Opening Bell

September 12, 2022

Market Outlook Today’s Highlights

Indian markets are expected to open on a flat to positive Result: India CPI, Industrial Production,
note tracking Wall Street's Friday rally and a start in the Manufacturing Output, Japan PPI, UK
green for Nikkei. This is despite traders expecting another Industrial Profit
huge interest rate hike from the Fed next week.

Index Movement
Markets Yesterday 64000 19000
 Domestic markets ended marginally higher on the back of 61000 18000
gains in IT and auto stocks, which were partially offset by 58000 17000
losses in power stocks amid hawkish commentary from Fed 55000 16000
and ECB chief 52000 15000
 US markets ended higher tracking gains in technology 49000 14000
stocks amid the Fed Chair’s comments regarding fighting

10-Aug

13-Aug

16-Aug

19-Aug

22-Aug

25-Aug

28-Aug

31-Aug

3-Sep

6-Sep

9-Sep
inflation
BSE (LHS) NSE (RHS)
Key Developments
Close Previous Chg (%) MTD(%) YTD(%) P/E (1yrfwd)
 Direct tax collections surged over 35% YoY to | 6.48 lakh
Sensex 59,793 59,688 0.2 0.4 2.6 23.2
crore provisionally, the Ministry of Finance said in its Nifty 17,833 17,799 0.2 0.4 2.8 23.1
release on Friday. Direct Tax collection, net of refunds,
were at | 5.29 lakh crore, 30% higher than the net
collections for the corresponding period of last year Institutional Activity
 As per media sources, ONGC has signed six contracts for CY20 CY21 YTD CY22 Yesterday Last 5 Days
Discovered Small Fields (DSF) in the Offshore under DSF- FII (| cr) 64,379 -95,085 -2,64,110 2,132 3,995
III bid round, with three each for fields in the Arabian Sea DII (| cr) -28,544 95,934 2,35,374 -1,168 147
and Bay of Bengal. These include four contract areas as
sole bidder and two in partnership with IOCL. An World Indices – Monthly performance
investment of | 15000 crore is planned towards NSE BSE Nikkei Shanghai U.K.
development in the blocks. The company also signed two 17,833 59,793 28,215 3,262 7,351
contracts for Fields under Special CBM Bid round-2021 1.8% 1.6% 0.8% 0.5% -1.4%
blocks in Jharkhand and Madhya Pradesh. The total Germany Dow Jones France Kospi Nasdaq
investment commitment is to the tune of | 47 crore 13,088 32,152 6,212 2,384 12,112
-3.3% -3.6% -4.0% -4.8% -5.2%
 As per media reports, IOC aims to expand its electric
vehicle charging stations to 4,000 by FY23-end. The
company already has more than 2,500 EV charging
stations

Nifty
 Heat Map
1,127 Indusind 1,137 907 1,512 949
TechM Adani Ports Infosys HCL Tech
3.4% Bank 2.6% 2.5% 2.4% 1.9%
8,946 134 553 3,218 3,473
Maruti ONGC SBI TCS Eicher
1.8% 1.6% 1.6% 1.5% 1.4%
426 417 Apollo 4,460 3,603 446
Hindalco Wipro Divis Lab Tata Motors
1.3% 1.1% Hospitals 1.0% 1.0% 0.8%
785 742 238 2,589 901 Markets Today (Updated till Yesterday)
Axis Bank UPL Coal India HUL ICICI Bank
0.7% 0.6% 0.5% 0.4% 0.3%
Commodities Close Previous Chng (%) MTD(%) YTD(%)
687 1,058 Shree 24,506 331 1,499 Gold (|/10 gm) 50,673 50,356 0.6 -0.1 5.4
JSW Steel Cipla ITC HDFC Bank
0.2% 0.2% Cement 0.2% 0.2% 0.1% Silver (|/kg) 54,920 54,281 1.18 4.5 -12.4
3,849 167 106 1,926 Asian 3,442 Crude ($/barrel) 90.8 89.2 1.9 -5.9 16.8
Bajaj Auto NTPC Tata Steel Kotak Bank Copper ($/tonne) 7,919 7,699 2.9 0.9 -18.7
0.1% -0.1% -0.1% -0.2% Paints -0.2%
Currency
Tata 816 19,051 4,255 339 890 USD/INR 79.6 79.5 0.2 -0.2 -6.6
Nestle Dr Reddy BPCL Sun Pharma
Consum -0.3% -0.4% -0.4% -0.4% -0.5% EUR/USD 1.0 1.0 0.8 0.2 -11.4
USD/YEN 141.6 139.2 1.7 -1.9 -18.8
766 Reliance 2,569 3,650 2,838 223
Bharti Airtel Britannia Hero Moto Power Grid ADRs
-0.5% Ind. -0.6% -0.6% -0.7% -0.7% HDFC Bank 64.4 63.3 1.77 5.5 -1.0
2,432 2,603 Bajaj 17,206 Bajaj 7,181 1,748 ICICI Bank 23.0 22.4 2.77 5.3 16.2
HDFC Ltd Titan Grasim Ind
-0.7% -0.9% Finserv -1.0% Finance -1.1% -1.2% Tata Motors 27.9 28.4 -1.69 -3.9 -13.1
Infosys 18.5 18.4 0.54 1.3 -26.8
1,950 576 1,297 1,301 6,784 Dr Reddys Labs 53.4 53.4 -0.11 2.0 -18.4
L&T HDFC Life SBI Life M&M Ultratech
-1.2% -1.4% -1.5% -1.6% -2.0% Wipro 5.1 5.1 0.59 2.4 -47.4
 Opening Bell ICICI Direct Research

