The requirement to maintain structured digital database under Regulation 3(5) of Insider trading Regulations, containing the names of such persons or entities with whom UPSI is shared, is applicable to listed companies, and intermediaries and fiduciaries who handle UPSI of a listed company in the course of business operations
Are PIT Regulations applicable on transmission of shares?
Yes, PIT Regulations are applicable on transmission of shares. However, they are exempted
from provisions of trading window closure, pre-clearance and contra trade, but the norms
relating to disclosure requirements shall be applicable on transmission of Shares.
Whether trading on the basis of UPSI is prohibited even for persons not falling under the definition of ‘Designated Persons’ under the PIT Regulations?
Regulation 2(1) (g) of SEBI (PIT) Regulations, 2015 defines ‘insider’ as any person who is:
i) a connected person; or
ii) in possession of or having access to unpublished price sensitive information.
Therefore, even if a person is not classified as a designated person, having access to UPSI
would make such a person an ‘insider’. As per Regulation 4(1) of SEBI (PIT) Regulations,
2015, an insider is prohibited to trade while in possession of UPSI.
Whether trading only in equity shares is in violation of PIT Regulations while in possession of UPSI or it also includes trading in other form of securities?
Trading in securities while in possession of UPSI is prohibited as per the regulations. For the
applicability of SEBI (PIT) Regulations, securities shall have the same meaning assigned to it
under the Securities Contracts (Regulation) Act, 1956, which inter-alia covers shares, scrips,
stocks, bonds, debentures, derivative, etc. except units of mutual funds.
Whether creation of pledge, invocation of pledge and revocation of pledge can be deemed as trading?
Trading as defined under Regulation 2 (1) (l) means and includes subscribing, buying, selling,
dealing, or agreeing to subscribe, buy, sell, deal in any securities, and "trade" shall be construed accordingly. The term trading is widely defined to include dealing in securities and intended to curb the activities based on unpublished price sensitive information (UPSI) which are strictly not buying, selling or subscribing, such as pledging etc. Hence, trading would include Creation/invocation/revocation of pledge.
Moving Averages | Types of Moving Averages | Usage of Moving Averages | Time Frames
Moving Averages:
Simply put Moving Averages are a math calculation that averages out a series of numeric values. A moving average series can be calculated for any time series. In finance it is most often applied to stock and derivative prices, percentage returns, yields and trading volumes. There are three universal types of moving averages to calculate. The simple moving average is one of the most popular indicators used and is easy to calculate. There is also a weighted and an exponential moving average which are more sensitive to price fluctuations but more complicated to formulate.
The Following Topics were Covered.
1. How many types of moving averages are there to use.
2. How to calculate a moving average.
3. Which inputs to average?
4. Time dimensions for moving averages.
5. Cross over signals.
6. Moving average channels.
7. Filters on moving average signals using Stochastics, MACD and other indicators.
8. Use of Fibonacci as moving average settings.
9. Use of Pivot Points as a moving average system.
Simple Moving Average (SMA)
Here is how to calculate a Simple Moving Average (SMA). If we take the close of the last ten periods add them together then divide by ten we get the mean or average of the last ten periods. As a new period is added we drop the oldest time period.
|
Period |
Price |
|
1 |
1352 |
|
2 |
1360 |
|
3 |
1325 |
|
4 |
1256 |
|
5 |
1280 |
|
6 |
1220 |
|
7 |
1210 |
|
8 |
1450 |
|
9 |
1440 |
|
10 |
1460 |
Simple Moving Average = SUM of Prices/10
13353/10 = 1335.3
weighted moving average (WMA)
A weighted average is any average that has multiplying factors to give different weights to different data points. But in technical analysis a weighted moving average (WMA) has the specific meaning of weights which decrease arithmetically. Weighted M/A’s give a greater weight to more recent price data. These are complicated and need the aid of a computer.
WMA = the latest day has weight n, the second latest n-1, etc, down to zero.
