grinders, toasters and irons.

We like CGCE for its strong growth potential, consistent rise in market share in its key segment coupled with healthy dividend pay-out ratio, strong cash flow generation, lean working capital cycle and robust return ratios. We recommend a Buy on the stock with a target price of Rs. 479.

Buy Crompton Greaves Consumer Electricals Ltd @ 9-12 Months CMP 392.5 TGT 479

To Read Complete Report & Disclaimer Click Here

Please refer disclaimer http://ex.religareonline.com/disclaimer

SEBI Registration number is INZ000174330

Views express by all participants are for information & academic purpose only. Kindly read disclaimer before referring below views. Click Here For Disclaimer