Key Data Points Exchange Cash Turnover (| crore)

Key Economic Indicator Period Latest Prior Values

62,800

59,030
58,141

57,838
100000

55,901
52,215
RBI Cash Reserve Ratio N/A 4.50% 4.00%
RBI Repo Rate N/A 5.40% 4.90%
50000

6,108
4,942

5,073

4,720

4,693
4,277
RBI Reverse Repo Rate N/A 3.35% 3.35%
CPI YY June 7.01% 7.04%
0
Current Account Balance Q4 -13.4bln $ -9.9bln $
2-Sep 5-Sep 6-Sep 7-Sep 8-Sep 9-Sep

Opening Bell
Exports - USD July 36.27bln$ 35.24bln$ BSE Cash NSE Cash
FX Reserves, USD Final July 573.875 bln$ 601.363 bln$
GDP Quarterly yy Q1 13.50% 4.10%
GDP Annual FY22 8.70% -7.30% NSE Derivative Turnover (| crore)
Imports - USD June 66.27 bln $ 63.58 bln $ 30000000

2,59,93,792
1,21,87,752

1,21,59,853
Industrial Output yy June 12.3% 19.6%

76,81,538
75,57,398

69,69,934
Manufacturing Output June 12.5% 20.6% 20000000
Trade Deficit Govt - USD July -30 bln $ -25.63 bln $
10000000
WPI Food yy July 9.4% 12.4%
WPI Fuel yy July 43.8% 40.4%
0
WPI Inflation yy July 13.9% 15.2% 2-Sep 5-Sep 6-Sep 7-Sep 8-Sep 9-Sep
WPI Manuf Inflation yy July 8.2% 9.2% NSE Derivative

Corporate Action Tracker Sectoral Performance –Monthly Returns (%)

Security name Action Ex Date Record Date Status Price (|)
Capital Goods 10.0
Bajaj Finserve Bonus Issue 13-Sep-22 14-Sep-22 1:1

ICICI Securities – Retail Equity Research

Power 8.0
Bajaj Finserve Stock Split 13-Sep-22 14-Sep-22 1:5 Real Estate 7.3
D B Corp Dividend 12-Sep-22 13-Sep-22 3.00 BSE Small Cap 6.7
Consumer Durables 6.2
Glenmark Pharma Dividend 12-Sep-22 13-Sep-22 2.50 PSU 6.1
BSE Midcap 5.6
Banks 5.6
Oil & Gas 3.6
Metals 2.9
FMCG 2.2
Auto 2.1
Healthcare -0.4
IT -3.6
-10.0 -5.0 0.0 5.0 10.0 15.0
(%)

