Asian Markets Update @ 7 am
The SGX Nifty is trading 86 (-0.4%) points lower than its last close, indicating a negative start for the Nifty50 today. Major Asian markets are trading mixed. Japan's Nikkei 225 is down 0.4%, while Hong Kong's Hang Seng Index is up 0.1%.
Global Markets Update
US equities closed lower as data showed that price pressures at the wholesale level rose more than expected in January. The wholesale prices jumped 0.7% for the January month, against the estimate of 0.4%.
The Dow Jones sank 1.2%, while S&P 500 declined 1.3%. The technology-heavy Nasdaq Composite lost 1.7%.
Index Action
Nifty50
February Futures: 18,057 📈▲22 (+0.1%)
OI Contracts: 1,84,257 (-3.2%)
Amid positive global cues, the Nifty50 opened higher but faced selling pressure at higher levels. It formed a small negative candle on the daily charts, indicating minor weakness ahead. However, a rebound in IT stocks capped the downside and the headline index held the 18,000 level on a closing basis.
Among the major sectoral indices, Realty (+1.4%) and IT (+1.6%) were the top gainers, while Financial Services (-0.2%) and Auto (-0.2%) were the top losers.
The Nifty 50 options contracts expiring on 23 February have significant positions at the 18,100 and 18,000 calls and the 18,000 and 17,000 puts.
As per options data and OI analysis, the Nifty50’s broad range for the February expiry is between 17,600 and 18,400 levels. On the other hand, 17,800 and 18,250 is the short-term range for the current week.
Bank Nifty
February Futures: 41,690 📉▼101 (-0.2%)
OI Contracts: 93,356 (+3.5%)
After a gap-up start, the Bank Nifty inched towards 42,000 mark but witnessed selling pressure at higher levels. It took support near its 20-EMA and ended the day just above 41,600 mark, with a cut of 0.2%.
Among banking stocks, Federal Bank (+0.4%) and Bank of Baroda (+0.3%) were the top gainers, while AU Small Finance Bank (-1.1%) and IDFC First Bank (-0.8%) were the biggest laggards.
The Bank Nifty’s options contracts expiring on 23 February have significant positions at the 42,000 and 42,500 calls and 41,500 and 41,000 puts.
As per options data and OI analysis, the Bank Nifty’s broad range for the February expiry is between 40,500 and 42,700 levels. On the other hand, 40,800 and 42,200 is the short-term range for the current week.
FII and DII Data💰
The Foreign Institutional Investors (FIIs) bought shares worth ₹1,570 crore, while Domestic Institutional Investors (DIIs) bought shares worth ₹1,577 crore in the cash market. In the derivatives market, FIIs bought index futures worth ₹350 crore and bought index options worth ₹19,961 crore. Further, they bought stock futures worth ₹873 crore and bought stock options worth ₹48 crore.
India VIX
The India VIX rebounded from its intraday low and closed marginally higher at 12.89 (+0.2%).
Stock Action📊
Long build-up was seen in ONGC, Dixon Technologies, Mahanagar Gas, PI Industries and HAL.
Short build-up was seen in Crompton Greaves, Indigo, Hindustan Unilever, BPCL and Bata India.
Under F&O Ban: Ambuja Cements, BHEL, Indiabulls Housing Finance and Punjab National Bank.
*In Futures and Options or F&O, long build-up means an increase in Open Interest (OI) along 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.