F&O Morning Update for 13 April 2022

Global Markets Update

SGX Nifty is trading lower, down by 51 points. Major Asian markets are trading mixed. Japan’s Nikkei climbed 1.2% (7 am), and Hong Kong’s Hang Seng declined 0.6% (7am).

The U.S. markets closed lower as the inflation surged to 8.5% from a year earlier and hit a 41-year high. The Dow Jones fell 0.2%, and Nasdaq dropped 0.3%. European markets closed lower in the range of -0.5% to -0.2%.

Stock Action

Long build-up was seen in AB Capital, PVR, PI Industries, GNFC and M&M Financial.

Short build-up was seen in Hindalco, UBL, Infosys, L&T Technology Services and Vedanta. 

F&O stocks in ban

Stocks in ban: RBL Bank

Stocks added: 

Stocks out of ban: Delta Corp 

FII/DII Activity**

In the cash market, FIIs were net sellers of ₹3,128 crore, while DIIs were net buyers of ₹870 crore. In the derivatives market, FIIs sold index futures worth ₹1,528 crore and sold index options worth ₹121 crore. Further, they sold stock futures worth ₹764 crore and bought stock options worth ₹231 crore.

Index Action

Nifty50

Tracking deep cuts in IT, oil & gas and metal stocks, the Nifty50 closed lower for the second consecutive day. However, a fag-end recovery in select bank stocks helped the index bounce back from the low of 17,742. The Nifty50 ended the session 144 points lower at 17,530.

The India VIX dropped 0.6% to 18.15.

The Nifty50’s monthly options expiring on April 28 have sizable positions at 18,000 and 19,000 call options and 17,500 and 17,000 put options. 

The Nifty50’s weekly options expiring on April 13 have sizable positions at 17,600 and 17,800 call options and 17,500 and 17,400  put options. 

As per options data, the broad range for Nifty50 is between 16,800 and 18,500 levels. Its immediate support is at 17,300 and resistance is at 17,900 levels.

Bank Nifty 

After a gap-down opening, the Bank Nifty made a sharp recovery of 600 points and climbed to the 37,900 mark. Aided by gains in Axis Bank and Kotak Mahindra Bank, the Bank Nifty closed the session 133 points higher at 37,747.

The Bank Nifty’s monthly options expiring on April 28 have sizable positions at 38,000 and 39,000 call options and 36,000 and 37,000 put options. 

The Bank Nifty’s weekly options expiring on April 13 have sizable positions at 38,000 and 38,500 call options and 37,500 and 37,000 put options. 

As per the options data, the broad range for the Bank Nifty is between 36,600 and 39,000 levels. Its immediate support is at 37,200 and resistance is at 38,200 levels.