Key News for Today

Company/I News View Impact
ndustry
PVR/Inox The recently released movie Brahmastra The collection is likely to boost the multiplex
recorded weekend collection of | 125 crore, chain PVR and Inox , which are likely to have
which is all-time highest for any Hindi film recorded net box office collection of | 30
for the first three days crore and | 20 crore , respectively, during
the weekend. While Q2 was expected to be a
washout will losses given poor content
performance, sustainable collection can save

the day for multiplexes to break even driven
by box office, F&B and ad recovery

ICICI Securities | Retail Research

 Opening Bell
Reliance A subsidiary of Reliance Industries has
Industries executed definitive agreements to buy the
(RIL) polyester business of Shubhalakshmi
Polyesters (SPL) and Shubhlaxmi Polytex
(SPTex) for | 1,522 crore and | 70 crore,
respectively, in a slump sale on a going
concern basis
Trent As per media reports, Trent has put in
place an aggressive expansion plan
including an accelerated store expansion
programme across Westside, Zudio, and
Star Markets and enhanced presence in the
online space
ICICI Securities | Retail Research
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SPL has a continuous polymerisation
capacity of ~2,52,000 MT/Annum and
manufactures polyester fibre, yarns and
textile grade chips through direct
polymerisation route as well as extruder
spinning with value addition through
texturising. The manufacturing facilities are
located at Dahej (Gujarat) and Silvassa
(Dadra & Nagar Haveli). Further SPTex has a
texturised yarn manufacturing facility at
Dahej. The cumulative transaction values the

companies at 0.8x market capitalisation to
sales ratio. The manmade textile industry
has been on the focus list of the Government
of India with the launch of initiatives like the
production linked incentive scheme (PLI) for
enhancing India’s share in global exports.
The acquisitions by RIL are part of the
company’s strategy to expand its
downstream polyester business, which
would enable it to cater to the growing
demand of polyester and polyester based
products
During the pandemic, Trent focused on
expanding its retail footprint and opened
125+ stores across all its formats in FY22.
Further, the company is expected to
maintain its aggressive store addition across
store formats. The benefits of the enhanced
retail presence is expected to be visible in

the ensuing quarters as the demand scenario
has normalised with improved consumer
sentiment and higher customer footfalls and
increased bill values. In the online space, it
has also increased Westside’s presence
through Westside.com and TataNeu, in
addition to presence on TataCliq. On the Star
Bazaar front, the company has resorted to
aggressive pricing strategy to enhance
revenues. We believe the initiatives taken by
the company would enable it to maintain the
revenue growth momentum and garner
higher consumer wallet share over medium
to longer term
 Opening Bell
Steel As per media sources , the Railway Ministry
sector has floated a | 1000-crore tender for the
manufacture of forged wheels in the
country . India requires around 2 lakh
forged wheels annually and the bidders
who participate in the tender will be given
offtake assurances. This is the first time that
the Indian Railways has floated a tender to
invite private players to build a wheel plant
and make wheels for high speed trains. The
next step is to invite bids for setting up a
plant to manufacture high speed railway
tracks also. The tender for manufacture of
high speed rails will also be floated in a few
weeks and only domestic steel companies
and railway wheel factories will be allowed
to participate in this current tender. Around
80,000 forged wheels will need to be
manufactured annually under the floated
tender
Teamlease As per Financial Express, Teamlease is
aiming at | 130 crore revenue from its
edtech business in FY23. The media report
also says the company is also looking at an
IPO of this business in the next few years
BFSI Bank credit grew 15.5% YoY to | 124.57
lakh crore and deposits by 9.5% YoY to |
169.94 lakh crore in the fortnight ended
August 26, 2022. Last year during same
period bank credit grew 6.7% YoY and
deposits growth was same at 9.5% YoY. In
the fortnight ended August 12, 2022, bank
credit grew 15.3% (YoY) to | 124.31 lakh
crore and deposits by 8.8% (YoY) to |
169.49 lakh crore
ICICI Securities | Retail Research
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Among domestic steel companies, SAIL has
a capacity to produce more than 70,000
forged wheels per year. Rashtriya Ispat
Nigam (RINL), another PSU, has a plant with
a production capacity of one lakh pieces of
forged wheels annually. In May this year,
Jindal Steel and Power (JSPL) said it will be
setting up India’s first private sector Rail
Wheelset manufacturing plant at its Raigarh
facility in Chhattisgarh. A company
statement had said that JSPL has
collaborated with GIFLO Steel - Hungary for
this project. With regard to this tender, the
successful bidder will have to set up the rail
wheel manufacturing plant. It is estimated
that | 1000 crore investment is needed for
the project. The wheels manufactured under
this tender will also be export oriented with a
focus on European markets. This is a good
opportunity for steel companies
The company’s other HR services have two
businesses i) Edtech ii) compliance platform.
In Edtech business, TL, Edtech collaborates
with leading universities and corporations. It
assists universities in launching, running,
and managing their own online programmes,
helps in improving the employability of their
students through apprenticeship-linked
skilling programmes while in case of
corporations, it helps in upskilling and
reskilling their workforce to improve
productivity and build a talent supply chain.
This segment clocked | 111 crore revenue in
FY22 out of which | 70 crore came in from

