Technical & Derivatives Report
July 20, 2016
Sensex (27788) / Nifty (8529)
Exhibit 1: Nifty Daily Chart
We witnessed a flat opening yesterday as indicated by the SGX
Nifty. During the initial hours, the Nifty hovered tad above the
8500 mark and then moved higher. However, we saw a strong
selling during the mid session to break the intraday support of
8493. The Nifty traded with a negative bias for a while but a
smart recovery in the concluding hour pulled the index higher to
close with minor gains.
Yesterday, despite the Nifty breaking intraday support, we did not
see any follow through selling from market participants. This is a
clear sign of strong up trend and thus, we had mentioned not to
trade aggressively in the opposite direction of larger degree up
trend. Now, the index has slipped into a consolidation mode after
giving a stupendous rally in the recent weeks. Thus, it would be
very difficult for traders to find clear trade in the index. Thus, in
case of any weakness, we still maintain our view that traders
shouldn’t participate aggressively in it. In fact, use dips to initiate
directional long positions if Nifty reaches 8440 - 8400 levels.
Our positional view remains bullish but for coming session, we
expect the Nifty to face some resistance around 8550 - 8580
levels.
Key Levels
Support 1 - 8440
Resistance 1 - 8550
Support 2 - 8400
Resistance 2 - 8580
Nifty Bank Outlook - (18905)
Exhibit 2: Nifty Bank Daily Chart
The Nifty Bank index traded range bound and had formed a
small body candle in yesterday's session to end the day almost
near the previous day's close.
Although the last three trading sessions were range bound for the
index, the broader trend still continues to remain up as there is no
sign of reversal. Thus, any corrective dip in the index in near term
could be a buying opportunity. It is thus advisable not to create
short positions in the index. Momentum traders can strategize
their trades to buy on dips near the supports and lighten the
positions when the index rallies near the resistance of 19229. The
intraday support for the index is placed around 18770 and
18710 whereas resistances are seen around 19150 and 19229.
Key Levels
Support 1 - 18770
Resistance 1 - 19150
Support 2 - 18710
Resistance 2 - 19229
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Technical & Derivatives Report
July 20, 2016
Comments
Nifty Vs OI
The Nifty futures open interest has increased by 3.37%
BankNifty futures open interest has decreased by 1.62%
as market closed at 8528.55 levels.
The Nifty July future closed with a premium of 11.90
points against a premium of 11.80 points in previous
session. The August series closed at a premium of 49.25
points.
The Implied Volatility of at the money options has
decreased from 14.40% to 12.30%.
The total OI of the market is Rs. 2,75,266/- cr. and the
stock futures OI is Rs. 71,607/- cr.
Few of the liquid counters where we have seen high cost
of carry are GMRINFRA, NHPC, UNITECH, TATAPOWER
and GRANULES.
Views
OI Gainers
Yesterday, FIIs were net buyer in both cash market and
OI
PRICE
SCRIP
OI
PRICE
CHG. (%)
CHG. (%)
Index Futures segment. They bought equities to the tune
MINDTREE
2668000
24.07
563.55
-7.20
of Rs. 549 crores. While, they bought Index Futures worth
PNB
60914000
18.52
131.10
-0.68
Rs. 553 crores with rise in open interest, indicating
formation of long positions in last trading session.
INDUSINDBK
5514600
14.02
1111.50
-2.02
In Index Options segment, FIIs were net seller worth
WIPRO
6858000
13.62
548.75
-0.53
Rs. 118 crores with rise in open interest. In call options,ng.com
MCLEODRUSS
4002000
10.80
201.95
-3.65
except 8500 strike, which added some fresh positions,
we didn’t witness any significant activity in other strikes.
OI Losers
On the other hand, in put options, good amount of
OI
PRICE
build-up was seen in 8500 and 8400 strikes. Highest OI
SCRIP
OI
PRICE
CHG. (%)
CHG. (%)
in current series is placed at 8600 call and 8400 put
BATAINDIA
1713800
-6.20
568.30
1.94
options.
AJANTPHARM
539600
-5.07
1614.05
2.08
Since, FIIs are continuously pouring liquidity in our
RCOM
128130000
-3.96
48.95
-1.11
market and buying interest was seen on intraday
KTKBANK
15804000
-3.80
148.15
-1.07
corrections; we reiterate our bullish stance on the index
PIDILITIND
1538000
-3.75
727.10
1.59
and advice traders to trade with positive bias.
Historical Volatility
Put-Call Ratio
SCRIP
HV
SCRIP
PCR-OI
PCR-VOL
MINDTREE
51.75
NIFTY
1.06
1.13
HINDPETRO
38.79
BANKNIFTY
1.17
0.93
IOC
38.58
INFY
0.47
0.43
HINDUNILVR
27.51
RELIANCE
0.45
0.41
INDUSINDBK
22.72
SBIN
0.81
0.67
Strategy Date
Symbol
Strategy
Status
04-07-2016
RCOM
Ratio Bull Call Spread
Active
11-07-2016
BANKNIFTY
Bull Call Spread
Didn’t trigger
18-07-2016
TCS
Long Put
Active
2
Technical & Derivatives Report
July 20, 2016
FII Statistics for 19-July 2016
Turnover on 19-July 2016
Open Interest
No. of
Turnover
Change
Detail
Buy
Sell
Net
Instrument
Value
Contracts
( in Cr. )
(%)
Contracts
Change (%)
(in Cr.)
