Market Headstart: Nifty likely to open flat; Hero MotoCorp, Yes Bank among top buy ideas

The Nifty50 is expected to open flat-to-higher on Friday following positive trend seen in other Asian markets, but fresh concerns about Sino-US trade ties are likely to limit gains in the region.

Weighing on risk appetite was a report from Bloomberg that Washington is delaying a decision about licenses for U.S. firms to restart trade with Huawei Technologies, said a Reuters report.

On Wall Street, the S&P 500 registered its largest one-day percentage gain in about two months on Thursday, with the Dow and the Nasdaq also climbed more than 1 percent, added the report.

Trends on SGX Nifty indicate a flat to positive opening for the broader index in India, with 0.09 percent gain or 10 points. Nifty futures were trading around 11,081-level on the Singaporean Exchange.

The rupee rose as much as 18 paise - or 0.25 percent - against the US dollar on Thursday, regaining some ground from a fresh five-month low of 71.35 touched on Wednesday.

On the institutional front, FPIs were net sellers in Indian markets for Rs 437 cr while the DIIs were net buyers to the tune of Rs 291 cr, provisional data showed.

Stocks in news:

Dewan Housing Finance Corporation (DHFL) that is currently facing a liquidity crisis, has notified exchanges that it has submitted a draft resolution plan to creditors and will not be able to meet immediate payment obligations.

Despite a decline in its revenues, Godrej Properties on August 8 reported a nearly two-fold increase in consolidated net profit for the quarter ended June 30 at Rs 89.87 crore mainly on the back of a decline in total expenses.

Adani Enterprises on August 8 reported over a sevenfold jump in consolidated net profit to Rs 570.14 crore for the quarter ended June 30, 2019, on the back of higher income.

Technical Recommendations:

We spoke to AUM Capital and here's what they have to recommend:

Hero MotoCorp: Buy| LTP: Rs 2585| Target: Rs 2635| Stop Loss: Rs 2548| Upside 2%

YES Bank: Buy| LTP: Rs 89.15| Target: Rs 93| Stop Loss: Rs 86| Upside 4%

Mahanagar Gas: Buy| LTP: Rs 821.70| Target: Rs 842| Stop Loss: Rs 807| Upside 2.5%

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