Edtech business while rest from compliance.
As per media reports, the company is
looking for | 130 crore revenue from Edtech
business ( 85% growth) to be driven by
more partnerships with universities and
corporates. As per media reports, it is a
profitable business with net margin of
around 10-15%. If the company is able to
achieve these numbers, we believe its EPS
could likely increase by 3-6% in FY23E
Overall bank credit growth continued to be
driven by the retail segment. Credit growth
in the industry segment has also seen an
uptick. Continued growth in credit remains
positive for the sector. A pick-up in corporate

credit demand is expected to sustain healthy
business traction, going ahead
 Opening Bell
HG Infra HG Infra Engineering's wholly owned
Engineerin subsidiary HG Ateli Narnaul Highway Pvt
g Ltd has received the completion certificate
for the project construction of Narnaul
Bypass & Ateli Mandi to Narnaul Section on
NH11 as an economic corridor in Haryana
on HAM mode
Sunteck Sunteck Realty has acquired a land parcel
Realty of ~7.25 acres at Beverly Park, Mira Road
under the JDA model. The company plans
to develop luxurious residences that will
offer unparalleled lifestyle living with
premium retail. The project is estimated to
have development potential of ~2.5mn sqft
built up area and a revenue potential of ~ |
3,000 crore
Lupin Lupin has launched Sodium Sulfate,
Potassium Sulfate and Magnesium Sulfate
Oral Solution, 17.5 g/3.13 g/1.6 g per 6
ounces, a generic equivalent of Suprep
Bowel Prep Kit oral solution of Braintree
Lab. Suprep Bowel Prep Kit had estimated
annual sales of US$202 million in the US
(IQVIA MAT July 2022)
Tata On the world EV day, Tata Motors has
Motors reiterated its commitment towards driving
electrification in the PV segment
domestically wherein it intends to introduce
10 EV models over a five year period.
Taking a further step ahead, it announced
the new offering as Tiago EV in the
compact car segment with launch expected
in due course of time
ICICI Securities | Retail Research
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The project has been completed 255 days
ahead of the schedule completion date and

is eligible for bonus. HG Infra has once again
showcased its order execution capabilities
by completing the project ahead of the
scheduled time. The calculated bonus
amount would be ~| 43 crore
Sunteck Realty has done multiple
acquisitions to the tune of 25.5 mn sqft i.e.
Borivali West, Vasai West, Shahad-Kalyan,
Vasind, Pen-Khopoli and now Beverly Park,
Mira Road, in the last two to three years. This
takes the total development portfolio to 52.5
mn sq ft across 20 projects. The project has

further strengthened Sunteck’s presence in
the MMR market. However, we would await
execution and sales volume traction, which
has lagged
Post the clearance of Somerset facility by
USFDA with VAI status, Suprep launch by
Lupin is on expected lines. Lupin has a few
complex generics products like, gAlbuterol,
gBrovana, gSpiriva and gSuprep, of which
Spiriva is expected to be launched over the
remainder of FY23. Amid efforts of
restructuring US business, we remain
guarded on margins recovery from the US.
More timely new launches in US can help
US growth trajectory, which is likely to de-
grow at ~5.5% CAGR over FY22-24E
Tata Motors is leading the EV charge
domestically in the PV segment with ~88%
market share with currently two nameplate
offerings i.e. Nexon (Compact SUV) and
Tigor (Compact Sedan). With Tiago EV it
aims to further augment its presence and is
expected to be a more affordable offering
aimed at wider consumer audience with
price expectation of ~|10 lakh/unit (ex-
showroom)
 Opening Bell ICICI Direct Research