INDEX
INDEX
1729.58
1177.06
552.52
324279
21210.93
3.11
243469
16502.23
14.87
FUTURES
FUTURES
INDEX
INDEX
32815.89
32933.45
(117.56)
1023471
66165.93
2.82
3660838
250229.71
11.84
OPTIONS
OPTIONS
STOCK
5358.58
5594.86
(236.29)
846317
53917.67
1.08
STOCK
FUTURES
536221
35550.61
0.97
FUTURES
STOCK
STOCK
4980.26
5116.40
(136.14)
107120
6965.67
3.33
OPTIONS
398690
26574.06
-6.39
OPTIONS
TOTAL
44884.31
44821.77
62.54
2301187
148260.20
2.24
TOTAL
4839218
328856.61
9.00
Nifty Spot = 8528.55
Lot Size = 75
Bull-Call Spreads
Bear-Put Spreads
Action
Strike
Price
Risk
Reward
BEP
Action
Strike
Price
Risk
Reward
BEP
Buy
8500
96.40
Buy
8500
59.10
49.90
50.10
8549.90
28.35
71.65
8471.65
Sell
8600
46.50
Sell
8400
30.75
Buy
8500
96.40
Buy
8500
59.10
77.40
122.60
8577.40
43.95
156.05
8456.05
Sell
8700
19.00
Sell
8300
15.15
Buy
8600
46.50
Buy
8400
30.75
27.50
72.50
8627.50
15.60
84.40
8384.40
Sell
8700
19.00
Sell
8300
15.15
Note: Above mentioned Bullish or Bearish Spreads in Nifty (July Series) are given as an information and not as a recommendation.
Nifty Put-Call Analysis
3
Technical & Derivatives Report
July 20, 2016
Daily Pivot Levels for Nifty Constituents
Scrips
S2
S1
PIVOT
R1
R2
ACC
1,566
1,584
1,598
1,616
1,630
ADANIPORTS
214
217
220
223
225
AMBUJACEM
256
260
262
265
267
ASIANPAINT
1,014
1,022
1,030
1,038
1,046
AUROPHARMA
741
751
757
767
774
AXISBANK
558
562
568
572
578
BAJAJ-AUTO
2,737
2,748
2,756
2,767
2,775
BANKBARODA
153
156
159
162
165
BHEL
136
138
139
141
143
BPCL
547
559
567
579
587
BHARTIARTL
353
359
363
369
374
INFRATEL
346
351
357
363
369
BOSCH
23,709
24,050
24,274
24,614
24,838
CIPLA
496
501
506
511
515
COALINDIA
315
317
320
322
326
DRREDDY
3,544
3,565
3,584
3,605
3,624
EICHERMOT
19,293
19,501
19,741
19,949
20,189
GAIL
375
380
386
391
397
GRASIM
4,698
4,729
4,777
4,808
4,856
HCLTECH
713
721
727
735
740
HDFCBANK
1,204
1,211
1,221
1,228
1,238
HDFC
1,317
1,328
1,342
1,353
1,367
HEROMOTOCO
3,178
3,204
3,235
3,262
3,292
HINDALCO
135
137
138
139
141
HINDUNILVR
878
886
897
905
916
ICICIBANK
260
265
268
272
275
IDEA
101
104
105
108
109
INDUSINDBK
1,085
1,096
1,115
1,126
1,145
INFY
1,068
1,077
1,084
1,093
1,100
ITC
244
246
248
251
253
KOTAKBANK
764
771
776
783
788
LT
1,551
1,562
1,573
1,584
1,595
LUPIN
1,646
1,670
1,686
1,710
1,726
M&M
1,426
1,442
1,458
1,473
1,490
MARUTI
4,416
4,451
4,475
4,510
4,534
NTPC
154
155
156
157
158
ONGC
215
218
220
223
226
POWERGRID
161
164
165
168
169
RELIANCE
984
1,001
1,012
1,029
1,040
SBIN
224
227
230
232
235
SUNPHARMA
773
778
782
787
792
TCS
2,410
2,438
2,456
2,484
2,501
TATAMTRDVR
311
316
319
324
327
TATAMOTORS
489
494
499
504
509
TATAPOWER
69
70
70
71
72
TATASTEEL
359
365
368
374
377
TECHM
500
504
508
512
516
ULTRACEMCO
3,427
3,467
3,515
3,555
3,603
WIPRO
539
544
549
554
559
YESBANK
1,128
1,141
1,156
1,168
1,183
ZEEL
455
461
466
471
476
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Technical & Derivatives Report
July 20, 2016
Research Team Tel: 022 - 39357800
For Technical Queries
For Derivatives Queries
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