F&O Morning Update for 2 March 2022

Global Markets Update

Global markets came under pressure as the war in Ukraine, and economic sanctions against Russia stoke the cost of commodities. SGX Nifty is trading in the red, down by 142 points. Major Asian markets are also trading lower, Japan's Nikkei fell 1.3%, and Hong Kong's Hang Seng index is down 1%.

European markets closed lower in the range of 1.7% to 3.9%. The U.S. markets closed lower on Tuesday. The Dow Jones fell 1.7%, and the NASDAQ dipped 1.5%.

Stock Action

Long build-up was seen in Hindalco, PVR, Marico, Trent and Coal India. 

Short build-up was seen in Biocon, Bata India, HDFC Life, SRF and HDFC Bank. 

F&O stocks in ban

Stocks in ban: 

Stocks added: 

Stocks out of ban: 

FII/DII Activity**

In the cash market, FIIs were net sellers of ₹3,948 crore while DIIs were net buyers of ₹4,142 crore. In the derivatives market, FIIs sold index futures worth ₹732 crore and bought index options worth ₹3,650 crore. Further, they bought stock futures worth ₹3,351 crore and sold stock options worth ₹55 crore.

Index Action

Nifty50

The Nifty50 rebounded smartly after a dull opening and closed near day’s high. Among the sectors, Metal and Oil & Gas posted gains, while Auto and Financials traded lower. The Nifty50 jumped 135 points to close at 16,793.

The India VIX climbed 6.8% to 28.57.   

The Nifty50’s monthly options expiring on March 31 are scattered and have sizable positions at 18,000 and 17,000 call options and 16,500 and 16,000 put options. 

The Nifty50’s weekly options expiring on March 3 have sizable positions at 17,000 and 17,200 call options and 16,500 and 16,400 put options. 

As per options data, the broad range for the Nifty50 is between 15,700 and 17,900 levels. Its immediate support is at 16,400 and resistance is at 17,200 levels.

Bank Nifty 

The Bank Nifty had a weak day even as the benchmark indices witnessed a positive closing. With 7 out of 12 stocks closing in red, the Bank Nifty slipped 225 points to 36,205.

The Bank Nifty’s monthly options expiring on March 31 are scattered and have sizable positions at 38,000 and 38,500 call options and 35,000 and 36,000 put options. 

The Bank Nifty’s weekly options expiring on March 3 have sizable positions at 37,000 and 37,500 call options and 35,000 and 36,000 put options. 

As per options data, the broad range for the Bank Nifty is between 34,800 and 38,200 levels. Its immediate support is at 35,500 and resistance is at 37,100 levels.