Market Insight 20 th Dec 2018 Market Wrap

Market Insight 20 th Dec, 2018 Market Wrap Indian shares extended their positive momentum to end higher for the seventh straight session on Wednesday after oil prices plunged and the RBI decided to inject more liquidity into the system, helping spur optimism about India's growth story. The rupee also traded higher and was on course for its biggest three-day advance since September 2013, as investors braced for more dovish Fed talk, when the central bank announces its interest-rate decision later in the day. The benchmark 30 -share BSE Sensex rose by 137. 25 points or 0. 38 percent to finish at 36, 484. 33, while the broader Nifty index ended the session up 58. 60 points or 0. 54 percent at 10, 967. 30. Indiabulls Real Estate soared 8. 2 percent after its board approved a scheme of arrangement to facilitate divestment of assets in Chennai. Tata Teleservices jumped more than 10 percent after it received NCLT approval for a scheme of arrangement with Bharti Airtel. DHFL advanced 5. 6 percent on news that it is exiting mutual fund business. IT and pharma stocks fell, with Infosys, Sun Pharma and HCL Technologies falling 2 -3 percent, as the rupee extended gains to breach the 70 per dollar mark in early trade. Reliance Communications slumped 9. 5 percent after the Department of Telecommunication reportedly rejected its deal with Reliance Jio to trade airwaves. The late-day sell-off on Wall Street came after the Federal Reserve announced its widely expected decision to raise interest rates by a quarter point. The Dow tumbled 351. 98 points or 1. 5 percent, the Nasdaq plummeted 147. 08 points or 2. 2 percent. Technical View Nifty started day on positive note with gap up opening on 22 points at 10930 levels in yesterday’s session. Price was lifted by positive sentiment as Crude oil prices fall below $50 internationally and expected dovish stance from US Fed’s meeting. After taking small dip to 10928 levels index remained in upbeat mode throughout the session and tested high of 10985 levels before closing at with gain of 58 points from previous close at 10967 levels. Index continued with its uptrend for seventh consecutive session and yesterday’s price action formed bullish candle on daily chart. In the process Nifty also managed to close marginally above recent top of 10941 attended on 3 rd December. Price is holding well above 200 DMA which is placed at 10750 levels. For short term, expect bullish momentum to continue but after seven straight session of rally some profit booking could not be ruled out in intraday. Immediate support is at 10930 and 10870 levels while rally could be capped at 11010 and 11090 levels.

As per current option data Immediate support is around 10800 & Major Support is around 10500. 51, 0 34, 8 6, 4 0, 8 23, 0 1, 8 3, 3 5, 8 17, 8 32, 9 36, 7 38, 2 50, 7 35, 8 37, 8 38, 5 16, 4 12, 1 39, 1 13, 8 0, 7 0, 0 (5, 00) (10, 00) (15, 00) CE -0, 2 -1, 1 • 5, 00 -0, 1 As per current option data Immediate Resistance is around 11000 & Major Resistance is around 11200. PE OI Change 7, 9 • 10, 00 3, 7 4, 2 2, 0 0, 2 1, 4 Put O I addition was seen at 11000 followed by 10900 and Call O I reduction was seen at 11000 followed by 10800. CE 10 10 10 11 11 11 500 600 700 800 900 000 100 200 300 400 500 7, 4 • OI PE -7, 8 Yesterday NIFTY future was up 0. 47% with increase in O I by 5. 19%. -11, 5 • -4, 1 -7, 6 10000 PE 60, 00 50, 00 40, 00 30, 00 20, 00 10, 00 - 12, 5 0. 5% -7. 15 5. 2% -0, 1 -1, 3 -0, 5 -3, 0 -2, 3 Change Thousands NIFTY 10986. 5 19. 20 2. 39 cr. 1. 47 11000 CE Thousands Index Fut Closing Prem /Disc OI Qty Nifty PCR Highest OI 52, 0 Nifty Derivative Activity 10 10 10 11 11 11 500 600 700 800 900 000 100 200 300 400 500 12, 3 0, 1 14, 6 0, 2 1, 8 0, 5 13, 9 29, 6 2, 0 CE PE • Call O I addition was seen at 27500 followed by 27600 which can act as short term resistance. 8, 0 Put O I addition was seen at 27200 followed by 27300 which can act as short term support. 7, 7 3, 5 1, 4 11, 6 0, 9 6, 9 0, 5 6, 8 0, 2 4, 2 0, 1 • 15 10 5 (5) (10) 2, 6 Yesterday BANKNIFTY future was up 0. 39% with increase in O I by 12. 83%. 7, 6 • OI Change CE PE -3, 6 27000 PE -2, 2 | 4, 4 26500 CE OI 26 26 27 27 27 800 900 000 100 200 300 400 500 600 700 800 -1, 1 -5, 3 -1, 5 -1, 3 -3, 8 Highest OI 13, 8 12. 8% 12, 2 8, 6 0. 68 cr. 6, 2 12, 3 OI Qty 13, 2 -18. 45 21, 5 59. 75 3, 4 Prem/Disc 2, 3 0. 4% 12, 1 27358. 15 13, 8 Fut Closing 40 30 20 10 - 1, 2 Change 1, 0 BANKNIFTY Thousands Index Thousands Bank Nifty Derivative Activity 26 26 27 27 27 800 900 000 100 200 300 400 500 600 700 800 Participants wise OI Activity Participant wise OI Activity ( Fig in ‘ 000 Contracts) Participant Type Index Fut Activity Call Activity Put Activity Client -3. 8 6. 5 28. 3 DII 0. 3 0. 0 -3. 7 FII 5. 3 -2. 6 -1. 5 Pro -1. 8 -3. 9 -23. 2 Pro 7, 2% Index Future OI % Client 35, 3% FII 47, 6% Future Index Long Client DII FII DII 9, 9% Pro • Yesterday, FII had added Long 5. 3 K Contracts in Index Futures and Clients had added Short 3. 8 K Contracts • FII had added Call Short by 2. 6 K Contracts and added Put Short by 1. 5 K Contracts • Clients had added Call Long by 6. 5 K Contracts and added Put Long by 28. 3 K Contracts Future Index Short 47, 9% 70, 3% 46, 7% 54, 6% 52, 1% 29, 7% 53, 3% 45, 4%

