INDIAN STOCK MARKETS SEPTEMBER SERIES DAILY STUDY REPORT

US MARKETS: FRIDAY DOW UP 39 POINTS @ 21987 AND NASDAQ UP BY 6.60 POINTS @ 6435

EUROPE: DAX CLOSED IN POSITIVE WITH 87 POINTS @ 12143.

POLITICAL NEWS: AS PER REPORTS 9 NEW MINISTERS TO BE INDUCTED IN THE CABINIT. THE CABINET RESHUFFLE CAN BRING SOME CHEER TO MARKETS AND MAY STAY ABOVE 9920 FOR SOME TIME.

COMPANY SPECIFIC NEWS:

INFY PLANS TO APPOINT PRAVEEN RAO AS MD.

RELIANCE TO GIVE JIO-HANDSET BY NAV RATRI.

THE MACRO ECONOMIC NEWS:

NOTE BAN AND GST DISRUPTION ADDED FUEL TO THE SLOWING ECONOMY. THE AUTO SALES HAS SHOWN SOME SIGNS OF RELIEF AS THE ECONOMY IS BACK ON TRACK. THE PSU BANK CONSOLIDATION AND BAD DEBT RECOVERY PLANS MAY HOLD THE CREDIT FLOW TO CORPORATES.

NIFTY: BROAD RANGE SUPPORT AS PER THE RECENT SERIES OPENING MADE YESTERDAY WITH OPTIONS DATA @ : 9700 & 9500 WHILE RESISTANCE BETS ARE OPENED @ 10000 AND 11000

BANK NIFTY: SIMILARLY THE CALL WRITING HAPPENED AROUND 25000,25500 AND PUT WERE WRITTEN @ 23000 AND 23500

IMPORTANT DISCLAIMER:

TRADING IS HIGHLY RISKY AND TRADER ARE THE MOST TO LOOSE AND A CHALLENGING  JOB DUE TO POOR TIMING AND LIMITED CAPITAL.

SO ALWAYS CONSULT YOUR EXPERT ADVISOR AND MAKE YOUR STUDY.

POSSIBLE ACTION AS PER MY STUDY: CONSIDER FOR EDUCATION

MOST PEOPLE BET INDIA DESPITE HIGH P/E ..

India most expensive market on forward earnings multiple

Ashley Coutinho/Mumbai 02 Sep 17 | 02:02 AM

India is now the most expensive market in the world, as measured by its price-to-earnings multiple for the next one year.

Nifty 50 companies traded at a price-to-earnings (P/E) multiple of over 20 times based on calendar year 2017 dollar estimates, making India the most expensive market in the world, data collated from Bloomberg and a brokerage report showed. Benchmark Nifty and Sensex were the top performing indices year to date, behind only Mexico, with the Nifty 50 clocking a gain of 29.3 per cent.


In terms of earnings growth in constant currency terms, however, India was placed 16th when earnings for the Nifty 50 companies were taken into consideration, in comparison with markets such as Taiwan, Singapore, France, the Netherlands, Germany, South Korea and Mexico. Even if we consider the actual earnings growth in the last three years in constant currency, India is number 12 behind markets such as the US, Indonesia and Thailand.


Analysts said earnings growth would revive in the second half of FY18 and pick up steam in the first two quarters of FY19, as the ripples of demonetisation, goods and services tax (GST) and a spike in banks’ non-performing loans (NPL) fade. An increase in earnings would bring down the P/E multiple, assuming same levels for the indices, thereby making the markets less expensive. 


“Nifty earnings growth could rise to double digits from the September 2017 quarter, after stalling around 2 per cent CAGR for the past five years," said foreign brokerage CLSA in a recent note. “The macro environment seems favourable as the disruptive forces of demonetisation, GST and NPL recognition fade, creating a low base from which to launch healthy year-on-year earnings trends."


India

Despite the prediction of a revival in earnings growth, the same in the past few years has always been lower than initial estimates. It will be interesting to see if the trend going forward will be any different. The latest gross domestic product (GDP) growth, at a three-year low for the first quarter, has not been encouraging. Analyst attributed the weak GDP data to specific factors such as GST-related destocking, rupee appreciation, weaker agriculture activity and higher subsidy payout. 


According to Crisil, GDP cannot grow at a fast clip in an environment of subdued global growth and weak investments. “For fiscal 2018, we are in the process of revising down our GDP growth forecast from 7.4 per cent stated earlier. That said, normal monsoon, softer interest rates and inflation, and pent-up demand (demand that was postponed due to demonetisation) will support consumption growth in the remaining quarters. There will also be a mild push to consumption from budgetary announcements," said CRISIL in its research note on Thursday.


