Global Markets Update
SGX Nifty is trading 19 points down. Major Asian markets are trading mixed with Nikkei trading about 0.5% lower and Hang Seng trading about 0.5% higher.
European markets closed firmly in the green in the range of 1% to 1.5%. Both the Dow Jones and the NASDAQ saw buying interest return after a flat start and ended the day about 1% higher.
Index Action
Nifty50
Yesterday, Nifty50 witnessed strong buying interest in the second half and closed near day’s highs. The Nifty50 closed at 17,822, up by 131 points.
India VIX continued its downward trend and closed at 16.4 levels. This decline in VIX is a cause of cheer for the bulls.
October monthly call options have a significant base at 18,000 and 18,500 strikes, while put options have a substantial base at 17,000 and 17,500 strikes. Further additions were seen at 17,800 calls, and 17,600 put strikes.
October 7 weekly expiry call options further added to their significant bases at 17,800 and 18,000 strikes. Weekly put options for the same expiry have seen a shift in base at 17,700 and 17,600 strikes.
Weekly options suggest immediate resistance for Nifty50 at 18,000 levels and support at 17,600 levels.
Bank Nifty
Bank Nifty also closed near its day’s high at 37,741, up by 161 points.
October monthly options data suggests a shift in the base for call options at 38,000 and 38,500 strikes while put options have significant bases at 37,000 and 37,500 strikes.
Bank Nifty50 October 7 weekly expiry call options hold a significant base at 37,500 and 38,000 strikes. Weekly put options for the same expiry further added to their significant bases at 37,500 and 37,000.
Weekly options suggest immediate support and resistance for Bank Nifty at 37,500 and 38,000 levels.
Stock Action*
Long Build-up was seen in stocks like Persistent, JK Cement, ONGC, Titan and IOC.
Short Build-up was seen in stocks like ICICI Lombard, Ipca Labs, Tata Consumer, MGL and Cipla.
F&O Stocks in Ban:
Stocks in Ban: Nalco
Stocks added: Nalco
Stocks out of ban: -
FII/DII Activity**
In the cash market, FIIs were net sellers for ₹1,915 crore while DIIs were net buyers for ₹1,868 crore. In the Derivatives market, FIIs sold index futures worth ₹580 crore while they bought Index options worth ₹1,294 crore. For stocks, they sold stock futures worth ₹699 crore and sold stock options worth ₹271 crore.
*In Futures and Options or F&O, Long build-up means increase in Open Interest (OI) along with increase in price and Short build-up means increase in Open Interest (OI) along with decrease in price.
**Source: nseindia.com. Cash market figures are provisional.