Market Buzz • Federal Reserve raise interest rates by a quarter point : The late-day sell-off on Wall Street came after the Federal Reserve announced its widely expected decision to raise interest rates by a quarter point. While the Fed also forecast fewer than previously estimated rate hikes next year, the central bank's tone was not as dovish as some traders had hoped. The central bank said its Federal Open Market Committee decided to raise the target range for the federal funds rate by 25 basis points from 2. 25 percent to 2. 50 percent. Annual rates of both overall inflation and core inflation were also said to remain near the Fed's 2 percent target, with indicators of longer-term inflation expectations also little changed. Fed plans to raise rates less than previously anticipated, the central bank's projections point to two rate hikes in 2019 compared to the previous forecast for three. The Fed's median projection for the federal funds rate in 2019 was reduced to 2. 9 percent from the 3. 1 percent expected in September. • Reliance Industries clarified on the news regarding Department of Telecommunications rejecting Reliance Communication-Jio spectrum deal stating that a correspondence was received by the company from Do. T on Dec. 18 with respect to application and the company is seeking appropriate clarifications in this regard. • Coal India seeks to buy coking coal mines in Australia and Canada. The state run-miner has identified “certain assets’, which are under different stages of due diligence, Coal Minister Piyush Goyal tells lawmakers in a written reply to questions. • Tata Consultancy Services launched Cloud Solutions Program in Canada. This solution provides cloud infrastructure and secured functioning between premise and public cloud environment. • Pfizer Inc entered into a joint venture agreement with Glaxo. Smith. Kline Plc to create a global consumer company. However the entity will not include brands like Corex, Gelusil and Becosules and they will be continued to be marketed by Pfizer’s Indian arm in its respective territory. • JSW Steel said that NCLT approved the resolution plan in the insolvency resolution process for Vardhman Industries. • KPIT Technologies: NCLT approved the merger plan with Birlasoft, which will then split into two-publicly traded companies. The tribunal also approved the demerger of company’s engineering business into KPIT Engineering. • Alembic Pharma received zero observations under Form 483 from the U. S. FDA for its API facility in Gujarat. • Canara Bank Board decided to raise additional Tier I capital through Basel III compliant additional Tier I perpetual bonds in rupee terms for an amount not exceeding Rs 3, 000 crore in single tranche or in multiple tranches, depending on the market conditions & subject to necessary approvals. • Syndicate Bank allotted 18, 36, 99. 217 equity shares for cash at an issue price of Rs 239. 63 per share to Government of India. With this allotment, shareholding of government increased from 73. 07 percent to 76. 16 percent. • Uflex launched three packaging foil solutions for pharma companies. Executive Director Amitava Ray said that the ‘fast tear strip’ foil will prove to be a game-changer for the pharma industry globally and they saw a potential growth market of 5, 000 tons annually in India. • Finance Committee of Jubilant Industries approved the allotment of 18 lakh equity shares at issue price of Rs 135. 95 per share and 13 lakh convertible warrants, at issue price of Rs 135. 95 each to the members of the promoter group of the company by way of preferential allotment on a private placement basis. • Manappuram Finance’s Resources and Management Committee approved the allotment of 42, 309 unlisted unrated secured redeemable non-convertible debentures having face value of Rs 1000 each for Rs 4, 23, 09, 000 on private placement basis. • Thomas Cook board approved amalgamation of its three arms with self. The board also gave a nod to the demerger of the inbound business of the company to SOTC Travel and demerger of company’s Human Resources Services Business to Quess Corp. • Gujarat Gas: January 16 has been fixed as the record date for determining the eligibility of shareholders, with regard to subdivision of company's equity shares.