Maruti Toyota Kirloskar Motor has announced
Suzuki price of its recent offering in the mid-size
SUV segment i.e. Urban Cruiser Hyryder at
|15.1-19 lakh/unit (ex-showroom) for the
top 4 variants, which includes the strong
hybrid models as well as automatic
transmission
Urban Cruiser Hyryder is rebadged as Grand
Vitara for Maruti Suzuki India (MSIL) and will
be the first offering wherein it will be
manufactured by Toyota and sold by both
the companies under the cross-badging
route vs. the earlier offerings (Baleno,
Brezza) being manufactured by Maruti and
sold by both the companies. We expect
MSIL to announce its pricing of Grand Vitara
by the end of month, ahead of festive season
and expect it to be at a marginal mark-up to
Toyota’s price


OMCs As per media reports, OMCs are unlikely to OMCs need more time to recover their
cut retail prices of petrol and diesel despite losses as they did not pass on the higher oil
a sharp correction in crude oil prices prices to the customers

Power India will need additional coal-based
Sector capacity of upto 28 GW by FY32 besides
the 25 GW already under construction, the
draft national electricity plan said. However,
the capacity addition is expected to be at
the existing project sites as brownfield
expansion, preferably closer to the mines
Additions ordering of 28 Gw will create
ordering opportunities for EPC players like
Bhel and L&T. Out of the 28 GW of
opportunity atleast 6-8 GW will come from
NTPC ( brownfield expansions). It will
provide some relief to Bhel as 80% of the
business comes from power equipment
division and the same was lacklustre on

account of almost nil coal based capacity
addition over five years

Key developments (Continued…)

 Mahindra Logistics has incorporated a wholly owned subsidiary (V-Link Freight Services) in India to undertake
freight forwarding, SCM, Charter and related businesses
 INS Taragiri, the third stealth frigate of Mazagon Dock Shipbuilders (MDL) under project 17A, was launched on
September 11 by the company in Mumbai. Project 17A consist of seven frigates, of which MDL is building four
and Garden Reach Shipbuilders (GRSE) is building three. The keel of INS Taragiri was laid on September 10,
2020 and the ship is expected to be delivered to Indian Navy by August 2025. This ship has been built using an
integrated construction methodology which involves hull block construction in different geographical locations
and integration/erection on Slipway at MDL
 As per media articles, Ashok Leyland has signed an MoU with UK based Libertine Technology to evaluate use
of Libertine platform (software-defined engine with multi-fuel capability) for its commercial vehicle powertrains
 As per IQVIA data, Domestic Pharma market grew at 10% and 7% YoY for Month and MAT level in August
2022 respectively. Leading Therapy-wise YoY growth for August 2022 - Gynaecology:14%, Gastro:14% and
Pain:12%. Notable company-wise YoY growth for August 2022 were – P&G Health:20%, Torrent:15% and
Sun:14%. Acute therapy has grown by 8% while chronic grew by 12%
 In an exchange filing, Granules has denied the speculative news regarding the sale of a promoter stake. Earlier
media outlets reported that PI Industries is in talks with Granules India to buyout a promoter stake
 Zydus Lifesciences has acquired rights to market MonoFerric (iron isomaltoside) injections in India and Nepal
from Denmark based Pharmacosmos. The drug is developed to reduce the number of infusions required to
achieve iron correction with an excellent safety profile. Zydus is amongst the top players in the Nephrology
segment with a super-specialty portfolio with brands like Oxemia, Zyrop, Renocrit, Kbind, Grafalon, Tacromus
and Mycomune
 According to CNBC, BS Ajai Kumar of Healthcare Global has informed that, international revenues in Bangalore
has increased from 15% to 20% while overall occupancy will steadily move above 70%. ARPOB for HCG from
tier 1 cities at | 60,000 while from tier 2 cities at | 30,000. Management has guided the blended ARPOB to be
around | 45,000 - | 50,000 by FY24
 According to media sources, Serum is working on the rBCG vaccine, an adult TB vaccine. The Phase 3 clinical
trials on adults are on. SII has also sought approval for recombinant BCG vaccine for children up to six years

