Technical & Derivatives Report
July 26, 2016
Sensex (28095) / Nifty (8636)
Exhibit 1: Nifty Daily Chart
Yesterday, we saw Nifty opening lower mainly on the back of
weak set of 1QFY2017 numbers from the heavyweight banking
counter, Axis Bank, over the weekend. However, this weakness
was merely a sentimental impact and thus, did not last long. The
Nifty first pared down early losses and then went on to post a
smart rally to end the session convincingly above the 8600 mark.
Technically speaking, the Nifty confirmed yet another breakout
after nearly two weeks of consolidation. This move was very much
on expected lines and now, its a matter of time, the Nifty is likely
to surpass the 8655 mark. We maintain our positive stance on the
market and thus, traders are repeatedly advised not to be in hurry
to expect any major correction in the market. On the downside,
8580 - 8540 are now seen as immediate support levels.
Key Levels
Support 1 - 8580
Resistance 1 - 8655
Support 2 - 8540
Resistance 2 - 8700
Nifty Bank Outlook - (18990)
Exhibit 2: Nifty Bank Daily Chart
Post marginal negative opening, the Nifty Bank index rallied
higher in yesterday's session and ended the day with gains of
1.60 percent.
The index has formed a large body bullish candle on the daily
charts, indicating that the bulls are back in control post a
consolidation phase. As we have been mentioning earlier, the
broader trend continues to be positive and thus traders should
continue to trade with a positive bias. Although the near term
resistance is seen around 19229 (July 2015 high), the positive
chart structure post a consolidation phase indicates continuation
of the uptrend and thus the index should well surpass the
mentioned resistance in near term. The intraday support for the
Nifty Bank index is placed around 18826 and 18665 whereas
resistances are seen around 19229 and 19320.
Key Levels
Support 1 - 18826
Resistance 1 - 19229
Support 2 - 18665
Resistance 2 - 19320
1
Technical & Derivatives Report
July 26, 2016
Comments
Nifty Vs OI
The Nifty futures open interest has increased by 5.25%
BankNifty futures open interest has increased by 1.86%
as market closed at 8635.65 levels.
The Nifty July future closed with a premium of 4.05
points against a premium of 13.10 points in previous
session. The August series closed at a premium of 46.45
points.
The Implied Volatility of at the money options has
increased from 13.35% to 14.78%.
The total OI of the market is Rs. 2,87,224/- cr. and the
stock futures OI is Rs. 76,416/- cr.
Few of the liquid counters where we have seen high cost
of carry are UNITECH, JINDALSTEL, IFCI, SOUTHBANK
and ENGINERSIN.
Views
OI Gainers
Yesterday, FIIs were net buyer cash market to the tune of
OI
PRICE
Rs. 438 crores. While, they were net sellers of Rs. 288
SCRIP
OI
PRICE
CHG. (%)
CHG. (%)
crores in Index Futures with rise in open interest,
HEXAWARE
8280000
17.15
228.05
1.51
indicating some short build-up in last trading session.
PTC
11720000
16.83
83.35
0.91
In Index Options segment, FIIs were net buyers of worth
TVSMOTOR
7264000
16.67
301.85
0.00
Rs. 604 crores with rise in open interest. In call options,
some build-up was seen in 8700-8750 strikes; followed
RELCAPITAL
15735000
16.63
426.30
4.05
by good amount of unwinding in 8500 and 8600 call
ALBK
17250000
15.69
79.10
6.68
options. On the other hand, in put options, 8500-8650
strikes added huge amount of open interest.
OI Losers
Yesterday, Nifty surpassed its resistance zone of 8580-
OI
PRICE
SCRIP
OI
PRICE
8600 levels with good amount of longs. At the same
CHG. (%)
CHG. (%)
time, highest OI has shifted from 8600 to 8700 call
HAVELLS
7590000
-14.20
381.00
0.73
options and of put from 8400 to 8500 strike. Most of the
PNB
41279000
-12.17
130.25
8.18
longs formed by FIIs are still intact but the rollover is on
HINDZINC
5760000
-6.69
196.80
1.16
the lower side at 25.98%. If, rollover remains low in next
ORIENTBANK
13926000
-6.60
116.15
4.17
2-3 sessions, then Nifty may continue to rally in July
INDIACEM
27405000
-5.89
116.65
1.43
series itself to book optimum gains in longs.
Historical Volatility
Put-Call Ratio
SCRIP
HV
SCRIP
PCR-OI
PCR-VOL
PCJEWELLER
48.46
NIFTY
1.10
0.96
DRREDDY
31.85
BANKNIFTY
1.36
0.96
PNB
68.97
INFY
0.50
0.40
BANKINDIA
58.61
SBIN
0.80
0.62
RELCAPITAL
34.98
RELIANCE
0.45
0.40
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
25-07-2016
TATAMOTORS
Long Call
Active
2
Technical & Derivatives Report
July 26, 2016
FII Statistics for 25-July 2016
Turnover on 25-July 2016
Open Interest
No. of
Turnover
Change
Detail
Buy
Sell
Net
Instrument
Value
Contracts
( in Cr. )
(%)
Contracts
Change (%)
(in Cr.)