Nifty 50 Daily Volatility Levels Symbol BANKNIFTY ADANIPORTS ASIANPAINT AXISBANK BAJAJ-AUTO BAJAJFINSV BAJFINANCE BHARTIARTL BPCL CIPLA COALINDIA DRREDDY EICHERMOT GAIL GRASIM HCLTECH HDFCBANK HEROMOTOCO HINDALCO HINDPETRO HINDUNILVR IBULHSGFIN ICICIBANK INDUSINDBK INFRATEL INFY IOC ITC JSWSTEEL KOTAKBANK LT M&M MARUTI NTPC ONGC POWERGRID RELIANCE SBIN SUNPHARMA TATAMOTORS TATASTEEL TCS TECHM TITAN ULTRACEMCO UPL VEDL WIPRO YESBANK ZEEL Futures Close O I Activity Trend 27358. 15 10986. 5 377. 2 Long Built-up Neutral 1403. 95 641. 65 2872. 6 6407. 35 2600. 8 Long Built-up Short Covering Neutral Long Built-up Short Covering Up Up Neutral Up Up 322. 85 361. 6 526. 7 251. 3 2622. 7 24038. 4 359. 2 857. 6 960. 7 1982. 9 2130. 85 Neutral Long Built-up Neutral Neutral Short Covering Short Built-up Neutral Up Neutral Neutral Down Up Neutral 3314. 15 228 236. 65 1851. 7 842. 15 Neutral Long Built-up Neutral Up Neutral Up 366. 45 1620 264. 15 667 138. 8 283. 65 311. 3 Neutral Short Built-up Long Built-up Short Built-up Neutral Short Covering Up Down Neutral Up Up 1230. 7 1437. 95 783. 1 7937. 25 149. 55 148. 7 199. 25 1138. 75 300. 75 424. 9 174 528. 6 Short Built-up Neutral Short Covering Long Built-up Neutral Long Built-up Long Unwinding Neutral Up Up Up Neutral Up Down Neutral 1973. 95 711. 9 932. 25 4099. 3 758. 25 207. 5 Long Unwinding Long Built-up Long Unwinding Short Covering Long Built-up Long Unwinding Neutral Up Up Neutral 340. 75 180. 25 466. 8 Long Built-up Up Neutral Highest Call OI Highest Put OI R 3 R 2 R 1 Mid Point S 1 26500 11000 380 1400 640 3000 6400 2600 350 360 530 260 2700 25000 370 900 1000 2140 3400 230 250 1900 840 370 1700 270 700 140 290 320 1300 1500 8000 150 200 1200 300 500 180 600 2000 720 940 4200 780 220 350 200 500 27000 10000 350 1300 600 3000 6000 2500 320 520 240 3000 22000 350 820 940 1900 2100 27808. 8 11161. 6 391. 0 27556. 7 11061. 0 383. 3 27386. 8 10993. 2 378. 2 27305. 5 10960. 8 375. 7 27224. 2 10928. 3 373. 2 27054. 3 26802. 3 10860. 5 10759. 9 368. 1 360. 4 1430. 9 653. 4 2950. 8 6568. 9 2680. 0 1406. 2 642. 6 2906. 2 6430. 4 2624. 6 1389. 6 635. 2 2876. 2 6337. 0 2587. 2 1381. 7 631. 7 2861. 8 6292. 4 2569. 4 1373. 7 628. 2 2847. 5 6247. 7 2551. 5 1357. 1 620. 9 2817. 4 6154. 3 2514. 1 336. 6 374. 8 543. 5 258. 6 2732. 8 24924. 9 369. 9 889. 8 1014. 4 2030. 6 2178. 6 328. 5 366. 2 534. 6 255. 2 2683. 1 24452. 9 363. 6 873. 2 993. 8 1999. 9 2157. 5 323. 1 360. 3 528. 7 252. 9 2649. 6 24134. 6 359. 3 862. 1 979. 9 1979. 3 2143. 3 320. 5 357. 5 525. 8 251. 8 2633. 6 23982. 4 357. 3 856. 7 973. 3 1969. 4 2136. 5 317. 8 354. 7 523. 0 250. 6 2617. 5 23830. 1 355. 3 851. 4 966. 7 1959. 5 2129. 6 312. 4 304. 3 348. 9 340. 2 517. 0 508. 2 248. 3 244. 9 2584. 0 2534. 3 23511. 9 23039. 9 351. 0 344. 7 840. 2 823. 6 952. 8 932. 2 1938. 9 1908. 3 2115. 4 2094. 3 3200 220 200 1800 700 3447. 6 236. 4 247. 6 1904. 1 878. 0 3379. 7 231. 8 241. 0 1877. 0 844. 1 3333. 9 228. 7 236. 5 1858. 7 821. 3 3312. 0 227. 2 234. 4 1849. 9 810. 4 3290. 0 225. 7 232. 3 1841. 2 799. 5 3244. 2 222. 6 227. 8 1822. 9 776. 7 3176. 3 218. 0 221. 2 1795. 8 742. 9 350 1500 240 620 120 260 300 375. 5 1687. 7 267. 3 696. 2 144. 4 288. 0 319. 4 370. 0 1660. 0 263. 6 684. 4 141. 2 284. 7 314. 2 366. 3 1641. 3 261. 2 676. 5 139. 1 282. 4 310. 6 364. 5 1632. 4 260. 0 672. 7 138. 1 281. 4 308. 9 362. 7 1623. 4 258. 8 668. 8 137. 1 280. 3 307. 2 359. 0 1604. 7 256. 3 660. 9 134. 9 278. 1 303. 7 353. 5 1577. 0 252. 6 649. 1 131. 7 274. 8 298. 4 1100 1400 7000 135 140 185 1000 280 400 150 500 1296. 4 1472. 3 806. 6 8136. 5 152. 8 153. 4 203. 9 1175. 2 306. 8 454. 2 182. 5 546. 3 1266. 3 1453. 6 792. 0 7999. 0 150. 7 150. 8 200. 9 1157. 2 302. 0 441. 9 178. 5 537. 5 1246. 1 1441. 1 782. 1 7906. 3 149. 