The Week Ahead @ 5 PM, Sunday, October 27th, 2024
Presented by Riddhi Siddhi Share Brokers
Key Global Insights: US Non-Farm Payrolls & GDP Figures in Focus
Riddhi Siddhi Share Brokers highlights that US GDP figures, including advance estimates for GDP growth, will be a major focus on Wednesday, October 30th. Additionally, the US non-farm payrolls data will be released on Friday, November 1st, marking the beginning of a new month. Last month, the US economy added 254,000 jobs in September 2024, outperforming expectations of 140,000. This was the strongest job growth in six months, exceeding the previous 12-month average of 203,000. With the US Fed’s anticipated 25-basis points rate cut in November, the upcoming non-farm payrolls data becomes crucial.
Domestic Market Update by Riddhi Siddhi Share Brokers
Indian markets will remain closed on Friday, November 1st, due to Laxmi Poojan celebrations, leading to a 4-day truncated trading week. Important releases to watch include auto sales figures and GST collections for October, scheduled for Friday.
Corporate Earnings: Riddhi Siddhi Share Brokers’ Key Watchlist
The Q2 earnings season is in its final phase. Companies reporting this week are:
- Monday, October 28th: ADANIPOWER, AJANTAPHARMA, AMBUJACEM, BHEL, FEDERALBNK, IGL, INDIANB, IOC, LICHSGFIN, NILKAMAL, PFIZER, PNJB, TVTODAY.
- Tuesday, October 29th: ADANIENT, CANBK, CIPLA, CONCOR, MARICO, MARUTI, SBICARD, VGUARD, VOLTAS.
- Wednesday, October 30th: BIOCON, DABUR, L&T, TATAPOWER.
- Thursday, October 31st: TATAINVEST.
Technical Insights by Riddhi Siddhi Share Brokers
A pattern of lower highs/lows has emerged on the daily charts, while the Nifty has ended in the red for the fourth consecutive week on the weekly charts. The critical support level to monitor is the 23,500 mark. Breaking below this could lead to further selling pressure, while strength above the 24,675 mark would suggest potential upside.
Nifty Outlook (CMP 24,181)
- Support Levels: 23,500 / 23,225
- Resistance Levels: 24,501 / 24,875
- Range: 23,666 – 24,455
- 200 DMA: 23,380
- Nifty PCR: 0.75
- Bias: Negative
Bank Nifty Outlook (CMP 50,787)
- Support Levels: 49,200 / 47,888
- Resistance Levels: 52,000 / 53,551
- Range: 49,555 – 51,897
- 200 DMA: 49,405
- Bias: Negative
Preferred Trade for the Week
- Nifty (CMP 24,181): Buy above 24,300 for targets at 24,501 / 24,771, with aggressive targets at 25,001. Stop loss at 23,655.
Sectoral Highlights from Riddhi Siddhi Share Brokers
- Bullish Sectors: None
- Bearish Sectors: FMCG, Metals, Pharma, Banks
Stocks in Focus by Riddhi Siddhi Share Brokers
- Bullish View: ITC, ICICIBANK, TCS, PIDILITE, OFSS, COFORGE
- Bearish View: INDUSINDBNK, RELIANCE, JINDALSTEL, HINDCOPPER, ADANIENT, TATACHEM, BAJFINANCE, SRF, CANBK
Stock Recommendation: Home First Finance Company (CMP 1,102)
- Target: 1,400
- Stop: 871
- 52 Week H/L: 1,383 / 777
- P/E: 30.35
- EPS (TTM): 36.38
- Promoter / DIIs / FIIs: 23.38% / 25.57% / 12.41%
- Book Value: 240
- Market Cap (INR): 9,968 Crore
Home First Finance Company India Ltd
This Mumbai-based affordable housing finance firm, founded in 2010, has a significant presence in emerging urban regions across India. Key highlights include robust digital adoption and a milestone of over ₹10,000 crores AUM. Recent quarterly results reflect strong growth in disbursements and profitability, reinforcing its potential in the affordable housing segment.
Technical Outlook
A massive breakout is anticipated as the stock is forming higher highs/lows across charts. Accumulation is advised at the current price, targeting 1,250 and 1,400 with a stop below 871. Suggested holding period: 12 months.
Disclaimer
Riddhi Siddhi Share Brokers’ clients may have positions in the stocks mentioned. Information shared is for educational purposes and does not constitute investment advice. Stock market investments are subject to risks, and returns mentioned are not guaranteed.