Exponential moving averages:
Exponential moving averages (also called exponentially weighted moving averages). The EMA applies weighting factors which decrease exponentially. EMA’s reduce the lag by applying more weight to recent prices relative to older prices. The shorter the EMA’s period, the more weight that will be applied to the most recent price.
EMA = (Price (current) – EMA (previous) (x Multiplier) + EMA (previous)
Advantages of Moving Averages:
1. Defines average price changes over time and smoothes out trading noise.
2. Excellent trend trading tool.
3. Used to identify, triggers, entries, support and resistance levels.
4. Can be used in trading systems & one can study the back-tested performance results.
Disadvantages of Moving Averages:
1. M/A’s lag behind markets price changes.
2. Not effective in choppy markets.
3. Not effective in discovering price extensions.
4. Can’t predict turning points like Fibonacci or Pivot analysis only changes in trends
Values to be used in Moving Averages:
Highs
Lows
Close
Opens
Average of range (High-Low)
Average of typical price (HLC/3)
Volume
Volatility measurements
There are several ways to identify the direction of the trend with moving averages. If we look at the relationship between prices and the moving average we can study not only the direction of the moving average but the location of price in relationship to the moving average values and the crossovers points of interest.
The Rules of Moving Average:
If the moving average is rising, and prices are above the M/A, the trend is considered up.
If the moving average is declining, and prices are below the M/A, the trend is considered down.
An additional filter to trigger a signal on a price change would be if the close is above or below the moving average. Another method is if the entire range of the price components (O, H, L, C) are trading above or below the moving average. Another filter is if those factors are for more than one session.
The Time periods to be used in Chart for Moving Averages:
The question some traders have is which time periods should they program a moving average for Several time considerations include lining the moving average with a specific time frame such as the number 5 which equals a full trading week. A 20 day and 40 day M/A works out to one and two month moving average.
Day traders can break down the use of multiple time frame analysis such as a 15 minute period and a 5 minute period (which is divisible by 3). Traders can and often do tie in time periods with the Fibonacci numbers series. Which are 1,1,2,3,5,8,13,21, 34, 55, 89, 144, 23, etc. The more popular numbers used are 3,5, 8 13 and 21. Futures traders use shorter time periods, equity traders generally use longer term periods. Just remember that the shorter the time periods used that they are more sensitive to price changes.
Multiple Moving Averages
When we introduce more than one moving average with multiple time periods it helps identify shorter term and longer term trends and changes within those time frames. This concept can be used to identify support and resistance levels to help you increase profits and reduce risks. Always remember that the closing price causes a crossover: that is when a signal is generated.
There are two terms technicians use to identify trend changes:
Dead Cross- bearish or negative cross-over of a s horter term M/A than a longer term M/A.
Golden Cross- Bullish or positive cross-over of a shorter term M/A than a longer term M/A.
Moving Average Convergence/Divergence (MACD):
Moving Average Convergence/Divergence otherwise known as MACD in simplest terms is an indicator that shows when a short-term moving average crosses over a longer term moving average. Gerald Appel developed this indicator as we know it today and it is my understanding that he developed it for the purpose of stock trading. It is composed of using three exponential moving averages.
MACD signals react quickly to changes in the market that is why a lot of analysts including myself use it. It helps clear the picture when moving average crossovers occur. It measures the relative strength between where current prices are as compared to past time frames from a short term perspective to a longer term perspective. MACD signals are generated after the market has moved in an opposite direction of the original trend, and therefore is why it is considered a lagging indicator.
Some general points to help you understand how to use this indicator are first; when the fast line crosses above the slow line a buy signal is generated. The opposite is true for sell signals. MACD also has a zero base line. If MACD line is above the zero line prices are usually trending higher. The opposite is true if MACD is declining below the zero line.