INDEX
INDEX
4657.44
4945.52
(288.08)
366809
24240.33
5.49
344373
23359.48
58.43
FUTURES
FUTURES
INDEX
INDEX
36897.77
36293.45
604.32
1079923
70851.97
1.42
4828440
323756.09
48.27
OPTIONS
OPTIONS
STOCK
14503.48
15134.56
(631.08)
863622
55990.63
1.93
STOCK
FUTURES
963600
65030.38
38.12
FUTURES
STOCK
STOCK
6204.18
6319.78
(115.61)
117214
7787.54
1.82
OPTIONS
500549
35080.18
2.38
OPTIONS
TOTAL
62262.87
62693.32
(430.45)
2427568
158870.47
2.22
TOTAL
6636962
447226.13
42.22
Nifty Spot = 8635.65
Lot Size = 75
Bull-Call Spreads
Bear-Put Spreads
Action
Strike
Price
Risk
Reward
BEP
Action
Strike
Price
Risk
Reward
BEP
Buy
8600
68.15
Buy
8700
81.65
44.95
55.05
8644.95
51.65
48.35
8648.35
Sell
8700
23.20
Sell
8600
30.00
Buy
8600
68.15
Buy
8700
81.65
62.35
137.65
8662.35
71.15
128.85
8628.85
Sell
8800
5.80
Sell
8500
10.50
Buy
8700
23.20
Buy
8600
30.00
17.40
82.60
8717.40
19.50
80.50
8580.50
Sell
8800
5.80
Sell
8500
10.50
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 26, 2016
Daily Pivot Levels for Nifty Constituents
Scrips
S2
S1
PIVOT
R1
R2
ACC
1,654
1,665
1,679
1,690
1,705
ADANIPORTS
223
224
226
228
229
AMBUJACEM
262
266
268
271
273
ASIANPAINT
1,037
1,054
1,064
1,081
1,091
AUROPHARMA
784
792
799
807
814
AXISBANK
511
524
532
546
554
BAJAJ-AUTO
2,638
2,669
2,712
2,743
2,786
BANKBARODA
146
151
154
159
162
BHEL
138
143
145
150
153
BPCL
577
585
594
602
610
BHARTIARTL
360
366
369
375
379
INFRATEL
357
362
367
371
376
BOSCH
24,182
24,324
24,457
24,599
24,732
CIPLA
508
516
521
530
535
COALINDIA
328
331
333
336
337
DRREDDY
3,395
3,439
3,509
3,553
3,623
EICHERMOT
19,659
19,816
19,928
20,084
20,197
GAIL
385
388
393
397
402
GRASIM
4,799
4,830
4,871
4,902
4,943
HCLTECH
719
730
735
746
751
HDFCBANK
1,219
1,233
1,241
1,255
1,264
HDFC
1,337
1,359
1,373
1,396
1,410
HEROMOTOCO
3,231
3,256
3,270
3,294
3,308
HINDALCO
132
134
135
137
138
HINDUNILVR
890
899
904
912
918
ICICIBANK
257
263
267
273
277
IDEA
105
106
107
108
109
INDUSINDBK
1,120
1,138
1,151
1,170
1,183
INFY
1,055
1,068
1,076
1,088
1,096
ITC
248
250
251
253
254
KOTAKBANK
739
752
763
775
786
LT
1,553
1,570
1,579
1,595
1,605
LUPIN
1,690
1,706
1,715
1,731
1,740
M&M
1,427
1,445
1,457
1,475
1,487
MARUTI
4,368
4,459
4,512
4,603
4,656
NTPC
155
156
157
158
159
ONGC
220
223
225
229
231
POWERGRID
165
167
168
170
172
RELIANCE
1,002
1,012
1,018
1,029
1,034
SBIN
220
225
228
233
236
SUNPHARMA
781
792
799
810
817
TCS
2,485
2,522
2,543
2,580
2,600
TATAMTRDVR
326
328
330
333
335
TATAMOTORS
500
505
508
512
515
TATAPOWER
71
71
72
73
73
TATASTEEL
359
361
365
367
370
TECHM
499
504
508
512
516
ULTRACEMCO
3,586
3,628
3,654
3,696
3,722
WIPRO
532
537
541
546
549
YESBANK
1,132
1,157
1,173
1,199
1,215
ZEEL
457
466
471
480
485
4
Technical & Derivatives Report
July 26, 2016
Research Team Tel: 022 - 39357800
For Technical Queries
For Derivatives Queries
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