The CLSA report added: “A meaningful and sustained earnings recovery will need a capex-cycle revival, which would follow a resumption of growth in the housing segment. Best-in-two-decades affordability and the Modi administration’s push will help revitalise housing market activity, which will create more than two million jobs per year. With the government turning more favourable on rural policies, we have already seen a small revival in rural wage growth, which should help consumers, autos and housing, among others." 

http://smartinvestor.business-standard.com/market/Marketnews-481112-Marketnewsdet-India_most_expensive_market_on_forward_earnings_multiple.htm#.WasS74iGO00

GREAT POLICE MAN...

Meet Abhishek Patel, who ferried a bomb on his shoulder to save 400 kids

I acted on pure instinct, I had no time to think: Patel

Veer Arjun Singh Last Updated at September 2, 2017 12:13 IST

In a decade of service as a policeman, 32-year-old Abhishek Patel has held a blemish-free record. His actions were worthy but indistinguishable. 

As a head constable posted at the Surkhi police station, 200 km from Bhopal in Madhya Pradesh, he mans the First Response Vehicle that rushes to all “Dial 100” emergencies. But on the afternoon of August 25, Patel decided to defy orders. His act of valour against all sane advice is now getting him global recognition.

It was a usual day in the life of a policeman when Patel got a call from a school 8 km away. The caller had discovered some sort of ammunition that he was unable to identify. Patel was aware of an army cantonment in the vicinity and knew he had to rush.

Upon reaching the backyard of the school, he saw that the curiosity around the object had manifested into a live extravaganza. Patel stepped in to clear the crowd. His prompt action over the course of the next few minutes would save lives of hundreds.

The object was a live shell, a potential bomb without a ticker that could lay there for days or explode the next second. Patel cleared the crowd, made a call to the control room asking for a bomb squad while he evacuated the area. His training had taught him that the blast radius of the shell was half a km. That could ravage the school and much of the populated neighbourhood. But the answer from the control room left him stupefied.

Patel was told that the bomb dispatch could take anywhere between 30 minutes and an hour, and his orders were to evacuate as much of the area as possible. They were two policemen to tackle a bomb. At stake were the lives of 400 schoolchildren and hundreds of villagers. 

As the policemen started evacuating the school and the area around, Patel reckoned there was no time to take all the people to safety. Within the next few seconds, Patel was seen sprinting away from the inhabitance, ferrying the 10 kg bomb on his shoulder.

“I acted on pure instinct, I had no time to think,” he says. “The clock was ticking in my head and I couldn’t stop thinking ‘What if…’ I couldn’t leave it to fate.”

While his fellow policeman tried to guide more people to safety, Patel kept running towards the open fields on the other side for a good 15 minutes, till he reached a spot where the chances of people around being minuscule. The fear was overpowering. His training had also taught him that exposure to sunlight and motion could trigger the blast, but it never got the best of him. After surveying the area, Patel slowly placed the explosive on the ground. Breathless, he took control of his pounding heart, gathered his remaining energy and ran back to save himself.

“I was scared to death. But it was about risking one life as opposed to risking hundreds. I know I did the right thing,” he says.

Patel, who understands English but responds in Hindi in the most unostentatious manner, has been sought by international publications to relive his story of raw bravery. Acknowledging the sum of Rs 50,000 given to him by Madhya Pradesh Chief Minister Shivraj Chouhan, Patel says it’s a dream that doesn’t seem to end.

Asked about the reaction of his family, he says, “They are relieved — and proud.” The father of two remembers how his wife was hysterical when she met him later. 

“Didn’t the faces of your children flash in front of your eyes before you picked up that bomb?” she had asked him. To which Patel had replied, “It is when I looked at the faces of hundreds of children in the school that I decided to do it.”

First Published: Sat, September 02 2017. 12:13 IS

http://www.business-standard.com/article/current-affairs/meet-abhishek-patel-who-ferried-a-bomb-on-his-shoulder-to-save-400-kids-117090101385_1.html

01 SEP-17 DAILY POSSIBLE ACTION

INDIAN STOCK MARKETS : SEPTEMBER SERIES DAILY STUDY REPORT

US MARKETS: DOW UP 58 POINTS NASDAQ UP 60 POINTS

EUROPE: DAX CLOSED IN POSITIVE WITH 50 POINTS, BUT RECOVERED 0.7% OF THE FALL (-177) IN TWO DAYS

ASIAN MARKETS: MILDLY POSITIVE

SGX NIFTY CURRENTLY SUGGESTING: + 3 POINTS

MACRO ECONOMIC NEWS: Q-1 GDP IS @ 5.7% IS CONTINUOUSLY DECLING TO TOUCH 3 YEAR LOW

CORPORATE EARNING ARE OK BUT THEIR INVESTMENTS ARE NOT COMING DUE TO BAD DEBT ISSUES, IS LIMITING THE GROWTH EXPANSION

COMPANY SPECIFIC NEWS:

DR REEDY GOT FAVOURABLE NEWS

RANBAXY SINGH BROTHERS ISSUE EFFECT FORTIS, ALREADY LOST 5.44% YESTERDAY.