Another method, and more reliable, however one that does not form often is a pattern called bullish convergence. This is where the market price itself makes a lower low from a previous low but the underlying MACD pattern makes a higher low. This indicates that the low is weak or “false” bottom and can resort to a turn around for a price reversal. MACD has the same principles as far as a sell signal with what is known as Bearish Divergence. This is where the market price itself makes a higher high from a previous high but the underlying MACD crossover lines make a lower high. This indicates that the second high is a “weak” high and can resort to a turn around for a lower price reversal. We see more divergence patterns in the histogram component than we do in the actual moving average MACD lines.
Market Healines _ 07/03/2023
📝 Russia announces simplified visa regime for India
📝 CPPIB to buy Goldman's 14% stake in ReNew Energy Global for about $268 millio
📝 Retail loans availed by women rise 25 per cent in 2022: Report
📝 SoftBank's arm aims to raise at least $8 billion in US IPO, say sources
📝 Nova Agritech files DRHP to raise funds via IPO
📝 Daily UPI transactions jump 50% to 36 crore: RBI governor
📝 Vehicle sales grow by 16% in February 2023: FADA
📝 Hero MotoCorp to collaborate with US-based Zero Motorcycles on premium electric bikes
📝 Govt issues guidelines on brand endorsements by social media influencers
📝 Flu cases on rise, experts blame mutated strain, dropping of masks
📝 Reliance Capital lenders seek Rs 8k-crore upfront cash for second auction
📝 MF inflow in equities crosses Rs 1.5-trn for second straight fiscal
📝 Foxconn Technology eyes second chip plant in India, sans govt incentive
📝 HCLTech to explore industrial-scale quantum applications for enterprises
📝 Domino's targets 20-minute delivery across metro cities in next 12 months
📝 Sun Pharma completes acquisition of US-based Concert Pharmaceuticals
📝 Airbus receives order for two advanced ACH160 helicopters in India
📝 Cero plans to set up at least 100 vehicle scrapping centers by 2025
📝 Paytm, Andhra govt tie up on financial inclusion, health and cyber security
📝 DOMS buys 30% stake in Delhi-based toy maker Clap Joy for undisclosed sum
📝 Hindustan Power Exchange trade crosses 2.5 bn unit mark in 8 months
📝 Domestic aviation sector outlook stable; losses to reduce next fiscal: Icra
📝 Extra 1 mn tonnes sugar exports possible if output meets estimate: Govt
📝 CPSE dividend crosses Rs 50,000 crore for second consecutive
📝 Survey: 88% Indians ready to exchange their high-paying jobs for mental well-being
📝 Essar to develop Stanlow Terminals in UK to import green ammonia
📝 Zepto plans expanding instant food delivery
📝 Quick Heal collaborates with NIST-NCCoE, US
📝 RBI launches “Har Pal Digital” campaign in digital payments push
📝 MSME ministry invites tender to study export issues faced by MSMEs
📝 NTPC logs nearly 12 pc growth in electricity generation in April-Feb this fiscal year
📝 Govt to bring retail trade policy to promote ease of doing business for traders
📝 Sebi lays down data localisation norms for cloud adoption
📝 Govt plans to make hallmarking of gold bullion mandatory: BIS chief
📝 BS-VI norms, chip crunch may hit PV sales in March
📝 Zee Ent, IPRS enter in agreement to settle ₹211 cr dues dispute
📝 US commerce secretary Raimondo to visit India for trade talks
📝 FIIs infuse over ₹721 cr, invest for third day in row; DIIs buy ₹757 cr
📝 ONDC to help small retailers survive e-comm onslaught: Piyush Goyal
📝 Isro arm targets 10 commercial SSLV launches by 2026
📝 Wipro opens its Americas headquarters in New Jersey
📝 Centre to construct 14.71 km four-lane highway in Nagaland: Gadkari
📝 ONGC, TotalEnergies tie up for deep-water offshore exploration.
