Technical & Derivatives Report
August 12, 2016
Sensex (27860) / Nifty (8592)
Exhibit 1: Nifty Hourly Chart
Wednesday’s weak session was followed by a flat opening in our
market owing to mixed global cues. Subsequently, the Nifty
extended its previous day’s down move in the initial hour to test
the 8550 mark. However, due to strong buying interest at lower
levels, the Nifty rebounded sharply to reclaim the 8600 mark.
This attempt to move higher somehow exhausted at 8600 as a
strong bout of selling immediately post the midsession dragged
the index lower to test our mentioned support level of hourly ‘200
SMA’ placed around 8535 - 8540.
As expected, this technical tool played a sheet anchor role for the
market and as a result, the rejuvenated bulls managed to push
the index higher for the second time in a single trading day.
However, this time the effort was so strong and looked stable to
end the volatile session tad below the 8600 mark. What we saw
yesterday is a perfect example of a ‘Consolidation Phase’ that we
mentioned in our earlier report. Now on the hourly chart, 8540 -
8518 has earned tremendous importance and thus, looking at
the positive crossover in ‘RSI-Smoothened’, we expect yesterday’s
positive bias to continue towards 8640 - 8690 levels. Due to
yesterday’s move, one thing is clear now, traders holding long
positions should now shift their stop loss below 8518, which could
be now a make or break level in the near term.
Key Levels
Support 1 - 8540
Resistance 1 - 8640
Support 2 - 8518
Resistance 2 - 8690
Nifty Bank Outlook - (18640)
Exhibit 2: Nifty Bank Daily Chart
The Nifty Bank index traded with negative bias yesterday,
however, ended the session almost near its previous day's close.
Post announcement of quarterly results from Bank of Baroda, the
PSU Banking stocks corrected sharply which led to loss of 2.82
percent in Nifty PSU Bank index.
As there was no significant change in the Nifty Bank index
yesterday, we reiterate our previous day's view on the index. The
index is trading close to the lower end of the trading range of
18440 - 19127 and thus, traders should refrain from creating
short positions. On the contrary, with proper risk management,
traders can look enter into long positions with stop loss below
18400. Private sector banks, which constitute majority of the
weightage in the Nifty Bank index, could move higher in near
term. Traders should position their trades accordingly with proper
risk management. The intraday support for the index is placed
around 18540 and 18440; whereas resistances are seen around
18772 and 18833.
Key Levels
Support 1 - 18540
Resistance 1 - 18772
Support 2 - 18440
Resistance 2 - 18833
1
Technical & Derivatives Report
August 12, 2016
Comments
Nifty Vs OI
The Nifty futures open interest has increased by 0.01%
BankNifty futures open interest has decreased by 8.71%
as market closed at 8592.15 levels.
The Nifty August future closed with a premium of 20.30
points against a premium of 22.75 points in previous
session. The September series closed at a premium of
68.75 points.
The Implied Volatility of at the money options has
decreased from 13.17% to 12.66%.
The total OI of the market is Rs. 2,84,871/- cr. and the
stock futures OI is Rs. 77,103/- cr.
Few of the liquid counters where we have seen high cost
of carry are JPASSOCIAT, GMRINFRA, RCOM, PTC and
MCDOWELL-N.
Views
OI Gainers
FIIs continued their buying in cash market segment; they
OI
PRICE
bought equities to the tune of Rs. 608 crores. While, in
SCRIP
OI
PRICE
CHG. (%)
CHG. (%)
Index Futures their activity remained muted in yesterday’s
GRASIM
1240050
22.97
4554.90
-6.31
trading session.
AJANTPHARM
316400
17.36
1895.30
2.92
On Index Options front, FIIs bought worth Rs. 517 crores
HINDPETRO
8400000
14.04
1218.65
-0.98
with rise in OI. In call options, we hardly witness any
important activity. While in put options, 8400 strikes
OFSS
279600
11.88
3717.95
-0.30
added good amount of fresh positions; followed by
BANKBARODA
57057000
11.23
146.20
-8.99
unwinding in 8600 strike. We believe, these put buying is
mainly hedge positions formed by FIIs. Highest OI in
OI Losers
August series is visible at 9000 call and 8500 put
OI
PRICE
SCRIP
OI
PRICE
options.
CHG. (%)
CHG. (%)
Despite, market being under pressure Nifty managed to
BRITANNIA
1298000
-6.08
3239.00
3.86
bounce from its support zone yesterday. Till the time, we
SYNDIBANK
14013000
-5.69
71.10
-1.32
don’t see any significant sign of reversal on derivative
CAIRN
10878000
-5.68
190.70
-0.60
data front; we maintain our bullish stance on the index.
DABUR
6555000
-5.34
294.95
2.66
Hence, traders are advised not to go short at current
DHFL
11958000
-5.03
259.30
2.03
juncture.
