Asian Markets Update @ 7 am
SGX Nifty is trading higher by 96 (+0.5%) points from its previous close, indicating a positive start for the Nifty50 today. Major Asian markets are also trading in the green. Japan's Nikkei 225 gained 1.1%, while Hong Kong's Hang Seng index is shut on account of Chinese New Year holiday.
Global Markets Update
US stocks closed higher on Friday after Netflix's quarterly results showed a rebound in subscriber growth and Google's parent company Alphabet announced job cuts. The Dow Jones gained 1%, while the S&P 500 climbed 1.8%. The tech-heavy Nasdaq Composite was up 2.6%.
Index Action
Nifty50
January Futures: 18,055 📉▼ 57 (-0.3%)
OI Contracts: 2,08,279 (-2.0%)
Tracking weak cues from global markets, the Nifty50 index fell for the second consecutive session but held on to the psychologically important 18,000 mark. The index traded near the flat line for most part of the day, but slipped below its 20 DMA in the last hour of trade to close in the red.
Among major sectoral indices, Bank Nifty (+0.4%) and Private Bank (+0.3%) gained the most, while Media (-1.3%) and FMCG (-0.9%) declined the most.
Nifty50’s options contracts expiring on 25 January have sizable positions at 18,100 and 18,200 call options and 18,100 and 18,000 put options.
As per options data and OI analysis, the broad range for the Nifty50 is between 17,300 and 18,600 levels. On the other hand, 18,000 and 18,300 are the critical levels to watch for the current week.
Bank Nifty
January Futures: 42,549 📈▲ 199 (+0.4%)
OI Contracts: 61,995 (-11.1%)
The Bank Nifty touched 42,700 on Friday on the back of gains in large private sector banks. It dipped in the second half but managed to close above the psychologically important 42,500 level. Among banking stocks, HDFC Bank (+1.0%) and Bank of Baroda (+0.8%) were the top gainers, while Federal Bank (-1.2%) and AU Small Finance Bank (0.7%) were the top losers.
Bank Nifty’s options contracts expiring on 25 January have sizable positions at 42,500 and 43,000 call options and 42,000 and 42,500 put options.
As per options data and OI analysis, the broad range for the Bank Nifty is between 41,400 and 43,800 levels. On the other hand, 42,300 and 43,000 are the critical levels to watch for the current week.
FII and DII Data**💰
The Foreign Institutional Investors (FIIs) sold shares worth ₹2,002 crore, while Domestic Institutional Investors (DIIs) bought shares worth ₹1,509 crore in the cash market. In the derivatives market, FIIs bought index futures worth ₹1,026 crore and bought index options worth ₹13,499 crore. Further, they bought stock futures worth ₹1,057 crore and bought stock options worth ₹376 crore.
India VIX
The India VIX, which measures the implied volatility of Nifty50 options, fell 1.2% to 13.79.
Stock Action📊
Long build-up was seen in Coforge, Marico, BHEL, HDFC Bank and ITC.
Short build-up was seen in Atul Ltd, Hindustan Unilever, HDFC Life, Nestle India and Voltas.
Under F&O Ban: Delta Corp, L&T Finance and PVR.
*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.