IMPORTANT DISCLAIMER: 

• STOCK TRADING LOOKS EASY AND REWARDING BUT ACTUALLY A HIGH-RISK VENTURE AND TRADERS ARE MOST TO LOSE, DEMANDS CALM MIND AND PSYCHOLOGICAL BALANCE. 
• IT IS A CHALLENGING JOB DUE TO PRECISION IN TIMING AND LIMITED CAPITAL AVAILABLE WITH RETAIL TRADERS.
• SO ALWAYS CONSULT YOUR EXPERT ADVISOR AND NEVER FORGET TO MAKE YOUR STUDY TO GET SUCCESS.
• NOT TO DISCOURAGE BUT REQUEST PARTICIPANTS TO DEDICATE REASONABLE TIME & ENERGY TO EMPOWER THOSE MOST REQUIRED QUALITIES TO MAKE HUGE WEALTH CREATION FROM MARKETS.

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POSSIBLE ACTION AS PER MY STUDY: CONSIDER FOR EDUCATION

NIFTY: SUPPORT: 9885 & 9856 and RESISTANCE:  9946 & 9972          

BANK NIFTY: SUPPORT: 24230 & 24185 and RESISTANCE: 24490& 24560                         

RELIANCE: SUPPORT:1576, 1572 and RESISTANCE: 1606-08         

AXIS BANK: SUPPORT: 494-92 and RESISTANCE:  506-08, crosses 516-18 in due course.          

YES BANK: SUPPORT: 1732-28 and RESISTANCE: 1758-62, 1773          

ICICI BANK: SUPPORT: and RESISTANCE:            

SBIN SUPPORT: and RESISTANCE:            

RELCAPITA SUPPORT: 801-03 and RESISTANCE: 816-21, stock is very strong may touch 860, may consider a buy from 782-78          

REL INFRA: SUPPORT: 491-89 and RESISTANCE: 516-18            

CENTURY TEX: SUPPORT: 1208-16 and RESISTANCE: 1248-52, likely to cross yearly highs soon, no shorting advisable.            

TATASTEEL: SUPPORT: 524-26  and RESISTANCE:  542-44          

VEDL: SUPPORT: 303 &301 and RESISTANCE: 314 huge investment plans.            

NIFTY AUGUST SERIES ACTION

INDIAN STOCK MARKETS = AUGUST MONTH STUDY REPORT

TODAY F&O AUGUST SERIES CLOSING DAY LAST ONE HOUR MADE A BIG DIFFERENCE FOR BULLS TO COVER THE LOST GROUND FROM A LOW 9857 TO 9925, A SERIOUS RISE OF 68 POINTS.

THE SERIES LOST 108 POINTS AND THE BANK NIFTY LOST 625 POINTS. MONTHLY AVERAGE OF NIFTY 9934 AND BANK NIFTY MONTHLY AVERAGE 24508. BANK-NIFTY LOST MORE THAN NIFTY.

THIS MONTH THE RESULTS SEASON INFLUENCED IN STOCK ACTION AND INFY BOARD AND PROMOTORS TUSSLE CAUGHT THE HEADLINES.

PSU BANKS TOOK A SERIOUS BEATING AT LARGE DESPITE OF THEIR OVERALL IMPROVED ASSET QUALITY, DUE TO WHICH PSU BANKS ARE SUFFERING FROM RBI’s LATEST DIRECTIONS ON BAD ASSETS THOSE ARE REFERRED TO NCLT.

JULY CLOSING TO AUGUST CLOSING:

PHARMA SECTOR LOST MORE THAN THE REST- DR REDDY (-22.3%), AJANTHA PHARMA (-15%), GLENMARK (-14.9%), SUN PHARMA (-16.0%), STAR (-16.0%), BIOCON (-15.5%), LUPIN (-11.1%), CADILA (-7.5%), APOLLO HOSPITALS (-16.5%)

PSU BANKS LOST MOST BANK OF BARODA (-15%) BANK OF INDIA (-7.25%) UNION BANK (-12.5%) CANARA (-3.75%), PNB (-6.5%) AND SBI (-7.25%).

THE RISE HAS BEEN VERY DECENT IN GEMS& JEWELLARY, METAL& MINING, OIL AND ENERGY SECTOR ESPECIALLY IN OMCs DEDPITE OF NIFTY FALL.

HIND PETRO (+33.3%), BPCL (+11.3%), IOC (+23.10%),  CHENNAI PETRO (15.5%), MRPL(+14.85%), PC JEWELLARIES (+44.5%), TITAN (+16.3%), CESC(+13.10%), CONCOR (+13.3%), VEDL (+10.3%), TATA STEEL (+10.3%), JSW STEEL (+18.1%),

TATA GLOBAL (+17.5%, RELCAPITAL (+21.75%), UJJIVAN (+10.5%), LT FINANCE (24.0%), GRASIM (+11.5%), PETRONET (+10.50%),