Historical Volatility
Put-Call Ratio
SCRIP
HV
SCRIP
PCR-OI
PCR-VOL
BANKBARODA
58.62
NIFTY
0.96
1.04
GRASIM
52.92
BANKNIFTY
0.72
0.85
DABUR
24.99
ICICIBANK
0.37
0.26
GRANULES
32.69
INFY
0.30
0.28
ADANIENT
48.95
LT
0.45
0.59
Strategy Date
Symbol
Strategy
Status
01-08-2016
RELIANCE
Ratio Bear Put Spread
Active
08-08-2016
SBIN
Bull Call Spread
Active
2
Technical & Derivatives Report
August 12, 2016
FII Statistics for 11-August 2016
Turnover on 11-August 2016
Open Interest
No. of
Turnover
Change
Detail
Buy
Sell
Net
Instrument
Value
Contracts
( in Cr. )
(%)
Contracts
Change (%)
(in Cr.)
INDEX
INDEX
1780.41
1774.02
6.39
342541
22461.98
0.02
210666
14294.62
-14.54
FUTURES
FUTURES
INDEX
INDEX
48179.52
47662.49
517.04
1033987
67173.67
2.52
5412409
383171.06
36.98
OPTIONS
OPTIONS
STOCK
5881.94
6838.63
(956.69)
895591
57608.57
1.08
STOCK
FUTURES
597375
40097.84
-6.92
FUTURES
STOCK
STOCK
4300.49
4331.10
(30.61)
89064
5814.16
2.75
OPTIONS
366991
24925.63
-14.24
OPTIONS
TOTAL
60142.36
60606.23
(463.87)
2361183
153058.39
1.61
TOTAL
6587441
462489.16
25.47
Nifty Spot = 8592.15
Lot Size = 75
Bull-Call Spreads
Bear-Put Spreads
Action
Strike
Price
Risk
Reward
BEP
Action
Strike
Price
Risk
Reward
BEP
Buy
8600
90.00
Buy
8600
79.35
43.70
56.30
8643.70
35.45
64.55
8564.55
Sell
8700
46.30
Sell
8500
43.90
Buy
8600
90.00
Buy
8600
79.35
69.25
130.75
8669.25
55.50
144.50
8544.50
Sell
8800
20.75
Sell
8400
23.85
Buy
8700
46.30
Buy
8500
43.90
25.55
74.45
8725.55
20.05
79.95
8479.95
Sell
8800
20.75
Sell
8400
23.85
Note: Above mentioned Bullish or Bearish Spreads in Nifty (August Series) are given as an information and not as a recommendation.
Nifty Put-Call Analysis
3
Technical & Derivatives Report
August 12, 2016
Daily Pivot Levels for Nifty Constituents
Scrips
S2
S1
PIVOT
R1
R2
ACC
1,553
1,586
1,617
1,649
1,680
ADANIPORTS
246
250
255
258
263
AMBUJACEM
252
256
260
264
268
ASIANPAINT
1,108
1,127
1,137
1,156
1,166
AUROPHARMA
728
739
747
758
766
AXISBANK
559
564
570
575
580
BAJAJ-AUTO
2,790
2,818
2,853
2,882
2,917
BANKBARODA
140
143
148
151
156
BHEL
132
134
137
139
141
BPCL
574
585
593
604
612
BHARTIARTL
340
343
345
348
350
INFRATEL
357
363
371
376
384
BOSCH
24,162
24,471
24,861
25,170
25,560
CIPLA
515
519
522
527
530
COALINDIA
331
335
337
340
342
DRREDDY
2,952
2,982
3,003
3,032
3,053
EICHERMOT
21,190
21,729
22,064
22,604
22,939
GAIL
367
369
372
374
377
GRASIM
4,303
4,421
4,634
4,752
4,965
HCLTECH
808
816
822
830
836
HDFCBANK
1,215
1,222
1,228
1,235
1,241
HDFC
1,322
1,335
1,344
1,357
1,366
HEROMOTOCO
3,240
3,272
3,321
3,354
3,402
HINDALCO
135
139
142
146
150
HINDUNILVR
917
926
932
942
948
ICICIBANK
235
239
241
245
247
IDEA
92
94
95
97
98
INDUSINDBK
1,137
1,151
1,159
1,173
1,182
INFY
1,063
1,070
1,083
1,090
1,102
ITC
244
248
250
254
257
KOTAKBANK
754
760
764
769
774
LT
1,456
1,465
1,472
1,482
1,488
LUPIN
1,538
1,559
1,572
1,594
1,607
M&M
1,387
1,404
1,428
1,446
1,470
MARUTI
4,751
4,815
4,869
4,933
4,988
NTPC
156
158
159
161
162
ONGC
226
228
230
233
235
POWERGRID
170
172
174
176
178
RELIANCE
989
1,002
1,012
1,025
1,035
SBIN
223
225
228
230
234
SUNPHARMA
770
789
804
823
838
TCS
2,647
2,679
2,697
2,728
2,746
TATAMTRDVR
321
325
330
334
338
TATAMOTORS
491
497
501
507
511
TATAPOWER
72
73
75
76
77
TATASTEEL
356
362
368
374
380
TECHM
493
496
499
503
506
ULTRACEMCO
3,591
3,649
3,716
3,774
3,841
WIPRO
536
539
544
547
551
YESBANK
1,222
1,237
1,251
1,266
1,280
ZEEL
486
494
505
512
523
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Technical & Derivatives Report
August 12, 2016
Research Team Tel: 022 - 39357800
For Technical Queries
For Derivatives Queries
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