ICICI Securities | Retail Research

 Opening Bell ICICI Direct Research

 There were market rumours during market hours on Friday that PI industries is in talks to acquire promoter
stake of Granules India Limited. Management of PI industries clarified that this news is baseless and
speculative. They deny the same
 Ministry of Defence (MoD) has clarified that the emergency financial powers allocated to the armed forces for
quick contracting of weapon systems won’t be used for imports. The bar on imports under the emergency
route has been imposed after several rounds of internal discussions where it was agreed that capacity exists in
the domestic sector to deliver on urgent requirements of the armed forces. With this development, significant
opportunity has opened up for domestic companies for a variety of weapons including swarm drones, long-
range rockets, next generation mines, armed unmanned aerial vehicles and artificial intelligence-enabled
systems
 According to The Economic Times, The Tata Group has made an offer for a stake in India’s largest packaged
water company, Ramesh Chauhan-owned Bisleri International. Bisleri is one of the largest FMCG brand in India
& it has more than 150 manufacturing plants and a network of over 4,000 distributors with 5,000 trucks across
India
 According to Business Standard, Reliance Petroleum Retail acquired the polyester business of Shubhalakshmi
Polyesters (SPL) and Shubhlaxmi Polytex (SPTex) for | 1,522 crore and | 70 crore, respectively, in cash. The
acquisitions are subject to approval by the CCI and the respective lenders of SPL and SPTex. SPL has a
continuous polymerisation capacity of around 2,52,000 TPA. It has 2 manufacturing facilities located in Dahej
and Silvassa. SPTex has a texturised yarn manufacturing facility in Dahej
 Outstanding dues of electricity distribution companies (discoms) towards gecos, which remains over | 1 lakh
crore at any point of time, will be eliminated in the next four years, Union power minister R K Singh said. The
government has converted the total outstanding dues of discoms toward gencos (power generator companies)
into Equated Monthly Installments (EMIs). These EMIs have maximum tenure of four years and thus the total
outstanding dues of discoms would be nil by 2026
 As per Business Standard, Russia, in a bid to counter the growing clamour among the G7 nations to enforce a
price cap on its oil, is willing to provide petroleum at even lower rates than before to India. Iraq undercut Russia
beginning in late June, by supplying a range of crudes that on average cost $9 a barrel less than Russian oil.
These substantial discounts by Russia will be steeper than those offered by Iraq in the past two months
 As per media reports, Russian traders have started asking for payments in Ruble for their exports to India in a
move that could derail trade between the two countries. This is because Indian importers are unable to pay in
Ruble for their imports
 According to business standard, ARCIL & Cerberus Capital, which was planning to challenge JC Flower’s Rs
11,183 crore bid for YES Bank NPA portfolio under Swiss Challenge method, has decided not to submit bids
(Rs 48000 crore NPAs). In July, YES Bank signed a binding term sheet with JCF ARC LLC and JC Flowers ARC
for a strategic partnership for the sale of identified stressed loans of the bank
 Yes Bank is hoping to receive approval from RBI in next two months for its proposed stake sale to infuse ₹8,898
crore. On 29 July, the bank said its board approved the fundraising by selling shares and warrants to private
equity investors Carlyle Group and Advent International. These investments would give Carlyle and Advent
~10% each in the bank once the warrants are converted into shares
 According to The Economic Times, small finance banks (SFBs) are seeking approval from the RBI to enter on-
lending. SFBs have written to the RBI to permit them to operate with bigger banks and NBFCs, as they have the
products and reach but are at a disadvantage when it comes to resources
 Suitors for Reliance Capital Limited (RCL) have sought extension of up to four months for submission of
binding bids as part of its resolution process. Advent has sought extension by 16 weeks, while Piramal Finance
has sought additional time of 12 weeks, that is till December, 2022. As per the current timeline, the last date for
submission of binding bids, along with Earnest Money Deposit (EMD) of | 75 crore, is September 29, 2022
 ITC is exploring “all options” and discussing “alternate” structures for the demerger plan of its hotel business.
ITC Hotels has plans of launching more than 20 hotels in the next two years, he said. The group currently has
about 115 properties with a total of over 11,000 keys across brands in India. The chain’s new openings include
hotels in Colombo, Corbett, Sirmaur, Udaipur, Raipur, Solan, Kufri, Tirupur, Goa, and Jaipur as more properties
get signed in at Dehradun, Ooty and Jabalpur among others

