6th Jan 2016 - Wednesday

ShareKhan Pre - Market Action

Trading
Ideas:

Long/Short Ideas identified on basis of Fundamental Trigger/News/Events

Watch List: List of stocks identified for trading with positive and negative bias for the day
News/
Updates:

Important News & Events (Both Domestic & Global) to keep you updated on all
the happenings in markets.

Index Ideas: Nifty and Bank Nifty view for the day.
Currency: View on Currencies/ Important News and Updates
Commodity: View on Gold/ Silver/Metals

Trading Ideas

Auro Pharma (CMP 863)

Aurobindo Pharma gets tentative approval for
Prasugrel Anda

Action to be taken: Long Auropharma

Stop loss: 852

Target: 880-890

Valecha Eng (CMP 53.4)

SEBI Bars Valecha Engineering from raising
capital from public & securities market for 3
years.

Action to be taken: Short Valecha Engg

Stop loss: 55.2

Target: 50-48

News Update
Jharkhand govt seeks payment of outstanding dues by
Rel Power in 3-4 weeks.
SC has upheld ban on sale of large diesel vehicles in
Delhi
UP cabinet to take up sugarcane pricing policy on Jan
7
SC asks Govt to set up 104 new CNG pumps in NCR
High Court hearing today, on Telco's plea on call drops.

News Update
Narayana Hrudayalaya to list today; issue price Rs 250
JP Associates shareholders approve raising up to Rs
500 cr via debentures
Suven Life Sciences secures three (3) Product Patents
in Canada, ARIPO and South Korea
SEBI approves IPO plans of VLCC Health Care, Parag
Milk, L&T Infotech | VCCircle.
Govt scraps 5% export duty on iron ore pallets

News Update
Zydus acquires select brands of leading animal health
co Zoetis.

Baring Private Equity Asia willing to sell 71% stake in

Hexaware
JHS Svenguard allotted 1.26cr convertible warrants to
non promoters under CDR
Gokaldas board agrees to sell land in Bangalore,
Hyderabad & Mysore

Watch List
Stocks With +ve
Bias

CMP
(Rs)

Stocks With -ve

Bias

CMP
(Rs)

Adani Power

35

Bata

489

India Cem

102

JSW Energy

86

Tata Steel

81

Stock for
Investment

Stocks for Investment

Stocks

CMP (Rs)

ADITYA BIRLA NUVO

2294

AXIS BANK

436

BRITANNIA

2967

PI INDUSTRIES

675

LUPIN

1783

Actionable Ideas

ShareKhan Actionable Ideas KDDL

CMP 352
Target Price 400

Ethos (KDDLs subsidiary into watch retailing) continues to nurture and improvise
its online lead generation platform (www. ethoswatches.com) and expects an
incremental growth on every parameter from this mode.

We remain confident of the omnichannel lead generation retailing model of Ethos
which is delivering good performance (Ethos has posted over 25% Y-o-Y growth over
the last six quarters).

This strong growth is likely to continue with strong margin expansion ahead. We
expect Ethos to post 26% revenue CAGR (FY2015-18), coupled with a 300-basis
point margin expansion over the same period resulting in a sharp 116% CAGR
growth in net earnings from Rs2.7 crore in FY2015 to Rs19 crore in FY2018. On a
consolidated basis, we expect the revenue and earnings to grow at a CAGR of 21%
and 42% respectively.

Thus, we continue to remain positive on the stock. With the introduction of FY2018
estimates and rolling forward our valuation to an average of FY2017 and FY2018, we
have revised our price target on KDDL upwards to Rs400 (manufacturing vertical
valued at 6x; while Ethos valued at 25x average earnings of FY2017E and FY2018E).

Global Update

Global Indices and news

The Dow and S&P 500 finished
slightly
higher
on
Tuesday,
stabilizing after a weak start to the
new
year,
though
investor
nervousness stayed high.

Index

Close

Prev
Close

Change

Change

China's markets, closely watched

after a wild ride so far this week,
rallied after services sector data
showed expansion, but other Asian
markets remained under pressure
Wednesday.

Dow
Jones

17159

17149

10

0.06%

S&P
500

2017

2013

0.20%

FTSE

6137

6093

44

0.72%

Key data to watch in US today are

ADP
Employment
Report,
International trade , Factory orders
, ISM Non-MFg, EIA Petroleum
Status Report and FOMC minutes

Index View

Technical view Nifty 7784



Short Term Target for Nifty is 8200

Crucial Support area for Nifty is 7551

 Intraday levels:
Support 7714-7551

Resistance 7850-7938

All levels are spot levels

Technical view Bank Nifty- 16542

Crucial Support for Bank Nifty is at 16188
Intraday levels:
Support 16440-16188 Resistance 16670-16840

All levels are spot levels

Derivative Update

Futures Activity

Nifty
Nifty CoC
OI
PCR(OI)
INDIA VIX

Current Previous % change

7802.75
7809.8 -0.09%
3.69%
3.61%
2.18%
21510000 20932350 2.76%
0.85
0.85
0.00%
-0.83%
16.70
16.84

Nifty added 5.78 lakh shares in OI.

Options Activity
Strike
8000 C
7900 C
7800 C

Most active index call option

Curr. IV
Curr. OI % Chg. OI
14.53%
5603325
31.95%
14.89%
3213600
30.61%
15.48%
2533800
20.63%

% Chg. IV
-2.63%
-3.42%
-2.57%

Strike
7700 P
7800 P
7500 P

Most active index Put option

Curr. IV
Curr. OI % Chg. OI
16.78%
4484250
21.49%
15.81%
3863925
-2.26%
18.44%
5388300
16.30%

% Chg. IV
-0.96%
-2.37%
0.42%

On the options front in the January series 7500 PE stands with the
highest number of shares in the open interest (OI). Whereas on call
side 8200 CE stands with the highest number of shares in the open
interest (OI).

Securities in Ban For Trade Date 06-January-2016

1.NIL

FII :
INDEX FUTURES
INDEX OPTIONS
STOCK FUTURES
STOCK OPTIONS

+33.86 cr.
+1163.85 cr.
-178.56 cr.
-9.21 cr.

Market Level

5-DAY VWAP Lower Range

7900

7800

Higher
Range
7900

SGX Nifty -11.00 points at 7766.50 (Jan Fut.)

Currency Update

Technical Overview (Jan) 06/01/2016

Product

Previous
Close

Trend

USDINR

66.8225

Bullish

Buy

66.64

67.04

EURINR

71.99

Bearish

Sell

71.60

72.40

GBPINR

98.1150

Bearish

Sell

97.80

99.50

JPYINR

56.07

Bullish

Buy

55.85

56.30

Action Support Resistance

Commodity Update

Commodity Technical Overview

Previous
Product
Close

Trend

Action Support Resistance

GOLD
(Feb)

25388

UP

Buy

35275

25490

SILVER
(Mar)

33666

UP

Buy

33250

34100

CRUDE

2407

Sideways

Buy

2380

2440

COPPER
(Feb)

311

Down

Sell

308.20

314

Thank You !

Disclaimer
The views expressed herein are solely of the analyst, Any review, retransmission, or any other
use is prohibited. The information contained herein is from publicly available data or other
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