Market Main Lines 06/03/2023
📝 FY23 fiscal deficit: FinMin monitoring daily receipts, expenses in March
📝 Food companies, FSSAI, health institutions differ over front pack labelling proposal
📝 Quality control: Govt to issue measures to stop imports of sub-standard goods
📝 Centre saved $27 bn in schemes using DBT method, says Economic Affairs Secy
📝 Chennai-based Computer Age Management Services acquires majority stake in Think Analytics
📝 Bank of Baroda reduces home loan rate by 40 bps to 8.5pc until Mar 31
📝 India's oil buy from Russia surges, now more than one-third of total imports
📝 Pfizer sells leasehold rights of 54-acre land parcel in Thane to Vidhi Research
📝 IndiGo looks to enable codeshare connectivity to US, Canada
📝 Agritech firm DeHaat's FY23 revenue set to rise by over 80% to Rs 2,300 crore
📝 DAO EvTech earmarks Rs 100 crore investment in Tamil Nadu, to hire 2,000 people
📝 Atmanirbhar push: Rs 7,000-cr PLI boost for toys, bicycle components soon
📝 Essar group returns to steel business with $8-billion investment
📝 Fitment panel to examine compensation cess structure for pan masala
📝 Square Yards raises Rs 112 cr from HNIs for office space in Hyderabad
📝 RIL, First Solar, Shirdi Sai bid for 15.5 Gw end-to-end solar manufacturing
📝 HCL Tech to double semiconductor biz in 4 yrs, needs 2 yrs to build fab
📝 Aiming to double India portfolio to $8 bn in 3-4 yrs: CapitaLand India CEO
📝 Bank of Ceylon, SBI, Indian Bank talk benefit of rupee trade in Colombo
📝 Govt likely to lower rail freight rates for coastal shipping of coal
📝 Bond traders request RBI to shift to multiple price auctions of govt debt
📝 Kotak Mahindra Bank to create vertical for mid-market firms
📝 Indian Navy successfully test-fires the BrahMos supersonic missile
📝 Flexi work model is here to stay, was around even before Covid: Infosys
📝 Centre may extend ECLGS for MSMEs by six month
📝 NBFCs expect up to 30 bps rise in borrowing cost in FY24
📝 Finolex looks to expand non-agriculture segment business
📝 BSNL fast-tracks 4G site installation, targets April launch
📝 Bank credit to retail, wholesale trade jumps 16% in February: RBI data
📝 UPI: P2M transactions jump 119% YoY in February 2023
📝 Holi sales to generate Rs 25,000 crore business this year: CAIT
📝 Mustard prices seen falling below MSP on bumper crop prospects
📝 CGA asks departments to avoid last-minute spending rush
📝 Agriculture exports up 10% to $21.8 bn in April-January
📝 India’s per capita income doubles since 2014-15
📝 Saudi Arabia raises oil prices for Asia and Europe for April
📝 Infra, manufacturing push to help economy scale $7 tn peak
📝 Zetwerk raises ₹100 cr debt led by Edelweiss
📝 Centre may ease AT-I bond valuation rules
📝 Mark Mobius sees India as best investment alternative to China.
