Weekly Picks 8th January 2024

1. GUJGASLTD LTP 506.85

Counter	GUJGASLTD LTP 506.85
Call	Buy on dip
Target 1	540
Target 2	580
Stop Loss	460
Time Horizon	3-4 weeks
Notes	—

Gujarat Gas Limited (GGL) is India’s largest City Gas Distribution (CGD) Company in terms of sales volume operating in 44 districts in 6 states of Gujarat, Maharashtra, Rajasthan, Haryana, Punjab & Madhya Pradesh and 1 Union territory of Dadra & Nagar Haveli.

GGL continues to hold the leadership position in CGD industry in terms of size and scale of operation, with more than 20 lakh households, over 14,700 commercial customers, 800+ CNG stations, 4,352 industrial units and more than 37,000 kilometre of natural gas pipeline network. The company is distributing approx. 9.3 mmscmd of natural gas.

Previous Close	506.2	TTM EPS	18.22
52 Week High	526.0	TTM PE	27.81
52 Week Low	397.0	P/B	6.20
Sector PE	46.1	Mkt Cap (Rs. Cr.)	34,884

(Source: Moneycontrol, BSE, Fisdom Research)

Technical Outlook

(Source: Fisdom Research)

The counter has given a “Falling Trend-Line” Break-out last week. The counter closed on a solid note, forming a “Bullish Engulfing” candle.
The counter can be looked for buying on a dip towards 490 & 470 levels for potential targets of 540 & 580 levels on higher-end.
The counter can witness fresh buying interest once it sustains above the central 580-600 zone in months to come.

Open Interest Study

As per Jan Option Chain study, the maximum CE build-up is witnessed at 500 & 510 Strikes, while the maximum PE build-up is at 500 & 505 Strikes.
A bullish Long Ratio Spread can be looked into for this month.

F&O Strategy

Scrip	GUJGAS LTP 506.85
Risk	Moderate
Ratio	1:1
Bias	Range to pullback above 440 levels
Max Reward Expected	₹ 33,250
Max Risk Expected	₹ 16,750

Action	Scrip	Quantity	Entry Price	LTP
BUY	GUJGAS JAN 500 CE	1250	19.75	19.75
SELL	GUJGAS JAN 540 CE	1250	6.35	6.35

Invest Now

2. IRCTC LTP 906.15

Counter	IRCTC LTP 906.15
Call	Buy on dip
Target 1	960
Target 2	1220
Stop Loss	850
Time Horizon	3 – 4 Weeks
Notes	—

Indian Railway Catering and Tourism Corporation Ltd. (IRCTC) is a “Mini Ratna (Category-I)” Central Public Sector Enterprise under Ministry of Railways, Government of India. IRCTC was incorporated on 27th September, 1999 as an extended arm of the Indian Railways to upgrade, professionalize and manage the catering and hospitality services at stations, on trains and other locations and to promote domestic and international tourism through development of budget hotels, special tour packages, information & commercial publicity and global reservation systems.

Previous Close	901.5	TTM EPS	13.27
52 Week High	923.45	TTM PE	68.27
52 Week Low	557.10	P/B	29.2
Sector PE	68.43	Mkt Cap (Rs. Cr.)	72,472

(Source: Moneycontrol, BSE, Fisdom Research)

Technical Outlook

(Source: Fisdom Research)

The counter gave a consolidation break-out above 800 levels & high of 950 before ending at 906 levels last week.
The counter remains Buy-On-Dip above immediate support of 850 & next lower 800 levels for immediate hurdles cum target of 960 & 1020 levels on higher-end. The counter can be looked for delivery, buying proportionately on dips towards 880/840 & lower for the next few weeks to months.

Open Interest

As per Jan Option Chain data, the counter maximum CE build-up is at 920 & 900 Strikes while the maximum PE build-up is at 900 Strike, indicating a “Range to Upside capped” outlook.

F&O Strategy

Scrip	IRCTC LTP 906.15
Risk	Moderate
Ratio	1:1
Bias	Range to pullback
Max Reward Expected	₹ 46,375
Max Risk Expected	₹ 23,600

Action	Scrip	QTY	Entry Price	LTP
BUY	IRCTC JAN 900 CE	875	47	47
SELL	IRCTC JAN 980 CE	875	20	20

Invest Now

Disclaimer: This document is not intended for anyone other than the recipient. The contents of this document may not be reproduced or further distributed to any person or entity, whether in whole or in part, for any purpose. If you have received the publication in error please notify the sender immediately. If you are not the named addressee, you should not disseminate, distribute or copy this document. You are hereby notified that disclosing, copying, distributing or taking any action in reliance on the contents of this information is strictly prohibited. All non-authorised reproduction or use of this document will be the responsibility of the user and may lead to legal proceedings. This document has no contractual value and is not and should not be construed as advice or as an offer or the solicitation of an offer or a recommendation to take action in consonance in any jurisdiction. Finwizard Technology Private Limited (“Fisdom”) makes no guarantee, representation or warranty and accepts no responsibility or liability for the accuracy or completeness of the information and/or opinions contained in this document, including any third party information obtained from sources it believes to be reliable but which has not been independently verified. In no event will Fisdom be liable for any damages, losses or liabilities including without limitation, direct or indirect, special, incidental, consequential damages, losses or liabilities, in connection with your use of this document or your reliance on or use or inability to use the information contained in this document, even if you advise us of the possibility of such damages, losses or expenses. Fisdom does not undertake any obligation to issue any further publications or update the contents of this document. The information stated and/or opinion(s) expressed herein are expressed solely as general commentary for general information purposes only and do not constitute advice, solicitation or recommendation to act upon thereof. Fisdom does not have regard to specific investment objectives, financial situation and the particular needs of any specific person who may receive this document. The information contained within this document has not been reviewed in the light of your personal circumstances. Please note that this information is neither intended to aid in decision making for legal, financial or other consulting questions, nor should it be the basis of any investment or other decisions. Fisdom may have issued other similar documents that are inconsistent with and reach different conclusion from the information presented in this document. The relevant offering documents should be read for further details. You should make such researches/inspections/inquiries as it deems necessary to arrive at an independent evaluation of companies referred to in this document (including the merits and risks involved), and should consult its own advisors to determine the merits and risks involved. Fisdom makes no representations that the offerings mentioned in this document are available to persons of any other country or are necessarily suitable for any particular person or appropriate in accordance with their local law. Among other things, this means that the disclosures set forth in this document may not conform to rules of the regulatory bodies of any other country and investment in the offer discussed will not afford the protection offered by the local regulatory regime in any other country. Past performance contained in this document is not a reliable indicator of future performance whilst any forecasts, projections and simulations contained herein should not be relied upon as an indication of future results. The historical performance presented in this document is not indicative of and should not be construed as being indicative of or otherwise used as a proxy for future or specific investments. The relevant product documents should be read for further details. Fisdom does not undertake any obligation to issue any further publications to you or update the contents of this document and such contents are subject to changes at anytime.

Fisdom Research