SGX Nifty / Nifty Trend / Nifty Prediction / Stock Market Tips For 18th June 2015
SGX Nifty / Nifty Trend Today was positive. Nifty spot opened at 8085 then went higher up to 8136 and then staged a pullback towards 8061 and finally closed at 8089 (Nifty 50 Spot Levels Mentioned) . As per our analysis SGX Nifty / Nifty Trend / Nifty Prediction Trend remains down but selling should be done only at higher levels we don’t recommend selling fresh at lower levels and on pullback towards 8191-8250 spot selling should be done for targets of 7750-7850. (After 8152 is crossed down move can begin anytime with speed taking Nifty to 7800-7850 may be even 7750. It is not necessary for Nifty to touch 8250 or 8191 Nifty Spot levels. Once 8152 Nifty spot level is crossed Nifty would have completed minimum criteria and it can begin fast fall anytime. Extreme caution is advised. Our view is the same on pullback Exit Stock Market Delivery Long positions and derivative long positions. Today FOMC meet will take place in the US (17th June 2015) evening. We do not expect rate hike right away however we do feel the commentary for rate hikes will start and rate hikes in the US will be done by FED post Sept-Oct 2015. We maintain our overall target for Nifty at 7211 by Aug 1st week (If certain conditions are fulfilled then it could come by 15th July 2015 also). Overall we do not expect any major pullback before 7899 is taken out. Only once 7899 is broken can we expect any meaningful bounce in the Stock Markets / Nifty Futures / Nifty 50
SGX Nifty / Nifty 50 Components
Tata Steel was out performing Nifty 50 today and was up almost 3 percent after steel ministry on the request by Steel manufactures, on Wednesday hiked import duty on long steel products from 5.5 percent to 7.5 percent and that of flat steel product from 7.5 percent to 10 percent. The import duty on stainless steel products remained unchanged. Cipla,Reliance Industries, Bosh , Lupin also were among the out performers today. On the loosing side Vedanta, Tata Power, BHEL were under performing the Nifty 50 today. In medium term we see Banking Stocks leading the rally towards 7211. Bank Nifty may fall 15 percent over next six weeks till Aug 1st week. Extreme caution is advised.
USDINR Trend / USDINR Prediction For 18th June 2015
USDINR Trend is up. Overall we expect USDINR to touch 72 within this financial year. Importers must be hedged and must not have open trade positions over night. Overall we expect USDINR to touch 66+ by Aug 1st week.
Sugar Sector Update
We maintain our Buy / Accumulate in Sugar Sector. Our Top picks in the Sector remain Bajaj Hindustan, Renuka Sugar and EID Parry. We have been advising accumulating these stocks as on 10th July 2015 a major down cycle ends in sugar stocks and a major bull cycle will begin taking these stocks to 5 X returns minimum till 2019. We do not see such a powerful investment opportunity in Indian Stock Markets for now at least. Once again we Reiterate Accumulate on all dips.
For customized broking solutions, advisory services, Nifty Options / Nifty Futures trading calls feel free to call me on 9222294707.
Good Trading To You!