Nifty ends at intraday high point

The fifty stock index -- Nifty -- reversed the previous session losses and witnessed a good day of trade on Tuesday with gain of around half a percent. After opening in green territory, the index continued its trading on positive bias throughout the session, as traders were optimistic with Union Minister Anurag Thakur’s statement that India is not facing 5 per cent economic slowdown and continues to be the fastest growing economy in the world. Thakur also said that a number of steps are being taken by the government to strengthen the economy that includes merger of banks and tax concessions to industries. Afterwards market added some more gains with Finance Minister Nirmala Sitharaman’s statement that the government has implemented major reforms I n the last five years to build the investment climate in the country for becoming a $5 trillion economy.

Buying got intensified during final hours of trade to touch intraday high point, as up-move got support with report that India has the potential for very rapid economic growth over the next decade which will lift people out of poverty and allow the government to invest in health and education priorities in an exciting way. Traders paid no heed towards private report indicating that India’s real Gross Domestic Product (GDP) growth is likely to average at 5 per cent in calendar year 2019, as against 7.4 per cent last year, before picking up to 6.3 per cent in 2020 and 6.8 per cent the next year.

Most of the NSE sectoral indices ended in green .The top gainers from the F&O segment Vodafone Idea, Bharti Infratel and Union Bank of India. On the other hand, the top losers were Glenmark Pharmaceuticals, Jindal Steel & Power and ICICI Prudential Life Insurance Company. In the index option segment, maximum OI continues to be seen in the 11800 - 12,300 calls and 11,400 - 11,900 puts indicating this is the trading range expectation.

India Volatility Index (VIX), a gauge for market’s short term expectation of volatility decreased by 2.17% and reached 15.41.The 50 share Nifty was up by 55.60 points or 0.47% to settle at 11,940.10.

Nifty November 2019 futures closed at 11985.80 (LTP) on Tuesday, at a premium of 45.70 points over spot closing of 11940.10, while Nifty December 2019 futures ended at 12030.00 (LTP), at a premium of 89.90 points over spot closing. Nifty November futures saw an addition of 0.52 million (mn) units, taking the total outstanding open interest (OI) to 16.04 mn units. The near month derivatives contract will expire on November 28, 2019 (Provisional).

From the most active contracts, Yes Bank November 2019 futures traded at a premium of 0.05 points at 64.25 (LTP) compared with spot closing of 64.20. The numbers of contracts traded were 67,254 (Provisional).

Reliance Industries November 2019 futures traded at a premium of 5.40 points at 1516.95 (LTP) compared with spot closing of 1511.55. The numbers of contracts traded were 52,295 (Provisional).

Bharti Airtel November 2019 futures traded at a premium of 0.35 points at 445.00 (LTP) compared with spot closing of 444.65. The numbers of contracts traded were 46,405 (Provisional).

State Bank of India November 2019 futures traded at a discount of 0.05 points at 331.35 (LTP) compared with spot closing of 331.40. The numbers of contracts traded were 32,165 (Provisional).

Indiabulls Housing Finance November 2019 futures traded at a discount of 2.50 points at 210.50 (LTP) compared with spot closing of 213.00. The numbers of contracts traded were 24,115 (Provisional).

Among, Nifty calls, 12000 SP from the November month expiry was the most active call with a contraction of 0.14 million open interests. Among Nifty puts, 11,900 from the November month expiry was the most active put with an addition of 0.25 units open interests. The maximum OI outstanding for Calls was at 12000 SP (2.23 mn) and that for Puts was at 11,800 SP (2.30 mn). The respective Support and Resistance levels of Nifty are: Resistance 11,972.05 -- Pivot Point 11,926.90 -- Support -- 11,894.95.

The Nifty Put Call Ratio (PCR) finally stood at 1.27 for November month contract. The top five scrips with highest PCR on Bharti Airtel (1.88), Oil India (1.37), Bajaj Finserv (1.32), Bajaj Finance (1.19), and State Bank of India (1.10).

Among most active underlying, Reliance Industries witnessed an addition of 2.24 million units of Open Interest in the November month futures contract, followed by State Bank of India witnessing a contraction of 0.62 million units of Open Interest in the November month contract, Bharti Airtel witnessed an addition of 5.82 million units of Open Interest in the November month contract, Axis Bank witnessed an addition of 1.72 million units of Open Interest in the November month contract and ICICI Bank witnessed an addition of 0.79 million units of Open Interest in the November month future contract (Provisional).