ICICI Securities | Retail Research

 Opening Bell ICICI Direct Research
Nifty Daily Chart Technical Outlook
Equity benchmarks regained upward
momentum after two weeks breather and
settled the week at 17833, up 1.7%. In the
coming session, index is likely to open on a
positive note amid firm global cues. We
expect the index to trade with positive bias
while maintaining higher low formation.
Hence, use intraday dip towards 17785-17815
for creating long position for the target of
17898

Going forward, we expect the Nifty to head

towards 18300 in September 2022 as it is the
swing high of January 2022 and eventually
retest life highs of 18600 in couple of months.
Thus, any dip from hereon owing to global
volatility should be used as an incremental
buying opportunity as we do not expect index
to breach key support of 17200 in the near
term. The Relative ratio of Nifty500 index
against S&P 500 has given a breakout from
decade long consolidation, indicating
outperformance of Indian equities against
S&P500. On relative terms, ratio chart of Nifty
Midcap against Nifty has surpassed
November 2021 highs while Nifty Smallcap
ratio chart has given breakout from falling
channel and expected to catch up.

Q
Pivot Points CNX Nifty Technical Picture
Index/Stocks Trend Close S1 S2 R1 R2 Intraday Short term
S&P BSE SENSEX INDEX Positive 59788.4 59576 59363 60062 60333 Trend Up Up
NIFTY 50 Positive 17833.4 17770 17708 17910 17988 Support 17770-17710 17200
AARTI INDUS LTD Positive 859.8 852 845 864 869 Resistance 17890-17950 18300
ASIAN PAINTS LTD Neutral 3441.9 3422 3403 3473 3503 20 day EMA 17460
DIVI LABS LTD Positive 3603.0 3576 3549 3625 3647 200 day EMA 16742
STATE BANK IND Positive 553.4 549 544 558 562 Advances/Declines
DR REDDY'S LABS Neutral 4255.1 4229 4201 4302 4347 Advances Declines Unchanged
IPCA LABS LTD Positive 872.2 861 850 892 912 BSE 1658 1798 116
TATA MOTORS LTD Neutral 445.9 440 436 449 454 NSE 652 1551 76
INDUSIND BANK Positive 1137.2 1118 1101 1151 1167
BATA INDIA LTD Negative 1899.2 1881 1863 1929 1957 Daily Technical Calls
Daily Technical Calls
TATA CONSULTANCY Positive 3217.7 3181 3142 3246 3272
1. Buy Larsen&Toubro Infotech in the range 4670.00-4674.0
GRANULES INDIA Positive 309.7 303 296 322 334
BHARAT PETROL Positive 338.5 336 334 342 345 2. Buy IndusInd Bank in the range of 1136.00-1138.00
INDIAN RAILWAY C Neutral 711.8 707 703 718 725 All recommendations of September Future
RELIANCE INDS Neutral 2569.3 2552 2535 2598 2627 See Momentum Pick for more details
AU SMALL
Nifty Call –FINANCE Positive
Put Strike (Number of shares in652.6 644 2022 637
lakh) – September, 664 676 Intraday Derivative Strategy
CESC LTD Neutral 83.3 82 81 83 85
i) L&T Technology Services (CMP: 3769.25)
17500 85 7
Buy LTTEC September Fut at | 3766.25-3772.25
17600 74 10
17700 82 23 Target 1: 3814.3 Target 2: 3881.8
17800 76 73 Stop Loss: 3724.3
17900 70 125
18000 20 139 ii) Dr. Lal Path Labs . (CMP: 2374.2)
18100 3 74
Sell DRLAL September Fut at | 2371.2-2377.2
18200 2 81
18300 0 72
Target 1: 2338.2 Target 2: 2284.2
Stop Loss: 2410.2
100.0 50.0 0.0 50.0 100.0 150.0 200.0
Put Call See Derivatives view for more details

See Daily Derivatives for more details

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Results/Events Calendar

22 August 23 August 24 August 25 August 26 August 27 August

Monday Tuesday Wednesday Thursday Friday Saturday
JP Manufacturing PMI EU Manufacturing PMI US Pending Home Sales US GDP EU M3 Money Supply YoY 0
0 EU Service PMI 0 JP Tokyo CPI CH Industrial Profit 0
0 US Manufacturing PMI 0 0 0 0
0 US Services PMI 0 0 0 0
0 0 0 0 0 0