Market Main Lines - 04/03/2023
📝 Fuel retail turns profitable for oil marketing companies
📝 RBI imposes restrictions on Musiri Urban Co-operative Bank; caps withdrawal at Rs 5,000 per customer
📝 Government to soon issue SOPs for Rs 26k crore auto PLI
📝 Divgi TorqTransfer IPO fully subscribed on day 3; GMP rises
📝 India's forex reserves fall for fourth week in a row, at 3-month low
📝 Tata group aiming at net-zero emission by 2045
📝 Govt to rope in more industry partners under SAMARTH scheme
📝 Jindal to invest Rs 10,000 crore to set up 3 mn-tonne steel plant in AP
📝 World Bank commits $1 billion to India for public healthcare infra
📝 Teen freelancing startup Funngro raises funding from Shark Tank judges Amit Jain, Namita Thapar
📝 Funding stays under $1 billion in Feb for startups, drops 84% YoY
📝 Arvind Mafatlal Group plans to scale up its edtech venture GetSetLearn
📝 RBI fines Amazon Pay (India) Rs 3 cr for not complying with PPI & KYC norms
📝 Tech Mahindra to invest up to Rs 700 crore over the next 2-3 years
📝 Vedanta seeking $1 bn from global banks to refinance old debt, say sources
📝 India Inc commits Rs 11.87 trn to Andhra on Day-1 of investor summit
📝 After Bajaj Allianz, New India Assurance gets into surety bonds business
📝 Greenko Energy raises Rs 5,700 crore from GIC, Orix and founders
📝 BIS makes 80% concession on certification/marking fee for micro scale units
📝 Railway freight rises 3.5% in Feb; thermal coal volumes increase 8%
📝 Foreign exchange reserves fall $325 million in a week to $560.94 billion
📝 Services PMI at 12-yr high of 59.4 in Feb on strong demand, easing prices
📝 Pace of bank lending to infrastructure shrinks to 2.3%: RBI data
📝 Free markets to produce best digital sector outcomes: CCI head
📝 Banks’ GNPAs decline 26% in December
📝 Adani to set up cement plants, data centre in Andhra Pradesh
📝 Reliance Industries to set up 10 gigawatt solar energy project in AP, says Mukesh Ambani
📝 Tata Steel Mining signs MoU with GAIL to get clean fuel
📝 Rupee gains 63 paise to close at 81.97 against US dollar
📝 Irdai prefers cashless mode in health insurance
📝 NCLAT refuses relief to SBI in Jet’s transfer of ownership
📝 Startups consider options against Google on excess fees
📝 Doms acquires 30% stake in toy company ClapJoy
📝 ICMR to set up new cell to support research
📝 Parle Agro’s Smoodh crosses ₹600 crore in turnover
📝 NCLT allows merger of HDFC's two subsidiaries with HDFC Capital Advisors
📝 India’s tech sector expected to double in size by 2030 TO $500 billion; NASSCOM
📝 Tata Motors hits the accelerator; reaches 50 lakh passenger vehicles milestone.
List of Stocks in Rakesh Jhunjhunwala Portfolio
| S.No | Company Name | Qty |
| 1 | APTECH | 18,112,312 |
| 2 | STAR HEALTH & Allied Insurance | 100,753,935 |
| 3 | METRO BRANDS | 39,153,600 |
| 4 | NCC | 82,180,932 |
| 5 | RALLIS INDIA | 20,018,320 |
| 6 | NAZARA TECHNOLOGIES | 6,588,620 |
| 7 | GEOJIT FINANCIAL SERVICES | 20,037,500 |
| 8 | AGRO TECH FOODS | 2,003,259 |
| 9 | VA TECH WABAG | 5,000,000 |
| 10 | SINGER INDIA | 4,250,000 |
| 11 | JUBILANT PHARMOVA | 10,770,000 |
| 12 | CRISIL | 4,000,000 |
| 13 | TITAN COMPANY | 45,895,970 |
| 14 | KARUR VYSYA BANK | 37,951,719 |
| 15 | FORTIS HEALTHCARE | 33,652,108 |
| 16 | AUTOLINE INDUSTRIES | 1,678,000 |
| 17 | FEDERAL BANK | 72,713,440 |
| 18 | JUBILANT INGREVIA | 5,020,000 |
| 19 | INDIA HOTELS COMPANY | 30,016,965 |
| 20 | WOCKHARDT | 3,000,005 |
| 21 | CANARA BANK | 37,597,600 |
| 22 | PROZONE INTU | 3,150,000 |
| 23 | TATA COMMUNICATIONS | 5,100,687 |
| 24 | DISHMAN CARBOGEN AMCIS | 2,550,000 |
| 25 | TATA MOTORS | 52,256,000 |
| 26 | EDEKWISS FINANCIAL SERVICES | 14,315,000 |
| 27 | D B REALTY | 5,000,000 |
| 28 | ESCORTS KUBOTA | 1,830,388 |
| Total Shares | 664,596,360 |