4 149. 1 198. 9 1145. 0 298. 7 433. 6 175. 8 531. 5 1236. 4 1435. 1 777. 3 7862. 0 148. 7 148. 3 197. 9 1139. 2 297. 2 429. 6 174. 6 528. 7 1226. 7 1429. 0 772. 6 7817. 6 148. 1 147. 5 197. 0 1133. 4 295. 6 425. 7 173. 3 525. 8 1206. 4 1416. 5 762. 7 7724. 9 146. 7 145. 8 194. 9 1121. 2 292. 4 417. 4 170. 6 519. 8 1176. 3 1397. 8 748. 0 7587. 4 144. 7 143. 2 191. 9 1103. 2 287. 6 405. 0 166. 6 511. 0 1700 680 900 3600 700 2039. 1 736. 2 959. 9 4194. 3 782. 6 216. 7 2010. 8 724. 0 947. 0 4127. 5 767. 1 212. 6 1991. 8 715. 8 938. 3 4082. 4 756. 6 209. 9 1982. 7 711. 9 934. 1 4060. 8 751. 5 208. 6 1973. 5 707. 9 929. 9 4039. 3 746. 5 207. 2 1954. 5 699. 7 921. 2 3994. 2 736. 0 204. 5 1926. 2 687. 5 908. 3 3927. 3 720. 4 200. 4 310 160 440 349. 4 195. 2 488. 8 344. 0 187. 6 476. 8 340. 3 182. 5 468. 7 338. 5 180. 0 464. 9 336. 7 177. 5 461. 0 333. 0 172. 4 452. 9 327. 6 164. 8 441. 0 S 2 S 3 1332. 4 610. 0 2772. 9 6015. 8 2458. 7

DISCLOSURES Research Team Tel: 022 – 71148579 E-mail: research@inventuregrowth. com Website: Inventuregrowth. com This Report is published by Inventure Growth & Securities Limited (hereinafter referred to as “IGSL”) for private circulation. IGSL is a registered Research Analyst under SEBI (Research Analyst) Regulations, 2014 having Registration no. INH 000006129. IGSL is also a registered Stock Broker with National Stock Exchange of India Limited, BSE Limited and Metropolitan Stock Exchange of India Limited (MSE) in cash, F&O & currency derivatives segments. It is also registered as a Depository Participant with CDSL and is also registered with AMFI as a Mutual Fund Distributor IGSL have not been debarred / suspended by SEBI for Retail & Institutional business or any other regulatory authority for accessing / dealing in securities Market other than PRO business. IGSL, its associates or analyst or his relatives may or may not hold any financial interest in the subject company. IGSL or its associates or Analyst do not have any conflict or material conflict of interest at the time of publication of the research report with the subject company. IGSL or its Affiliates may or may not have been beneficial ownership of one percent or more of the securities mentioned in this report. However, one or more of IGSL or its Affiliates may, from time to time, have a long or short position in any of the securities mentioned herein and may buy or sell those securities or options thereon, either on their own account. IGSL or its associates / analyst has not received any compensation / managed or co-managed public offering of securities of the company covered by Analyst during the past twelve months. IGSL or its associates have not received any compensation or other benefits from the company covered by Analyst or third party in connection with the research report. Analyst has not served as an officer, director or employee of Subject Company and IGSL / analyst has not been engaged in market making activity of the subject company. Analyst Certification: I/We, Kunal Kame/ Yash Doshi/ Smeet Gala the research analyst Is the author of this report, hereby certify that the views expressed in this research report accurately reflects my/our personal views about the subject securities, issuers, products, sectors or industries. It is also certified that no part of the compensation of the analyst(s) was, is, or will be directly or indirectly related to the inclusion of specific recommendations or views in this research. The analyst(s) principally responsible for the preparation of this research report and has taken reasonable care to achieve and maintain independence and objectivity in making any recommendations. Research Team Profile Email ID Mr. Prashant Barwaliya Head- Research Prashant. b@inventuregrowth. com