29 August 30 August 31 August 01 September 02 September 03 September

Monday Tuesday Wednesday Thursday Friday Saturday
P&G Healthcare UK M4 Money Supply EU CPI,CH Caixin Manufacturing PMI IN Nikkei S&P Global Manufacturing PMI EU PPI 0
0 EU Consumer Confidence IN Federal Fiscal Deficit EU Manufacturing PMI US Unemployment Rate 0
0 US Jolts Job Opening IN GDP Quarterly UK Manufacturing PMI 0 0
0 CH Manufacturing PMI IN Infrastructure Output 0 0 0
0 CH Composite PMI JP Manufacturing PMI 0 0 0

05 September 06 September 07 September 08 September 09 September 10 September

Monday Tuesday Wednesday Thursday Friday Saturday
IN Nikkei Service PMI UK Construction PMI EU GDP QoQ EU ECB Int Rate Decision US Wholesale Trade Sales 0
EU Service PMI US Service PMI US Trade Balance CH CPI YoY 0 0
UK Composite PMI CH Trade Balance JP GDP QoQ CH PPI YoY 0 0
UK Service PMI CH Imports 0 JP M3 Money Supply 0 0
0 CH Exports 0 0 0 0

12 September 13 September 14 September 15 September 16 September 17 September

Monday Tuesday Wednesday Thursday Friday Saturday
UK Industrial Profit US Core CPI JP Industrial Profit,IN WPI Fuel EU Trade Balance UK Retail Sales 0
IN CPI, JP PPI US CPI UK Core CPI,IN WPI Inflation UK BoE Int Rate Decision EU CPI 0
IN cum. Industrial Production US Federal Budget Balance UK PPI, IN WPI Manf Inflation US Core retail sales EU Core CPI 0
IN Industrial Production 0 UK CPI, US PPI, US Core PPI US Industrial Production 0 0
IN Manufacturing Output 0 IN WPI Food, EU Industrial Profit CH Industrial Profits YoY 0 0

19 September 20 September 21 September 22 September 23 September 24 September

Monday Tuesday Wednesday Thursday Friday Saturday
JP National Core CPI EU Current Account US Int Rate Decision US Current Account EU Manufacturing PMI 0
0 0 US Existing Home Sales EU Consumer Confidence EU Service PMI 0
0 0 0 0 US Service PMI 0
0 0 0 0 US Manufacturing PMI 0
0 0 0 0 0 0

Major Economic Events this Week Bulk Deals

Date Event Country Period Actual Expected NCompany Client Name Type
No. of Price
05-Sep Nikkei Service PMI IN Sep 57.2 55.0 shares (|)
05-Sep Service PMI EU Sep 49.8 50.2 BSE
05-Sep Composite PMI UK Sep 49.5 50.9 GOENKA BUSINESS AND
MEGASTAR SELL 1,00,000 196.8
05-Sep Service PMI UK Sep 50.9 52.5 FINANCE LIMITED
06-Sep Service PMI US Sep 43.7 44.3
07-Sep GDP EU Sep 4.10% 3.90%
07-Sep API Weekly Crude Oil US Sep 3.645M -0.733M
07-Sep Trade Balance US Sep -70.70B -70.30B
07-Sep GDP JP Sep 3.50% 2.90%
08-Sep Initial Jobless Claoms US Sep 222K 240K
08-Sep Crude Oil Inventories US Sep 8.844M -0.250M
Date Event Country Period Expected Previous
09-Sep FX Reserves, USD IN Sep - 561.05B
Recent Releases
Date Report
September 09, 2022 Company Update- Eicher Motors
September 09, 2022 Company Update- Coal India
September 09, 2022 Company Update- Apollo Tyres
September 09, 2022 Sector Update- Consumer Discretionary Sector
September 08, 2022 Sector Update- Hotel Sector

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Pankaj Pandey Head – Research

pankaj.pandey@icicisecurities.com

ICICI Direct Research Desk,

ICICI Securities Limited,
1st Floor, Akruti Trade Centre,
Road No 7, MIDC
Andheri (East)
Mumbai – 400 093
research@icicidirect.com

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Disclaimer
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