Asian Markets Update 7 am
Indian equities may start the day flat to positive, as the GIFT Nifty indicates. The futures contract on the NSE International Exchange (NSE IX) is trading 16 (+0.08%) points higher. Its Asian peers are trading mixed. The Nikkei 225 gained 0.8%, while Hong Kong's Hang Seng index fell 0.1%.
US market update
US markets ended lower as tech stocks plummeted due to weakness in chip stocks. Dow Jones advanced 0.1% while NASDAQ gained 0.1%.
Index Action
NIFTY50
August Futures @ 19,599 📉▼90 (-0.4%)
OI Contracts: 2,18,008 (-1.1%)
The Nifty50 extended its opening cuts and ended lower. The index, once again, took support near 19,500 and recovered some lost ground but failed to hit green territory. The "higher high, higher low" formation setting up since last Friday has been negated. The index is trading in a range from 19,500 to 19,650, and a breakout on either side can set the directional trend for the near term.
Among the major companies, ABB, Apollo Hospitals, Astral, Glenmark, NALCO, Power Finance, Raymond, Sun TV, and Voltas will announce their earnings today.
The Nifty50 options expiring on 17 August have significant positions at 19,600 and 19,700 calls and 19,500 and 19,400 puts.
According to options data and OI analysis, the Nifty50 range for the 31st August expiry is between 19,100 and 19,900. On the other hand, 19,400 and 19,700 are this week's immediate support and resistance levels.
BANK NIFTY
August Futures @ 44,751 📉▼279 (-0.6%)
OI Contracts: 1,25,268 (+12.2%)
Following RBI's interest rate decision, the Bank Nifty fell sharply from the 45,000 level and ended with three-quarters of a per cent cuts. For the last six sessions, the banking index has been trading in a range; from 44,500 to 45,000. A breakout on either side can set the near-term directional trend for the index.
IndusInd Bank (+01.5%) among banking index stocks was the top gainer. AU Small Finance Bank (-2.1%) and Kotak Mahindra Bank (-1.6%) were the top laggards.
The Bank Nifty's options expiring on 17 August have significant positions at the 45,000 and 46,000 calls and 44,500 and 44,000 puts.
According to options data and OI analysis, Bank Nifty's range for the 31st August expiry is between 43,300 and 45,600. On the other hand, 43,900 and 45,200 are this week's immediate support and resistance levels.
FINNIFTY
August Futures @ 20,004 📉▼127 (-0.6%)
OI Contracts: 2,019 (+6.9%)
The FINNIFTY continued to slide lower but held on the 20,000 mark. The FINNIFTY's options expiring on 14 August have significant positions at the 20,000 and 20,100 calls and 19,900 and 19,800 puts.
According to options data and OI analysis of contracts expiring on 8 August, FINNIFTY's immediate support and resistance levels are at 19,700 and 20,300.
FII and DII Data**💰
In the cash market, Foreign Institutional Investors (FIIs) bought shares worth ₹331 crore, while Domestic Institutional Investors (DIIs) bought shares worth ₹703 crore. In the derivatives market, FIIs sold index futures worth ₹1,162 crore and sold index options worth ₹2,555 crore. Further, they sold stock futures worth ₹5,065 crore and sold stock options worth ₹318 crore.
India VIX
The volatility index advanced 2.3% and settled at 11.40.
Stock Action📊
The long build-up was seen in Can Fin Homes, India Cements, Max Financial Services, Manappuram Finance and Zee Entertainment.
The short build-up was seen in Bata India, Granules, Marico, Ipca Labs and Pidilite.
Under F&O Ban:Balrampur Chini, Can Fin Homes, Chambal Fertilisers, Delta Corp, Granules, Hindustan Copper, Indiabulls Housing Finance, Manappuram and Zee Entertainment.
*In Futures and Options or F&O, long build-up means an increase in Open Interest (OI)
long with an increase in price, and short build-up means an increase in Open Interest
(OI) along with a decrease in price.
**Source: nseindia.com. Cash market figures are provisional.