Mr. Yash Doshi Fundamental Analyst Yash. doshi@Inventuregrowth. com Mr. Smeet Gala Fundamental Analyst Smeet. Gala@Inventuregrowth. com Mr. Kunal Kame Technical Analyst Kunal. kame@Inventuregrowth. com Created by: IGSL - Research Inventure Growth & Securities Ltd, 201, Viraj Tower, Near Landmark Building, Western Express Highway, Andheri (East), Mumbai -400 093 Tele: 91 -22 -71148500 , Fax: 91 -22 -40751511. E-mail: Research@inventuregrowth. com , website : http: //www. inventuregrowth. com DISCLAIMER Inventure Growth and Securities Limited (hereinafter referred to as “IGSL”) is a registered Member of National Stock Exchange of India Limited, Bombay Stock Exchange Limited and Metropolitan Stock Exchange Limited. It is also registered as a Depository Participant with CDSL. It also has registration with AMFI as a Mutual Fund Distributor. Inventure Growth and Securities Limited is a registered entity with SEBI for Research Analyst in terms of SEBI (Research Analyst) Regulations, 2014 vide registration number INH 000006129. IGSL has not been debarred/ suspended by SEBI or any other regulatory authority for accessing /dealing in securities Market. IGSL or its associates/ analyst has not received any compensation / managed or co-managed public offering of securities of the company covered by Analyst during the past twelve months. This document is solely for the personal information of the recipient, and must not be singularly used as the basis of any investment decision. Nothing in this document should be construed as investment or financial advice. Each recipient of this document should make such investigations as they deem necessary to arrive at an independent evaluation of an investment in the securities of the companies referred to in this document (including the merits and risks involved), and should consult their own advisors to determine the merits and risks of such an investment. Reports based on technical and derivative analysis center on studying charts of a stock's price movement, outstanding positions and trading volume, as opposed to focusing on a company's fundamentals and, as such, may not match with a report on a company's fundamentals. Investors are advised to refer the Fundamental and Technical Research Reports available on our website to evaluate the contrary view, if any. The information in this document has been printed on the basis of publicly available information, internal data and other reliable sources believed to be true, but we do not represent that it is accurate or complete and it should not be relied on as such, as this document is for general guidance only. Inventure Growth and Securities Limited or any of its affiliates/ group companies shall not be in any way responsible for any loss or damage that may arise to any person from any inadvertent error in the information contained in this report. Inventure Growth and Securities Limited has not independently verified all the information contained within this document. Accordingly, we cannot testify, nor make any representation or warranty, express or implied, to the accuracy, contents or data contained within this document. While Inventure Growth and Securities Limited endeavors to update on a reasonable basis the information discussed in this material, there may be regulatory, compliance, or other reasons that prevent us from doing so. This document is being supplied to you solely for your information, and its contents, information or data may not be reproduced, redistributed or passed on, directly or indirectly. Neither Inventure Growth and Securities Limited , nor its directors, employees or affiliates shall be liable for any loss or damage that may arise from or in connection with the use of this information.